The Sydney Harbour Bridge in Sydney, where Abu Dhabi Tourism Authority is opening an office this week.
The Sydney Harbour Bridge in Sydney, where Abu Dhabi Tourism Authority is opening an office this week.

Capital mounts overseas sales drive



ABU DHABI // The capital has begun an aggressive push to attract more international visitors and by the end of the year will have doubled the number of its tourist offices abroad. The Abu Dhabi Tourism Authority (ADTA) already has offices in the UK, Germany and France. This week, it will open its farthest-flung outpost to date - 12,000km away in Sydney, Australia. Three more offices will follow shortly in China and Italy.

In most parts of the world, Abu Dhabi is still an obscure location. In comparison with Dubai, which has 15 offices in countries across the globe, the ADTA has been slow to sell the country overseas, partly because it is aiming at a more select type of tourist. By 2013, however, ADTA hopes to have opened 10 offices, said Ali Ahmed al Hosani, the director of promotions. Australia may already have sun and sand, he said, "but they don't have the flair of Arabic or the culture of the Arabian peninsula". Germans could go to Spain, only an hour away, but "they come here looking for the culture".

The market in Australia is particularly promising: 8,000 Australians visited Abu Dhabi last year, either to see friends or during stopovers on their way to the UK. Following Etihad Airways' introduction in November of 11 flights a week between Abu Dhabi and Sydney, that number is expected to grow. Positioned at the junction of the European, Asian and African continents, Abu Dhabi is perfectly located to become a global transport hub. Recent technological innovations have also helped the capital's case. Aircraft can now make the trip between Australia and the UK in two legs, as opposed to three or four and, with major attractions such as the Louvre and Guggenheim museums in the pipeline, Abu Dhabi will become an increasingly attractive prospect as a cultural oasis for long-haul travellers.

"With the UK ranking among Australia's top five outbound destinations and with Etihad's excellent onward connections via Abu Dhabi to Britain, the potential for stopover business is obvious," said Mubarak al Muhairi, the director general of the ADTA, in a statement to WAM. The emirate is unlikely to be overrun immediately by vast numbers of additional tourists; the ADTA outposts will be playing a long game, says Mr Hosani, starting with building relationships with local trade media, travel agents and tour operators in the host countries. Travel journalists will be invited to visit the city so "they can write about it with their own pen".

There was, he said, "an emerging trend of retired clients and families using the Middle East as a stopover to break up long-haul journeys. Lack of knowledge could be a reason the region is viewed simply as a stopover destination and our initial focus must be on addressing this by first educating the travel trade." In Australia, the high-profile publicity firm Hill & Knowlton has been recruited to raise the emirate's profile. Mr Hosani said the ADTA did not send its own employees to overseas offices, but recruited local people who had the necessary contacts to develop relationships with regional industry players. Incentive schemes, offering prizes including holidays, would be introduced for travel agents who committed to learning more about the destination. The new offices themselves will be designed and decorated to give a flavour of Abu Dhabi. "When you step into the office, it will be like you have come to Abu Dhabi," said Mr Hosani.

ADTA's strategy is to build relationships with the local tourist industry and then reach out to the potential tourists - and not just any tourists. In China, for example, the authority advertises in upmarket newspapers and magazines to attract an elite crowd, a strategy that will continue in Australia. @Email:jgerson@thenational.ae

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Greatest of All Time
Starring: Vijay, Sneha, Prashanth, Prabhu Deva, Mohan
Director: Venkat Prabhu
Rating: 2/5

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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Director: Maggie Gyllenhaal

Starring: Olivia Colman, Jessie Buckley, Dakota Johnson

Rating: 4/5

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In-demand jobs and monthly salaries
  • Technology expert in robotics and automation: Dh20,000 to Dh40,000 
  • Energy engineer: Dh25,000 to Dh30,000 
  • Production engineer: Dh30,000 to Dh40,000 
  • Data-driven supply chain management professional: Dh30,000 to Dh50,000 
  • HR leader: Dh40,000 to Dh60,000 
  • Engineering leader: Dh30,000 to Dh55,000 
  • Project manager: Dh55,000 to Dh65,000 
  • Senior reservoir engineer: Dh40,000 to Dh55,000 
  • Senior drilling engineer: Dh38,000 to Dh46,000 
  • Senior process engineer: Dh28,000 to Dh38,000 
  • Senior maintenance engineer: Dh22,000 to Dh34,000 
  • Field engineer: Dh6,500 to Dh7,500
  • Field supervisor: Dh9,000 to Dh12,000
  • Field operator: Dh5,000 to Dh7,000
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AIR
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The specs
Engine: Long-range single or dual motor with 200kW or 400kW battery
Power: 268bhp / 536bhp
Torque: 343Nm / 686Nm
Transmission: Single-speed automatic
Max touring range: 620km / 590km
Price: From Dh250,000 (estimated)
On sale: Later this year
Our legal consultant

Name: Dr Hassan Mohsen Elhais

Position: legal consultant with Al Rowaad Advocates and Legal Consultants.

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Rating: 4/5

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Living in...

This article is part of a guide on where to live in the UAE. Our reporters will profile some of the country’s most desirable districts, provide an estimate of rental prices and introduce you to some of the residents who call each area home.

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DRIVERS' CHAMPIONSHIP STANDINGS

1. Sebastian Vettel (Ferrari) 171 points
2. Lewis Hamilton (Mercedes-GP) 151
3. Valtteri Bottas (Mercedes-GP) 136
4. Daniel Ricciardo (Red Bull Racing) 107
5. Kimi Raikkonen (Ferrari) 83
6. Sergio Perez (Force India) 50
7. Max Verstappen (Red Bull Racing) 45
8. Esteban Ocon (Force India) 39
9. Carlos Sainz (Torro Rosso) 29
10. Felipe Massa (Williams) 22

UAE currency: the story behind the money in your pockets
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THE BIO

Age: 30

Favourite book: The Power of Habit

Favourite quote: "The world is full of good people, if you cannot find one, be one"

Favourite exercise: The snatch

Favourite colour: Blue

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Travel updates and inspiration from the past week

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