Nato Secretary General Jens Stoltenberg speaks to the press as he arrives for a two-day defence ministers' meeting in Brussels. AFP
Nato Secretary General Jens Stoltenberg speaks to the press as he arrives for a two-day defence ministers' meeting in Brussels. AFP
Nato Secretary General Jens Stoltenberg speaks to the press as he arrives for a two-day defence ministers' meeting in Brussels. AFP
Nato Secretary General Jens Stoltenberg speaks to the press as he arrives for a two-day defence ministers' meeting in Brussels. AFP

Nato's Stoltenberg: More important that Sweden and Finland join soon than together


Sunniva Rose
  • English
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Nato Secretary General Jens Stoltenberg said on Tuesday it was more important that Finland and Sweden's applications to join the alliance were ratified quickly than jointly, even as the Swedish Prime Minister said there were benefits to moving together.

The two countries applied to join Nato following Russia's invasion of Ukraine in February last year and their membership bids have been ratified by all allies except Hungary and Turkey.

Turkey is widely seen as the main hold-up and Turkish President Recep Tayyip Erdogan has indicated his country could ratify Finland's application without going ahead with Sweden's.

Sweden's Prime Minister Ulf Kristersson said on Tuesday he still hoped Finland and Sweden will join Nato simultaneously. “It would be of great benefit to Nato as well,” he said.

Western officials have said they would prefer both countries to join Nato together, partly because it would be easier to integrate them at the same time into Nato’s military structures.

But Mr Stoltenberg, speaking at a two-day meeting of Nato defence ministers at alliance headquarters in Brussels, suggested that was a secondary consideration.

“The main question is not whether Finland and Sweden are ratified together. The main question is that they are both ratified as full members as soon as possible,” he told reporters.

“I'm confident that both will be full members and I'm working hard to get both ratified as soon as possible.”

Mr Stoltenberg stressed Sweden and Finland had already come much closer to Nato in recent months. He also noted that all Nato members approved the two countries' invitations to join the alliance in July.

“This is the quickest accession process in Nato’s modern history,” Mr Stoltenberg said.

“Finland and Sweden are in a very different place now than before they applied. They have bilateral security assurances from many allies.”

Mr Erdogan, however, said earlier this month that Turkey looks positively on Finland's Nato bid but does not support Sweden's.

Ankara has demanded that both countries take a tougher line against the Kurdistan Workers' Party, which is considered a terrorist group by Turkey and the EU, and another group it blames for a 2016 coup attempt.

Speaking to reporters in Brussels, Finland’s Defence Minister Mikko Savola said that he was “not frustrated” by the delay.

“We are waiting [for] those two countries Hungary and Turkey, and hopefully they will make their decision soon,” he said.

Finnish parliamentary groups said on Friday they may ratify Nato's founding treaties in the coming weeks, a step that could lead to Helsinki proceeding with membership ahead of Sweden.

Mr Stoltenberg also said that defence ministers would discuss increasing targets for ammunition stockpiles and the protection of critical infrastructure.

He warned of new offensives and attacks from Russia as the war in Ukraine approaches its first anniversary. “This has become a grinding war of attrition,” he said.

“We see no signs that President [Vladimir] Putin is preparing for peace. What we see is the opposite — he is preparing for more war, for new offensives and new attacks,” he told reporters.

German Defence Minister Boris Pistorius said as he arrived at the meeting that contracts have now been signed to produce new ammunition in Germany.

“That means we will now start our own production of Gepard ammunition at Rheinmetall without delay,” Mr Pistorius said.

“I am very happy that this succeeded because it better secures our independence and faster delivery.”

Germany has supplied 32 of the Gepard anti-aircraft guns since it first agreed to send them to Ukraine in late-April, and has pledged 37 in total.

he German military has not used them since 2012, so they came from stocks held in reserve by the defence industry.

But Germany so far has been unsuccessful after months of trying to persuade neutral Switzerland to approve exports to Ukraine of stockpiles in the Alpine country of Gepard ammunition, which was manufactured there by a subsidiary of German defence company Rheinmetall.

Ukraine has been increasingly vocal in its request for fighter jets from Nato allies, but Mr Stoltenberg has warned that while this will be discussed, the priority is to deliver on pledges already made, including tanks and ammunition.

Dutch Defence Minister Kajsa Ollongren said that she “completely” understood why Ukraine wanted fighter jets. “That has to be part of considerations that we are going through now,” she said.

Estonian Defence Minister Hanno Pevkur called on the alliance to deliver jets.

He added that his Ukrainian counterpart Oleksii Reznikov had promised him “many times” that they would not be used in Russian territory, which remains a red line for Ukraine’s western backers.

Some European countries have expressed fears of direct confrontation with Russia.

The EU's top diplomat, Josep Borrell, who also participated in the Nato meeting, was more evasive.

“Let's see,” he said, when asked about fighter jets.

“I am sure that among all of us we will continue providing strong military support to Ukraine.”

Global state-owned investor ranking by size

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Company name: Blah

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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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Brief scores:

Day 1

Toss: India, chose to bat

India (1st innings): 215-2 (89 ov)

Agarwal 76, Pujara 68 not out; Cummins 2-40

David Haye record

Total fights: 32
Wins: 28
Wins by KO: 26
Losses: 4

Updated: February 14, 2023, 8:04 PM