Anyone who was in Dubai over the weekend or viewed the celebrations for Expo2020 on television would have noticed something unusual. Those celebrating the city’s win were not all Emiratis; indeed most, as befits the demographics of the country, were expatriates.
At first glance, seen in a global context, that looks unusual. For expatriates in the United States, which celebrated its Thanksgiving day last week, such slices of Americana are to be enjoyed as spectators, not participants. The many who crowded into the UK last year for the Queen’s Diamond Jubilee were similarly there for the spectacle – they were watching the English wave British flags to celebrate (the republicans noted snarkily) a German queen. The same applies to the many national day celebrations that tourists find themselves part of on their travels.
Why then, an observer might ask, were non-nationals so keen to celebrate Dubai’s achievement? And why, wandering along Abu Dhabi’s Corniche this weekend, were so many of those sporting flags non-nationals?
The answer says something interesting about the UAE; it says something about the cohesiveness of a society that, by all external factors, ought to be anything but. The UAE has one of the largest expatriate populations in the world, and yet somehow millions of them were celebrating the success of the country. Many of them contributed to bringing about that success. As the country celebrates its National Day, it is a testament to the nation and its nationals that it has managed to make so many feel at home.
In particular, the UAE holds a special attraction to other Arabs. Earlier this year, a survey by a leading public relations agency found that young people in the Arab world would prefer to live in the UAE than in any other country. That wasn’t a preference for any other Arab country – that was a preference for any other country in the world, including countries that are traditionally seen as the most attractive, like France (number 2) and the United States (number 3).
When that survey came out, I discussed it with Arab expatriates in Dubai who saw the root of it as a craving for novelty and excitement. The majority of all Arabs now living are under 30. With the Arab Spring still playing out, Dubai, especially, is the safest and most cosmopolitan city in the region. No other city in the Arabian Peninsula (and for a considerable way beyond) is as diverse or as dynamic. That energy attracts young people especially: every evening in the city, young people from across Europe, the Arab world, South Asia and further afield gather together. That is a big draw.
Moreover, the city as well as its capital neighbour to the south attracts two categories of people that I find especially fascinating. It attracts western Arabs (those Arabs who were raised in the West), who see it as the easiest place in the region to live between the two cultures. And it attracts those from the developed world – not merely the West – who, although they may have no connection to the country or the region, see it as the easiest place to live what I call the “urban dream”. This is the life of high-rise apartments, glamorous restaurants and beautiful people that is repeatedly permeated through popular culture as the most desirable way for those in their 20s and 30s to live. Ironically, it is almost impossible, given the cost of living, to live like that in New York or London.
But I think the reason for the UAE’s attractiveness goes deeper than lifestyle, especially for Arabs. It isn’t merely about the glitter of Dubai or Abu Dhabi, as a stroll through other cities in the country shows. Everywhere, there are thousands of Arabs (and, of course, other nationalities), living, working, raising families and building businesses.
The reason that so many Arabs want to live in the UAE is the same reason so many want to live in the West. The opportunities for advancement, the standard of living, the rule of law and the security of the country far exceed most of the Arab world, and indeed many countries beyond.
The Arab world has been, for some time, in a parlous state. Corruption, poor governance, stagnant economies, infrastructure problems – these are all problems that nearly every Arab country has faced in the past three decades. For young people who grew up in these countries, it is no wonder that the UAE appears as a beacon, a place where they can come and practice their professions in peace. That it is also an Arab country, with all the familiarity of language and culture that implies, only adds to the attraction.
And that’s what has happened over the past 42 years: Arabs, especially those from neighbouring countries and those affected by instability, have come to the UAE. Palestinians, Lebanese, Egyptians, Yemenis, Moroccans and Iraqis have come, bringing their talents and their energy. As the Arab Spring has rocked the region, they have increasingly also brought their money and their families.
This is what an Arab colleague meant when he described the UAE as “hilm al-Arab”, the dream of the Arabs, a place to be proud of and a place to emulate. Perhaps that’s the greatest compliment the Arab world can pay the UAE on this national day: in a region that has so many of the world’s oldest and finest civilisations, it is one of the newest that now stands as a model for the rest.
falyafai@thenational.ae
On Twitter: @FaisalAlYafai
Januzaj's club record
Manchester United 50 appearances, 5 goals
Borussia Dortmund (loan) 6 appearances, 0 goals
Sunderland (loan) 25 appearances, 0 goals
The rules of the road keeping cyclists safe
Cyclists must wear a helmet, arm and knee pads
Have a white front-light and a back red-light on their bike
They must place a number plate with reflective light to the back of the bike to alert road-users
Avoid carrying weights that could cause the bike to lose balance
They must cycle on designated lanes and areas and ride safe on pavements to avoid bumping into pedestrians
if you go
The flights
Flydubai offers three daily direct flights to Sarajevo and, from June, a daily flight from Thessaloniki from Dubai. A return flight costs from Dhs1,905 including taxes.
The trip
The Travel Scientists are the organisers of the Balkan Ride and several other rallies around the world. The 2018 running of this particular adventure will take place from August 3-11, once again starting in Sarajevo and ending a week later in Thessaloniki. If you’re driving your own vehicle, then entry start from €880 (Dhs 3,900) per person including all accommodation along the route. Contact the Travel Scientists if you wish to hire one of their vehicles.
PROFILE OF CURE.FIT
Started: July 2016
Founders: Mukesh Bansal and Ankit Nagori
Based: Bangalore, India
Sector: Health & wellness
Size: 500 employees
Investment: $250 million
Investors: Accel, Oaktree Capital (US); Chiratae Ventures, Epiq Capital, Innoven Capital, Kalaari Capital, Kotak Mahindra Bank, Piramal Group’s Anand Piramal, Pratithi Investment Trust, Ratan Tata (India); and Unilever Ventures (Unilever’s global venture capital arm)
Last 10 NBA champions
2017: Golden State bt Cleveland 4-1
2016: Cleveland bt Golden State 4-3
2015: Golden State bt Cleveland 4-2
2014: San Antonio bt Miami 4-1
2013: Miami bt San Antonio 4-3
2012: Miami bt Oklahoma City 4-1
2011: Dallas bt Miami 4-2
2010: Los Angeles Lakers bt Boston 4-3
2009: Los Angeles Lakers bt Orlando 4-1
2008: Boston bt Los Angeles Lakers 4-2
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.”
MATCH INFO
Sheffield United 3
Fleck 19, Mousset 52, McBurnie 90
Manchester United 3
Williams 72, Greenwood 77, Rashford 79
Major matches on Manic Monday
Andy Murray (GBR) v Benoit Paire (FRA)
Grigor Dimitrov (BGR) v Roger Federer (SUI)
Rafael Nadal (ESP) v Gilles Muller (LUX)
Adrian Mannarino (FRA) Novak Djokovic (SRB)
23-man shortlist for next six Hall of Fame inductees
Tony Adams, David Beckham, Dennis Bergkamp, Sol Campbell, Eric Cantona, Andrew Cole, Ashley Cole, Didier Drogba, Les Ferdinand, Rio Ferdinand, Robbie Fowler, Steven Gerrard, Roy Keane, Frank Lampard, Matt Le Tissier, Michael Owen, Peter Schmeichel, Paul Scholes, John Terry, Robin van Persie, Nemanja Vidic, Patrick Viera, Ian Wright.