Technology has its limits in Third World disasters, say aid workers


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DUBAI // Technology played a vital role in relief efforts in the aftermath of the floods that devastated Pakistan. But it has its limitations, aid agency officials said yesterday.

From mobile field hospitals with advanced medical equipment to a credit card-style system allowing those affected to access cash to buy food, technology was used in a host of different ways.

However, last July's disaster destroyed much of the infrastructure, and took place in rural areas where there was little or no internet or electricity to begin with.

The flood destroyed more than 5,000 schools and hospitals, cutting off 800,000 people from help. It affected 1,500km of land and brought with it malaria, cholera and diarrhoea.

"The scale of the disaster was one of the worst Pakistan and the world had faced," said Jamil Ahmed Khan, Pakistan's ambassador to the UAE.

"Could technology have played a bigger role? Maybe, but in many areas, things like Facebook and Twitter, or even access to the internet, were non-existent."

Mr Khan was chairing a panel discussion yesterday between non-governmental organisations and relief agencies at the Dubai International Humanitarian Aid and Development Conference and Exhibition.

"Our effort involved setting up 20,000 tents, vaccinating more than 8,000 children against things like polio, MMR and measles," said Saleh Mousa al Taei, deputy general secretary of the UAE Red Crescent Authority.

He said volunteers used GPS equipment as well as satellite phones to communicate and they had been invaluable during the relief effort.

"In fact the mobile clinics had a variety of devices like ECG and other diagnostic equipment," he added.

David Kaatrud, director of emergencies at the World Food Programme Rome, told delegates at the Dubai International Convention and Exhibition Centre that pioneering technology was used to help in the effort.

Satellite imaging with location technology pinpointed the areas that were most in need, with teams then dispatched to 11,000 displaced villages to verify what the situation was on the ground, he said.

"One of the biggest worries is malnutrition of children under the age of two," he said. "It's a race against time because the brain damage caused by a lack of nutrients becomes permanent if action isn't taken fast enough."

To address this, sachets containing key nutrients, were handed out to villagers.

The recipe was given to Pakistani factories to mass produce, while another recipe based on chickpeas was also developed, he said.

Those factories were now able to meet demand if any future need arose, he added.

A cash and card system allowed people to buy their own food, helping victims to get their daily nutritional requirements while also helping reinvigorate the local economy in these areas.

"Technology helped, but for small scale NGOs in rural villages the first two weeks were difficult because these places either had no electricity or it had been destroyed," said Dr Rosena Allin-Khan, from the UK-based charity Doctors Worldwide.

Although technology helped to collect a vast amount of data, there needed to be better communication between NGOs so that they could target areas more effectively, she said.

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Company Profile

Name: Thndr
Started: 2019
Co-founders: Ahmad Hammouda and Seif Amr
Sector: FinTech
Headquarters: Egypt
UAE base: Hub71, Abu Dhabi
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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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