An interview with Dr. Hashim Hussein
– Head of the UNIDO Investment & Technology Promotion Office (UNIDO ITPO) Bahrain
– Director of the Arab International Center for Entrepreneurship & Investment (AICEI) Bahrain

Innovation is the key to success. Whether you are a startup or an established firm, it is important to build an innovative culture in your organization in order to maintain your market share in a dynamic and competitive industry. The need to constantly innovate is essential in order to keep pace with new entrants bearing new and innovative technologies against a dynamic and fast changing market landscape. Innovative startups introduce new products and services, and pave the way for the creation of new industries which leads to the development of new business opportunities. The process leads to a virtuous circle which continues to foster competitiveness and sustain economic growth. Dr. Hashim Hussein, Head of the UNIDO Investment & Technology Promotion Office (UNIDO – ITPO) Bahrain and Director of the Arab International  Center for Entrepreneurship & Investment (AICEI) Bahrain, is leading his organization towards creating a network of innovation champions across Bahrain, and is at the same time helping cultivate advocates across industries in the Kingdom who will drive their firms’ innovation agenda. Dr. Hussein has 29 years of experience in SME development, innovation, and entrepreneurship. Dr. Hussein is the Godfather of the “Bahrain Model” of entrepreneurship, the Enterprise Development & Investment Promotion Program; the EDIP is a developmental program that boosts innovation and entrepreneurship, through the support the start-up and growth of Micro, Small, and Medium Sized Enterprises (MSMEs) with financial and nonfinancial services.

The Bahrain Model – known internationally – was conceptualized in Bahrain in 1999, and is currently implemented in 52 countries around the world. The model has achieved major successes which led in 2007 the United Nations Industrial Development Organization (UNIDO) to adopt it officially during its General Conference. In 2009, it was named as the best Program towards the economic empowerment of youth and women with in the United Nations System. The EDIP is a package approach with 3 key stages of Pre- Incubation, Incubation, and Post-Incubation, aimed at developing the capacities of potential entrepreneurs in order to boost their capabilities and assist them in developing their own private
businesses.

1) What typical challenges confront the industry and the entrepreneurs themselves in Bahrain?

Nowadays we are in the new phase of an industrial revolution, a challenge confronting industries in Bahrain and worldwide. In the next few years, we will talk about completely new challenges, as startups and SMEs advance towards the digital revolution. New scientists and practitioners will emerge, along with new and innovative technologies and ideas, and all these will supersede whatever problems we’ve had in the past.

2) What unique opportunities does Bahrain offer to grow and scale a startup company?

If you’d look at Bahrain and its positive ecosystem, we can consider ourselves as one of the best players in the region. Bahrain has a very conducive business environment, and there are numerous entities in support of entrepreneurs and startups such as Tamkeen, Bahrain Development Bank, Family Bank, Ebdaa Bank, as well as commercial banks like Kuwait Finance House. We also have a good number of incubators being supported by the Ministry of Industry, Commerce and Tourism through its SMEs department. We have the Arab International Center for Entrepreneurship & Investment (AICEI). Many universities have developed a system for accommodating proposals promoting innovation in entrepreneurship.

Most of the ministers are working intensively to further boost the ecosystem for startups and SMEs in Bahrain. I can see different areas and opportunities for Bahraini entrepreneurs on which to start their own businesses, whether it is in tourism, services or whatever industry. In all aspects, they can be innovative. When we speak of innovation, we refer to two types. There is ‘soft innovation’, which is the non-technological innovation. You can be innovative in any field, whether you’re in sports, food, nutrition, music or creative handicraft. And then we have the ‘core innovation’ which refers to the real meaning of innovation itself, such as generating new ideas or concepts. I believe that alongside the diversification of players in the ecosystem in support of entrepreneurs, there is a golden opportunity for entrepreneurs to start their innovative businesses.

3) What projects of UNIDO are currently in the pipeline?

Currently, we are preparing for one of the biggest entrepreneurial events in Bahrain, the “18th Arab Business Owners and Investors Summit, and the 3rd edition of the World Entrepreneurs Investment Forum 2019, to be held on the 11-13th November 2019 in Bahrain, under the patronage of His Majesty King Hamad bin Isa Al Khalifa, organized in cooperation with UNIDO ITPO Bahrain, the Bahrain Chamber of Commerce & Industry, and the Union of Arab Chambers. The event will bring over to Bahrain around 1,500 investors and entrepreneurs. It is the first time in the Arab region that these groups will come together in one venue to do business. A series of plenary sessions and side events which aim to boost entrepreneurship and innovation will be conducted throughout the event duration. Even the theme itself is Industry 4.0, which will tackle the challenges that will confront Arab investors and entrepreneurs in the years to come, in order to stay in the forefront of the digital revolution.

The side events for the event will include tackling the subjects of youth and the role of universities and the academic sector through the 2nd International Conference on Entrepreneurship, Innovation, and Investment, as well as investing in green technologies “Sustainable Investments for Agenda 2030”, and the Young Business Hub Start-up Investment Summit. This also includes programmes involving the 56 member countries of the Organization of Islamic Cooperation, exploring means on how to boost the above areas and enhance cross-border investment and entrepreneurship. We have also recently started working on developing the content of the global version of the “Virtual Innovation and Entrepreneurship Hub”, a venue wherein entrepreneurs worldwide can meet and engage in business and work in an actual marketplace with buyers and sellers, in a channel wherein they can post their profiles, what they require as well as what they can provide.

