Cash aid for residents at the Zaatari refugee camp in Jordan will be reduced in August. Getty
Cash aid for residents at the Zaatari refugee camp in Jordan will be reduced in August. Getty
Cash aid for residents at the Zaatari refugee camp in Jordan will be reduced in August. Getty
Cash aid for residents at the Zaatari refugee camp in Jordan will be reduced in August. Getty

What does slashing cash aid mean for Syrian refugees in Jordan?


Mina Aldroubi
  • English
  • Arabic

Lack of humanitarian assistance for Syrian refugees living in Jordan could push them on to dangerous routes towards Europe, the UN refugee agency said on Wednesday.

The warning comes after the UN food agency announced it will reduce cash aid for 120,000 Syrian refugees living in two camps, Zaatari and Azraq, in Jordan.

The monthly cash allowance for camp residents will be cut to $21, from $32, starting in August, the World Food Programme said on Tuesday.

The UN's High Commissioner for Refugees said: “The number of refugee families who cannot pay their rent and are at risk of eviction from their homes has risen by 66 per cent from December 2022 to February 2023.”

This is based on data collected from camps in Jordan.

“Another consequence of lack of assistance is that it may push refugees on to irregular routes towards Europe,” the UNHCR said in a statement.

Jordan shares a border with war-torn Syria and is host to nearly 1.3 million refugees, the second-highest share per capita in the world.

Nearly 760,000 are registered Syrians who fled the country after the 2011 uprising against the rule of President Bashar Al Assad descended into civil war. The rest are unregistered refugees.

Amman mostly depends on foreign aid to help the refugees it is hosting.

Jordan has done so much, and donors need to recognise what is at risk”, Dominik Bartsch, UNHCR Representative in Jordan said in a statement.

Determined and co-ordinated action is needed to “keep the success story Jordan alive”, he said.

The agency warns that the refugees will not be protected if they leave the camps and will be exposed to “exploitation, abuse, and death”.

“The recent shipwreck off Greece was a stark reminder that people who do not see a perspective, make desperate choices,” Mr Bartsch said, referring to Mediterranean’s worst boat disaster last month which resulted in the death of more than 80 refugees with 500 lost at sea while attempting to cross to Europe.

Jordan's Foreign Minister Ayman Al Safadi said the kingdom will consult with other countries hosting Syrian refugees “to develop a joint response to declining support”.

Mr Al Safadi said Jordan cannot fill the gap that the UN and other aid agencies will leave.

“Refugees will suffer. This is not on Jordan. It is on those who are cutting support. We can’t carry this burden alone,” he said on Twitter earlier this month.

“We urge WFP and others cutting subsidies to Syrian refugees to reverse [the] decision. Providing dignified lives to refugees is a global responsibility. It is not ours alone as host country.

“The UN must work to enable voluntary return. Until then, its agencies must keep sufficient support,” he added.

In May, Mr Al Safadi told UN officials in Geneva that although Jordan has “exceeded its capacity” to deal with the refugees, they should not be forced to return to Syria.

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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Should late investors consider cryptocurrencies?

Wealth managers recommend late investors to have a balanced portfolio that typically includes traditional assets such as cash, government and corporate bonds, equities, commodities and commercial property.

They do not usually recommend investing in Bitcoin or other cryptocurrencies due to the risk and volatility associated with them.

“It has produced eye-watering returns for some, whereas others have lost substantially as this has all depended purely on timing and when the buy-in was. If someone still has about 20 to 25 years until retirement, there isn’t any need to take such risks,” Rupert Connor of Abacus Financial Consultant says.

He adds that if a person is interested in owning a business or growing a property portfolio to increase their retirement income, this can be encouraged provided they keep in mind the overall risk profile of these assets.

Dirham Stretcher tips for having a baby in the UAE

Selma Abdelhamid, the group's moderator, offers her guide to guide the cost of having a young family:

• Buy second hand stuff

 They grow so fast. Don't get a second hand car seat though, unless you 100 per cent know it's not expired and hasn't been in an accident.

• Get a health card and vaccinate your child for free at government health centres

 Ms Ma says she discovered this after spending thousands on vaccinations at private clinics.

• Join mum and baby coffee mornings provided by clinics, babysitting companies or nurseries.

Before joining baby classes ask for a free trial session. This way you will know if it's for you or not. You'll be surprised how great some classes are and how bad others are.

• Once baby is ready for solids, cook at home

Take the food with you in reusable pouches or jars. You'll save a fortune and you'll know exactly what you're feeding your child.

START-UPS%20IN%20BATCH%204%20OF%20SANABIL%20500'S%20ACCELERATOR%20PROGRAMME
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Forced%20Deportations
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Violence%20
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Our legal consultant

Name: Hassan Mohsen Elhais

Position: legal consultant with Al Rowaad Advocates and Legal Consultants.

Company profile

Date started: 2015

Founder: John Tsioris and Ioanna Angelidaki

Based: Dubai

Sector: Online grocery delivery

Staff: 200

Funding: Undisclosed, but investors include the Jabbar Internet Group and Venture Friends

Revival
Eminem
Interscope

Key findings of Jenkins report
  • Founder of the Muslim Brotherhood, Hassan al Banna, "accepted the political utility of violence"
  • Views of key Muslim Brotherhood ideologue, Sayyid Qutb, have “consistently been understood” as permitting “the use of extreme violence in the pursuit of the perfect Islamic society” and “never been institutionally disowned” by the movement.
  • Muslim Brotherhood at all levels has repeatedly defended Hamas attacks against Israel, including the use of suicide bombers and the killing of civilians.
  • Laying out the report in the House of Commons, David Cameron told MPs: "The main findings of the review support the conclusion that membership of, association with, or influence by the Muslim Brotherhood should be considered as a possible indicator of extremism."
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UAE currency: the story behind the money in your pockets
What can victims do?

Always use only regulated platforms

Stop all transactions and communication on suspicion

Save all evidence (screenshots, chat logs, transaction IDs)

Report to local authorities

Warn others to prevent further harm

Courtesy: Crystal Intelligence

Dubai Bling season three

Cast: Loujain Adada, Zeina Khoury, Farhana Bodi, Ebraheem Al Samadi, Mona Kattan, and couples Safa & Fahad Siddiqui and DJ Bliss & Danya Mohammed 

Rating: 1/5

COMPANY PROFILE
Name: Mamo 

 Year it started: 2019 Founders: Imad Gharazeddine, Asim Janjua

 Based: Dubai, UAE

 Number of employees: 28

 Sector: Financial services

 Investment: $9.5m

 Funding stage: Pre-Series A Investors: Global Ventures, GFC, 4DX Ventures, AlRajhi Partners, Olive Tree Capital, and prominent Silicon Valley investors. 

 
Updated: July 19, 2023, 2:27 PM