Behind the headlines, small states are quietly forging alliances that will reshape the global technology landscape.

By Xische Editorial, January 27, 2020

You wouldn’t know from a casual glance of the daily news headlines, but we are living in an era of small states. Trade disputes between superpowers China and the United States. Military tension between the US and Russia. The slow breakdown of the European Union under the crushing weight of nationalism. While these stories dominate global discussion and debate, the quiet efficiency of small countries has become abundantly clear. Nowhere is this more evident than in the unique alliance these rising countries are making between themselves. The values that bind these nations together are a window into how global politics and economics is changing in the digital age.

Given the interconnected nature of communication, commerce, and travel, small states provide critical functions for the global economy and have emerged as nexus points for millions of people. Consider the UAE and Singapore. These countries, with their small local populations, have transformed over the last two decades to be leaders in technology, trade, logistics, finance, and aviation. They are the shining beacons on the hilltop of the Fourth Industrial Revolution, which is defined by the use of technology to augment daily life. 

The secret in both countries is the right mix of leadership, will, and action. Because of their size and nimble legislative environments, Singapore and the UAE are able to embrace the latest trends and technologies in governance and implement dramatic impact quickly. Thanks to leaders that have targeted future technologies as critical growth areas, these countries have emerged as global superpowers when it comes to technology, finance, and other industries. 

Not only does the UAE and Singapore disrupt their regional economies, but through partnerships with each other they have changed the face of international politics. Writing in The National, Singapore’s Minister for Foreign Affairs and Minister-In-Charge of the Smart Nation Initiative, Dr Vivian Balakrishnan outlined this unique challenges and opportunities the UAE and Singapore face. 

“For countries like Singapore and the UAE, our smaller geographic and demographic size is often wrongly assumed to be a disadvantage,” the minister noted. “On the contrary, these very qualities afford us a nimbleness and agility to respond effectively to rapidly changing circumstances. We can adapt quickly and seize the initiative to carve a unique niche for ourselves within the global community.”

He went on to note that “amidst rising global uncertainty, small countries can preserve our autonomy by seeking out like-minded partners and building coalitions in situations where a cohesive global response may not yet be practicable. A look at the experiences of both Singapore and the UAE suggests that three qualities will be critical to such an approach.”

The minister targets connection, competition and relevance as the necessary qualities both countries possess and must continue to refine. His arguments for competition, for example, highlight how both countries have invested heavily in artificial intelligence (AI). Singapore, like the UAE, has a national AI strategy that is continually updated and reflects current trends in the rapidly-developing sector. As we have argued previously, collaboration on these issues will deliver the best results for both societies. 

The driving reason behind the powerful relationship between Singapore and the UAE is that both are run by leaders that aren’t afraid to make bold decisions that show the rest of society how to transform vision into reality. We had a profound example of this recently when His Highness Sheikh Mohammed bin Rashin Al Maktoum, the Ruler of Dubai, created the Dubai Council. The council will consolidate and codify how the Dubai Government operates in order to amplify impact. This will ensure that Dubai remains one of the most competitive cities in the world. The leadership is showing that radical change is possible through action instead of mere rhetoric. The trickle-down effect of such actions will result in the workforce moving from mere operating to innovating. That is the key of a successful knowledge economy and it’s one reason Dubai has the strongest tech ecosystem in the Middle East. 

Instead of watching the world develop and transform, the Dubai Government is taking action to stay ahead of the curve and ensure the city is competitive, connected and relevant. Such decisive action is taking place in very few places around the world but in Singapore, the same spirit is alive. In many ways, you can’t teach this type of decision making and leadership. But, in the era of small states, many countries have their organic versions. It is through this common understanding that alliances are born. And through alliances such as the one between the UAE and Singapore, a new era is dawning.