Canada's Economic Interests in the Middle East

Working Paper #26

July 19, 2007

This paper argues that there are significant potential benefits still to be had in promoting stronger Canada-Middle East economic relations, particularly with respect to the countries of the rapidly growing Gulf Cooperation Council (GCC). To enjoy these benefits, however, enhanced political engagement in the region is needed, as well as a commitment on the part of the Canadian government to forge stronger economic ties (formal and informal) with selected Middle Eastern countries. Canada has developed a number of formal links with the Middle East, most notably a free trade agreement with Israel, and a number of bilateral tax agreements, but there is room to secure further formal links to the region and to foster trade more generally. These formal and informal relationships, accompanied by enhanced strategic governmental contacts and more savvy efforts by Canadian businesses, would likely be rewarded by substantially higher levels of business activity, particularly with the Gulf states.

About the Authors

Former CIGI Senior Researcher

Bessma Momani is a CIGI senior fellow with a Ph.D. in political science, focusing on international political economy. She is currently on sabbatical from the University of Waterloo at the NATO Defense College where she is a fellow examining research and development of emerging and disruptive technologies in dual‑use applications.