‘The people of Syria must come to a political agreement’



BEIRUT // World powers meeting in Geneva yesterday adopted a version of special envoy Kofi Annan's Syria plan that left open the question of President Bashar Al Assad's role in a transition government.

Representatives from the United States, Russia, Turkey and Arab states met for a conference called by Mr Annan, the UN-Arab League special envoy to Syria, aimed at forging a political solution to end the 16-month conflict.

Mr Annan said yesterday it was "for the people of Syria to come to a political agreement".

"The hard work starts now," he said. "We must work together to implement what has been agreed."

He had warned that if countries seeking to end the bloodshed failed to act, they risked facing an international crisis of "grave severity".

The negotiating text for the conference called for establishing a transitional government of national unity, with full executive powers, which could include members of the current Syrian government, the opposition and other groups. It would oversee the drafting of a new constitution, as well as elections.

Russia and China have so far failed to agree with the US and other western states over the question of Mr Al Assad's role in a transitional government.

Moscow had refused to support calls for the Syrian president to step down.

"How exactly the work on a transition to a new stage is conducted will be decided by the Syrians themselves," said Sergei Lavrov, the Russian foreign minister, adding that Russia had convinced other world powers that it would be "unacceptable" to exclude any party from the transition process.

But Hillary Clinton, the US secretary of state, said yesterday that "Assad will still have to go".

"What we have done here is to strip away the fiction that he and those with blood on their hands can stay in power," Mrs Clinton said.

The proposal discussed did not explicitly state Mr Al Assad must step aside, but said a unity government would exclude figures "whose continued presence and participation would undermine the credibility of the transition and jeopardise stability and reconciliation".

"Ultimately, we want to stop the bloodshed in Syria. If that comes through political dialogue, we are willing to do that," said Khalid Saleh, a spokesman for the opposition Syrian National Council.

"We are not willing to negotiate [with] Mr Al Assad and those who have murdered Syrians. We are not going to negotiate unless they leave Syria."

Ahead of the meeting, Human Rights Watch said any transition plan for Syria should include accountability for serious abuses.

"In tomorrow's Syria, torturers and abusers should be on trial, not in power," Sarah Leah Whitson, the group's Middle East and North Africa director, said in a statement.

"Preserving rule of law is critical, but that includes making accountable the security services that have acted as the real power brokers for 40 years."

Yesterday's conference was expected to include representatives from the US and European countries, Turkey, Iraq, Kuwait and Qatar. Saudi Arabia and Iran were not invited. Russia reportedly objected to the involvement of Saudi Arabia, which has supported elements of the Syrian opposition, while the US did not want Iran, an ally of the Syrian regime, to attend.

In an interview broadcast on Iranian television this week, Mr Al Assad dismissed the idea of any solution to the crisis being imposed from outside Syria.

"We will not accept any non-Syrian, non-national model, whether it comes from big countries or friendly countries," he said. "No one knows how to solve Syria's problems as well as we do."

As the diplomatic wrangling continues outside the country, the situation on the ground in Syria appears to be worsening by the day. On Thursday alone, opposition groups reported 125 people killed in violence across the country - one of the worst death-tolls in a single day of fighting.

At least 42 people were killed yesterday, according to the UK-based monitoring group the Syrian Observatory for Human Rights. These figures could not be independently verified.

The group reported that hundreds were trapped by violence in the town of Douma near Damascus, which has been under siege for weeks. The Observatory reported further violence in areas including Rastan, Deir Ezzor and in Idleb province.

Fighting has increased sharply in the last two weeks, after the UN's observer mission to Syria - part of Mr Annan's peace plan - suspended its work. After coming under attack several times, the 300-member team, which was unarmed, said it was not safe to operate in such conditions.

Sana, the Syrian state news agency, yesterday reported that authorities in Idleb had "confronted an armed terrorist group" using rocket-propelled grenades, in clashes that killed some of the "terrorists", the word the regime uses to describe the rebels.

In Aleppo, Sana reported that a blast occurred when an explosives-laden car was detonated, causing significant damage to nearby buildings. In Douma, the agency said authorities seized weapons stores used by rebel fighters.

"Scores" of rebels were also killed during clashes in the town of Deir Ezzor, according to Sana.

* With additional reports by Associated Press, Agence France-Presse and Reuters

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Winner: AF Alajaj, Tadhg O’Shea (jockey), Ernst Oertel (trainer)

6.35pm: Race of Future – Handicap (TB) $80,000 (Turf) 2,410m
Winner: Global Storm, William Buick, Charlie Appleby

7.10pm: UAE 2000 Guineas – Group 3 (TB) $150,000 (D) 1,600m
Winner: Azure Coast, Antonio Fresu, Pavel Vashchenko

7.45pm: Business Bay Challenge – Listed (TB) $100,000 (T) 1,400m
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20.20pm: Curlin Stakes – Listed (TB) $100,000 (D) 2,000m
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8.55pm: Singspiel Stakes – Group 2 (TB) $180,000 (T) 1,800m
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9.30pm: Al Shindagha Sprint – Group 3 (TB) $150,000 (D) 1,200m
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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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Name: HyperSpace
 
Started: 2020
 
Founders: Alexander Heller, Rama Allen and Desi Gonzalez
 
Based: Dubai, UAE
 
Sector: Entertainment 
 
Number of staff: 210 
 
Investment raised: $75 million from investors including Galaxy Interactive, Riyadh Season, Sega Ventures and Apis Venture Partners
 
 
 
 
 
 
 
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