A new report published today by Barclays Wealth and the Economist Intelligence Unit (EIU), entitled "The Entrepreneur in Adversity", reveals that the MENA region has seen the largest improvement in the environment for entrepreneurship over the past decade. The global survey - the seventh report in the Barclays Wealth Insights series - polled almost 1,000 entrepreneurs identifying their motivations, characteristics and how the enterprise environment they operate in has changed in the last 10 years.

The UAE, in particular, has seen a remarkable improvement due to strong government support and its implementation of several initiatives that aim at strengthening the basis of the economy, such as the development of the country's infrastructure, the removal of obstacles, the elimination of bureaucracy and significant investment in education.

"The overall environment for entrepreneurship benefits highly from the fact that the Middle East and North Africa are still at an early stage in their economic development. Conditions in emerging markets are more likely to improve in comparison to more mature markets, as the political, regulatory and economic institutions that support entrepreneurs become more established.

Entrepreneurship in the Middle East has been quite slow to develop until recent years. However, this situation has drastically changed, due to a variety of factors that encourage the development of start-ups," said Soha Nashaat, CEO of Barclays Wealth, Middle East.

The survey shows that the six countries of the Gulf Cooperation Council have become far more conductive to entrepreneurship over the past 10 years. Ongoing liberalisation & privatisation programmes, the development of major financial centres in the region and a greater willingness to attract foreign investment, have all contributed to an increasingly fertile environment for successful entrepreneurs. Compared to the GCC, Europe's growth is stifled by the cost of doing business and regulatory constraints, which in turn holds a range of implications given the current climate.

"The respondents from the Middle East and North Africa feel that the options for expanding internationally have provided the biggest opportunity for progress. This is without a doubt contributed to the government's ongoing support to further strengthen the respective financial and regulatory frameworks in these countries. It is also fascinating to see how less than 50% of respondents feel the availability of talent had increased, even though the MENA region shows the highest improvement in available talent," continued Nashaat.

The study also identified the most important traits required to succeed as an entrepreneur.  Perseverance (44 per cent) was deemed to be the most essential. This was followed by willingness to take risks (35 per cent) and creativity (33 per cent). These characteristics were consistent across all markets, suggesting that the challenges faced by entrepreneurs do not vary widely.

Respondents also showed varying responses on why it was important for them to be entrepreneurs. The ability to be your own boss (42 per cent) was the most popular benefit of being a successful entrepreneur, followed by achieving financial independence (39 per cent). The ability to create influential new products and services was the third most popular (38 per cent). Only 29 per cent of entrepreneurs saw the ability to make large sums of money as the most important benefit.

Gerard Aquilina, Head of International Private Banking and Vice Chairman, Barclays Wealth commented, "There is little doubt that qualities such as creativity or ability to take risk are useful and feature regularly, but it's interesting to see that tenacity has risen to become the most valuable attribute. Breaking down the inevitable barriers is key to not only getting a business off the ground, but also reaching the next summit the entrepreneur is aiming for."

"Regardless of which country you operate in, this ability will prove to be even more essential in the face of economic downturn, when opportunities become scarcer."

Written by the Economist Intelligence Unit on behalf of Barclays Wealth, this seventh volume of Barclays Wealth Insights examines the characteristics and motivations of entrepreneurs in a challenging economic environment.

Methodology:

Written by the Economist Intelligence Unit (EIU) on behalf of Barclays Wealth, the report examines the motivations, characteristics and perceptions of entrepreneurs around the world, with special emphasis on how they are dealing with the challenges of today's economic environment. It is based on two main strands of research: a global survey of more than 2,300 mass-affluent (with up to£1 million in investable assets), high net worth (with up to £10 million in investable assets) and ultra high net worth individuals (with up to and in excess of £30million in investable assets) and a series of in-depth interviews with experts on entrepreneurship. Among these 2,300 respondents, 960 were entrepreneurs. Please note that in some cases percentages used in the report may not equal 100, either because survey participants were asked to select three choices or because neutral or 'don't know' responses have not been included.

Log onto www.barclayswealth.com to access the Barclays Wealth Insights series.

-Ends-
               
About Barclays Wealth
Barclays Wealth is the UK's leading wealth manager by assets under management. It serves high net worth, affluent and intermediary clients, providing international and private banking, investment management, wealth advisory, brokerage and fiduciary services.  Thomas L. Kalaris is the Chief Executive of Barclays Wealth and joined the business at the start of 2006. He was voted global Investor's Wealth Manager of the Year for 2007.

With unrivalled local expertise and international reach, Barclays Wealth offers a comprehensive range of integrated products and services, and is dedicated to helping clients across the globe acquire wealth, use it, enjoy it and pass it on.

Barclays Wealth is already established in major financial centres (London, Geneva, Monaco, Dubai, Abu Dhabi, Singapore, and Hong Kong). It is part of the Barclays Group, a UK based, major global financial services provider, engaged in retail and commercial banking, credit cards, investment banking, wealth management and investment management services.  With over 300 years of history and expertise in banking, the Barclays Group operates in over 50 countries and employs over 134,000 people.  Barclays moves, lends, invests and protects money for over 27 million customers and clients worldwide.

To arrange an interview or for further media information:
Barclays Wealth
Dania Haffarbazzy
+971 4 365 2979              
dania.haffarbazzy@barclayscapital.com    

Memac Ogilvy PR
Melanie Schmutz        
+971 4 3050 310              
melanie.schmutz@ogilvy.com

Houri Elmayan          
+971 4 3050 330              
houri.elmayan@ogilvy.com

© Press Release 2008 from Memac Ogilvy PR

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