A ‘first’ for us at UNIDO is an initiative to develop a curriculum for innovation and entrepreneurship, which will be implemented in the coming year across all schools in Bahrain. By the end of the year, we will hold a School Olympics for Innovation, a competition on business planning and innovation among participants from different schools. One of our most innovative plans is the establishment of a smart zone or an innovation and technology marketplace for Bahraini entrepreneurs within the Forum itself, in collaboration with other players in the industry. We will discuss technological innovation in IT either from the universities or from small ventures like Mashroo3i, as well as from entrepreneurs who promote such technologies. They will be part of the ‘Smart Expo’, on the sidelines of the World Entrepreneurs Investment Forum and the Conference of Arab Businessmen and Investors Summit. We will also hold a business plan competition for innovators across universities in the Arab region, and we’re going to bring the best teams to pitch in front of a representation of Arab investors.

4) What advice can you give to startups/ SMEs and entrepreneurs?

The ecosystem of startups and entrepreneurs in Bahrain is very mature. In Bahrain we have what we call the ‘Bahrain Model’. There’s nothing quite like it in the area of entrepreneurship and innovation, and as of date, we have implemented it in over 52 countries including economically advanced countries. Even India, China and Turkey are using the same model to support an entrepreneur from idea to business plan, from access to technology and finance to incubation. A piece of advice to Bahraini entrepreneurs: You already have the opportunities and a positive ecosystem, all you need to do is generate an innovative idea, work on it and chase your dream. As per my experience in supporting startups in Bahrain for the last 25 years, I have seen their commitment, how they start and how they’ve grown with innovation and dedication. Just bring on the idea, bring on the dream. We are here for you, the Arab International Center for Entrepreneurship & Investment (AICEI) and all other parts of the support ecosystem, from Tamkeen to Bahrain Development Bank, Ministry of Commerce, Industry & Tourism, to Ministry of Finance and the Bahrain Economic Development Board. You are not alone, you can do it. Just come with your brave and innovative idea, we will work together and help you find a way to get through.

5) Where do you see Bahrain in the international entrepreneurship ecosystem, specifically for women innovators?

Bahrain is very well known in the international community, and has recently hosted the Global Entrepreneurship Congress, one of the largest events for entrepreneurs in the world. For years, Bahrain has been hosting the World Entrepreneurs Investment Forum, first held in 2015, and then in 2017 wherein António Guterres, the UN Secretary General issued a statement acknowledging the achievements of the Bahrain Model, and how it continues to enhance and support entrepreneurs in more than 52 countries. This time in 2019, we will be organizing it in parallel with the World Entrepreneurs Investment Forum and the Conference of Arab Businessmen and Investors Summit.

As for women, they comprise about more than 60% of the participants. Women entrepreneurs in Bahrain grow faster and become more successful, in the same way that thousands of women worldwide continue to benefit from the Bahrain Model. All of the support had been initiated through the Supreme Council for Women, which continues to open doors and facilitate the ecosystem to economically empower women along with its partners such as Tamkeen, Bahrain Development Bank and many more.

6) Can you elaborate on innovation as a core value in entrepreneurship?

Entrepreneurship is innovation, and innovation is the mother of entrepreneurship. Startups can be innovative in any field of entrepreneurship. You can come up with your own original cuisine or menu as a chef, and gain popularity in the international community. You can be a creative entrepreneur, and produce innovative handicrafts. But you can also be in fitness or sports and still be innovative. We have very good success examples from Bahrain and from other countries wherein entrepreneurs have been very innovative with their unique business ideas which eventually spurred the growth of their businesses.

From another angle, we are witnessing more and more innovation nowadays because of the pressing needs of the digital revolution. We aim to achieve technological innovation, or new inventions, either through developments in IT or through commercialization of new and innovative ideas by research groups. This is why we have started to acknowledge the need to forge a link between research and development centers and the universities. This is the way it should be. We have to develop technological incubators and accelerators within universities in order to realize the commercialization of inventions which will significantly diversify the economy and generate jobs.

7) How does education and training contribute towards the pursuit of innovation in entrepreneurship?

Education is very important in the sense that if we are going to prepare our future generation for Industry 4.0, we have to make sure that we have the right curriculum in education. When it comes to the subject of training and development, we need to upgrade the skills of entrepreneurs so that we can develope well-qualified marketing and managing partners within our enterprises. Capacity building is very important for entrepreneurs which is why we are committed to play a relevant role in capacity building for startups, mentors, consultants and experts for SMEs and entrepreneurs. Indeed, proper education and training is the key stimulus in economic development.

8) How do you see the industry in Bahrain five years from now?

Five or ten years from now, Bahrain’s economic development must keep pace with the demands of the industrial revolution or the age of 3D printing, because the bulk of operations and functions will be drastically affected by it. According to the World Economic Forum, ten years from now each job category will lose three jobs (while gaining one job) for males , and lose five jobs (while gaining one job) for females. This is all because of the onset of the digital revolution. There is an urgent need to fast track our educational system in Bahrain within the next five years in order to prepare ourselves for these challenges.

For more information:
www.aicei.net
Tel: +973 1753 6881