Jordan's King Abdullah II discussed development with Japanese Prime Minister Fumio Kishida during a visit to Japan, as the kingdom feels growing economic pressure.
An official Japanese statement on Wednesday said Mr Kishida expressed “Japan’s desire to contribute to the urgent challenges facing Jordan, such as increasing investment from abroad and reducing unemployment”.
Unemployment in aid-dependent Jordan is officially about 23 per cent. The economy has been stagnant for the past dozen years, in part because of declines in foreign investment.
Japan is among international powers allied with Washington that provide direct budgetary support to Jordan, as well as grants and loans for infrastructure and other projects.
“Japan appreciates Jordan’s efforts to modernise its economy and finances, and will continue to support Jordan through measures including development policy loans and grant aid,” the statement said.
The king and Mr Kishida met on Tuesday over a 65-minute working dinner. They agreed to co-operate in the technology field, the statement said.
King Abdullah “expressed deep appreciation for Japan’s consistent support for Jordan,” the Royal Court said.
They witnessed a signing ceremony of a 713 million yen ($5.3 million) Japanese grant for Jordan to buy equipment for a water desalination project.
If completed, the multibillion dollar project would be Jordan's most expensive piece of infrastructure yet. It would consist of a desalination plant on the Red Sea, near the port city of Aqaba, and a pipeline to carry the water to Amman, with solar or wind to power the project.
Until recently, many seawater desalination plants relied on thermal energy, such as burning oil and gas to evaporate water, leaving salty brine, or used electricity provided by thermal sources to push seawater through membranes.
The visit is the 12th by King Abdullah to Japan since he became monarch in 1999, indicating the importance of Japan in supporting the kingdom, which has a defence pact with the United States and is a main recipient of US financial aid.
The king appreciated “the warm reception extended by the Japanese side, as well as his desire to further strengthen strategic relations,” the statement said.
King Abdullah has been accompanied on the visit by his wife, Queen Rania, and his son, Crown Prince Hussein. On Tuesday, they met Emperor Naruhito and Empress Masako at the Imperial Palace in Tokyo.
The king “lauded the deep-rooted friendship between Jordan’s Royal Hashemite Family and Japan’s Imperial Family,” the Royal Palace said.
It said the king left for Japan on April 6 and he will be returning to Jordan on Wednesday.
The specs
Engine: 3.0-litre six-cylinder MHEV
Power: 360bhp
Torque: 500Nm
Transmission: eight-speed automatic
Price: from Dh282,870
On sale: now
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.”
The Little Things
Directed by: John Lee Hancock
Starring: Denzel Washington, Rami Malek, Jared Leto
Four stars
Ziina users can donate to relief efforts in Beirut
Ziina users will be able to use the app to help relief efforts in Beirut, which has been left reeling after an August blast caused an estimated $15 billion in damage and left thousands homeless. Ziina has partnered with the United Nations High Commissioner for Refugees to raise money for the Lebanese capital, co-founder Faisal Toukan says. “As of October 1, the UNHCR has the first certified badge on Ziina and is automatically part of user's top friends' list during this campaign. Users can now donate any amount to the Beirut relief with two clicks. The money raised will go towards rebuilding houses for the families that were impacted by the explosion.”
COMPANY%20PROFILE
%3Cp%3E%3Cstrong%3EName%3A%20%3C%2Fstrong%3EEjari%3Cbr%3E%3Cstrong%3EBased%3A%20%3C%2Fstrong%3ERiyadh%2C%20Saudi%20Arabia%3Cbr%3E%3Cstrong%3EFounders%3A%20%3C%2Fstrong%3EYazeed%20Al%20Shamsi%2C%20Fahad%20Albedah%2C%20Mohammed%20Alkhelewy%20and%20Khalid%20Almunif%3Cbr%3E%3Cstrong%3ESector%3A%20%3C%2Fstrong%3EPropTech%3Cbr%3E%3Cstrong%3ETotal%20funding%3A%20%3C%2Fstrong%3E%241%20million%3Cbr%3E%3Cstrong%3EInvestors%3A%20%3C%2Fstrong%3ESanabil%20500%20Mena%2C%20Hambro%20Perks'%20Oryx%20Fund%20and%20angel%20investors%3Cbr%3E%3Cstrong%3ENumber%20of%20employees%3A%20%3C%2Fstrong%3E8%3C%2Fp%3E%0A
How Beautiful this world is!
