The State of People and Knowledge in the GCC Countries per a New Index and the Future Ahead

Abstract

The Gulf Cooperation Council (GCC) countries, with their rich oil resources, are facing the problem of fallen oil prices on the one hand, and reduced oil reserves on the other. As a result, they are moving toward less dependence on oil, and increasing dependence on people and knowledge. This paper develops a wide scope “people and knowledge index (PKI)” using relevant international indicators made available by various international organizations. The index includes “ten building blocks.” Four of these blocks are concerned with the “core issues” of people and knowledge; while the other six blocks are related to the “environment issues” according to which people and knowledge interact. The paper assesses the GCC countries according to the index revealing their strengths and weaknesses, and enabling the derivation of guidelines for their future development. The resulting guidelines consider how the GCC countries can direct their future development toward a high and growing standard of living, while reducing dependence on oil. Finally, the future use of the new index is highlighted.