Over the past few years, we have witnessed a complex and dynamic interplay between soft power and nation branding that has been used effectively by countries to attract investment, boost tourism and improve their financial outlook.
Notable among these countries are Gulf nations like the UAE, Qatar, and more recently, Saudi Arabia. Well-considered strategies that take the shape of sporting events, multilateral conferences and cultural repertoire have proven far more effective than traditional diplomatic efforts in improving national image and investment climate.
The hosting of Expo2020, COP28 and the FIFA World Cup have done for the UAE and Qatar what years of public diplomacy may not have done. Similarly, high-profiled tourism and sporting campaigns developed by Saudi Arabia under its Vision 2030 have made it a favourite destination for attracting investment and cutting-edge technology and skill transfer.
Acknowledging the impact of soft power on how multilateralism is shaping up, the Global Soft Power Index 2024 was launched at a high-profile London event organized by an international brand evaluation and strategy firm. During discussions, attended by the likes of Tony Blair and Fareed Zakaria, an interesting picture emerged of how countries use deliberative soft policy tools to obtain their economic and diplomatic objectives.
The soft power index was based on a comprehensive research study of perceptions about ‘nation brands’, rooted in the concept of soft power, first introduced by Joseph Nye, an American political scientist. He argues in his book, ‘The Future of Power’, that states can win international support through means other than the traditional hard power. Hence power is not simply the ability to ‘control’ or ‘coerce’ but also to influence preferences and behaviours.
The global soft power index used a wide-ranging survey across more than 100 countries interviewing 170,000 people. Factors that played a role in shaping people’s responses were familiarity, influence, reputation and perceptions. Survey questions also measured the willingness of respondents to recommend countries as a place to invest in, buy products and services from, work and study in, and visit as a tourist. So the index provided a good measure of the potential of a nation to attract investment, trade, talent and tourism.
What can be drawn from the index for Pakistan is that in the soft power landscape, business and trade perceptions are growing in significance. A strong and stable economy is the leading driver in shaping the soft power of nations. This explains the dominance of the US, the UK, Canada, China, European countries and the UAE in the index table.
It is also interesting to note that engagement in international conflicts seems to undermine national brand perceptions.
Pakistan sits at 81, three slots up from last time in the index but still quite below the desired level. So what is it that can be done to improveour soft power and consequent economic gains considering we cannot compete with German industrial might, American digital technology or French luxury?
Maybe we can take a leaf from the UK’s playbook. Its services sector, ranging from finance to consultancy, legal to business, accountancy to insurance and education, makes its global services its superpower. The UK is the second-largest exporter of services after the US. British legal services generate billions of dollars annually, and this success is rooted in the reputation of the British legal system for its fairness, independence and incorruptible judges. It has become a self-enforcing system where British soft power due to its legal system has become a driver for its legal services’ exponential growth.
While there is still room for Pakistan’s manufacturing sector to grow and aim for more value-added goods, China is to remain the workshop of the world for the foreseeable future. Demand for services, however, is growing all over the world. The more developing economies advance, the more their appetite for services will grow.
It is therefore absolutely necessary that economic policymaking is aligned with the demands of the future. The SIFC is playing a key role in putting Pakistan on the world investment map. However, a well-thought-out policy in services export is needed and should be included in the SIFC’s mandate.
During this difficult social and economic time for our country, where we let too many of our weaknesses fester, let us recognize what we are good at and make it par excellence. There is something of a virtuous circle, with a skilled, qualified and talented workforce, we can attract more FDI and enhance our soft power while giving our youth something to be optimistic about.
‘Brand Pakistan’ needs to become synonymous with high-quality services and this can only be done through investment in our people. It is a massive opportunity staring at our face provided we have the nous to see it.
The writer is an economic minister at the Pakistan High Commission, London and can be reached at: zehra.saminaphclondon.org