Florida governor Ron DeSantis lauds Israel on trip to Jerusalem


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Florida governor and potential US presidential candidate Ron DeSantis described Israel as one of his country’s “most valued and trusted” allies during a visit to Jerusalem on Thursday.

“The task before us as Americans is standing strongly and forthrightly with Israel and with the Jewish people,” Mr DeSantis said at a conference hosted by the Museum of Tolerance Jerusalem and The Jerusalem Post newspaper.

His trip is part of a wider international tour designed to build his profile as a statesman. The visit is perhaps the strongest indication yet that the Republican Florida governor plans to run for US president next year.

Mr DeSantis did not confirm whether he would be running, and instead chose to highlight his ongoing support for Israel and criticise the policies of the Biden administration in the region.

At a press conference, he criticised the 2015 Iran nuclear deal, saying it “flooded Iran with money that rejuvenated their economy, and that led to the funding of terrorism all across the Middle East”.

He also encouraged Israel's efforts to normalise relations with Saudi Arabia. “Absolutely, I think with proper policy and proper relations you could see Saudi Arabia recognise the existence of Israel,” he said.

Mr DeSantis spoke about his opposition to pro-Palestinian campaigns to isolate Israel, a 2019 trip in solidarity with a Jewish settlement in the occupied West Bank, and his support for US recognition of Jerusalem as Israel's capital.

Former US president Donald Trump in 2018 moved his country’s embassy in Israel from Tel Aviv to Jerusalem, a move heralded by Prime Minister Benjamin Netanyahu and other conservatives, but one that upended decades of US foreign policy and frustrated Palestinians who seek East Jerusalem as the capital of their future state.

Despite Mr Trump leaving office in 2021, the US embassy remains in Jerusalem.

Most UN member states do not recognise Jerusalem as Israel’s capital, taking the position that Israel’s capture and subsequent annexation of East Jerusalem during the 1967 Middle East War is a breach of international law.

Ivanka Trump at the opening of the new US embassy in Jerusalem. AP
Ivanka Trump at the opening of the new US embassy in Jerusalem. AP

UN Security Council Resolution 465, issued in 1980, calls on Israel “to cease, on an urgent basis, the establishment, construction and planning of settlements in the Arab territories occupied since 1967, including Jerusalem”.

Mr DeSantis landed in Israel on Thursday after stops in Japan and South Korea, where he met Japanese Prime Minister Fumio Kishida and South Korean Prime Minister Han Duck-soo.

His trip to the Middle East is an opportunity for him to burnish foreign policy credentials and show voters at home that he too can cultivate close ties with Israel and Mr Netanyahu.

“For Governor DeSantis to be able to see on the ground what is going on, as well as to meet with and build a relationship with Netanyahu, is significant for him to credibly claim that he is going to continue with the proper agenda with foreign policy, particularly to the Republican electorate,” said John Thomas, a Republican strategist who heads a political action committee in support of Mr DeSantis.

US support of Israel is an important element in any Republican agenda and Mr DeSantis is actively working to prove to the party's base that he will carry on that tradition, Mr Thomas told The National.

The governor is travelling as part of an international trade mission and appeared irritated when a journalist asked about the possibility of running against Mr Trump for the Republican party's presidential nomination.

“I'm not a candidate, so we'll see if and when that changes,” he said.

But Mr Thomas called the trip “significant” and an important step to “burnish and bolster” Mr DeSantis’s credentials to run for president.

“He's going out there to be able to come back to the United States and credibly say that he is qualified and has relationships to make the tough decisions that are required of a commander in chief,” he said.

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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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UAE v Gibraltar

What: International friendly

When: 7pm kick off

Where: Rugby Park, Dubai Sports City

Admission: Free

Online: The match will be broadcast live on Dubai Exiles’ Facebook page

UAE squad: Lucas Waddington (Dubai Exiles), Gio Fourie (Exiles), Craig Nutt (Abu Dhabi Harlequins), Phil Brady (Harlequins), Daniel Perry (Dubai Hurricanes), Esekaia Dranibota (Harlequins), Matt Mills (Exiles), Jaen Botes (Exiles), Kristian Stinson (Exiles), Murray Reason (Abu Dhabi Saracens), Dave Knight (Hurricanes), Ross Samson (Jebel Ali Dragons), DuRandt Gerber (Exiles), Saki Naisau (Dragons), Andrew Powell (Hurricanes), Emosi Vacanau (Harlequins), Niko Volavola (Dragons), Matt Richards (Dragons), Luke Stevenson (Harlequins), Josh Ives (Dubai Sports City Eagles), Sean Stevens (Saracens), Thinus Steyn (Exiles)

Updated: April 27, 2023, 6:51 PM