The Arab uprisings mark a watershed moment for the region as it embarks on an era of historic change. Yet the euphoria that first accompanied the popular revolts has yielded to more sober assessments of the deep-seated challenges embedded in these complex transformations. In particular, the region faces significant economic tests. The Arab world must create an estimated 50 million jobs over the next decade to meet the demands of its expanding labor force. Less apparent, but equally worrying, are the myriad environmental threats that could derail the Arab transitions. Acute stress related to water and food scarcity, climate change and increased urbanization undermine productivity, endanger public health, and sap the natural resource base.
According to the World Bank, environmental degradation already costs an annual average of 2.1% of GDP in Tunisia, 2.4% in Jordan, 3.7% in Morocco, and 5% in Egypt. Creative solutions to address these environmental threats could also unlock the potential for economic growth and job creation, transforming one of the region’s pre-eminent challenges into a significant opportunity. “Greening” Arab economies by adopting innovative technologies and forward-leaning government policies would create jobs, mitigate environmental risks and place the region at the forefront of broader global efforts toward sustainable development.