Accurate data key to mapping services


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ABU DHABI // With more people relying on technology such as Google Maps in their everyday lives, governments are increasingly expected to move with the times.

Demand is growing for public services that utilise reliable location data from geographic information systems (GIS), experts said at a conference in Abu Dhabi on Monday.

This data is increasingly being used in Abu Dhabi in sectors including public health, local government, security, urban planning and education.

A survey found that 20 per cent more people were using these location-based services than when they were first introduced in Abu Dhabi, said Khawla Al Fahim, executive manager of the Abu Dhabi Systems and Information Centre (Adsic) spatial data division.

The centre coordinates the use of these systems and applications for geospatial data among government entities in the emirate.

Sixty-five per cent of the emirate’s population benefits from geographic information services, said Omar Al Shaiba, director of spatial data and property at the Abu Dhabi Department of Municipal Affairs.

One of the uses has been mapping tourism sites in Al Ain, he said.

Another example is Adsic's City-Guard smartphone app, through which people can take a picture and report a problem such as a broken bench or pothole. More than 84,000 people have downloaded the app, the centre says, and 90 per cent of cases have been closed.

“Now, people – the public – are wearing that hat of the inspector,” Ms Al Fahim said.

The picture and location data are reported to the government call centre and transferred to the relevant authorities, such as food inspectors or the municipality.

“So this is one of the ways we are moving forward, having people participate more in the government’s work,” said Ms Al Fahim.

She said the centre has policies to protect people’s privacy.

“We do have policies on information technology and information security standards that we follow when it comes to privacy. We have different layers of information.”

Basic information may be publicly available – if someone is looking for a hotel, or instance, they may find its location, name, number of rooms and rating, she said.

“The next layer of security that we have is just another layer of information,” said Ms Al Fahim. “That’s one way that we control privacy.”

Geospatial technology tends to help people rather than affect their privacy, said Vanessa Lawrence, secretary general of Ordnance Survey International, which advises governments on mapping and location data services.

“Around the world there is a constant debate about privacy, but the data that our industry uses is about place and location, not about people,” she said.

“What we have very much recognised is that as long as you don’t collect information about people, which we don’t and nor do we advise anyone does, then privacy issues are not an issue at all.”

The technology allows basic functions such as rubbish collection and traffic management to be carried out more cheaply and efficiently.

“More often, I think, if our technology allows that to happen, then that’s great,” she said.

“If it just means that because you understand the flows of traffic through a particular junction, then that’s a real economic benefit.

“So what I am seeing around the world is that this is assisting people, not affecting their privacy. Constantly we think about these things, but it has not been an issue to date.”

Governments need to rely, however, on authoritative data rather than data that is “just good enough” that may be available elsewhere, Ms Lawrence said. Her company has advised Bahrain on using geospatial information.

“What is happening in Bahrain and in many countries across the road is they need to build authoritative data, where everyone can trust the data and knows that the data is the exact representation of what’s happening on the ground, so a road is exactly where it says it is,” she said. “Just good enough data is not for the future.”

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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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