Iraqi Shi’ite cleric Moqtada Al Sadr. Reuters
Iraqi Shi’ite cleric Moqtada Al Sadr. Reuters
Iraqi Shi’ite cleric Moqtada Al Sadr. Reuters
Iraqi Shi’ite cleric Moqtada Al Sadr. Reuters

Pro-Iran parties in Iraq derail third parliament session to elect new president


Sinan Mahmoud
  • English
  • Arabic

Iraq’s Shiite populist cleric Moqtada Al Sadr grew more defiant on Wednesday against Tehran-backed rivals who have derailed the election of the country’s new president.

For the third time, the deeply divided parliament failed to hold a scheduled session when it was boycotted by the pro-Iran parties, a tactic analysts said was to gain political leverage.

“I will not come to an agreement with you,” Mr Al Sadr said after his tripartite “Save the Nation Alliance” failed to achieve the two-thirds quorum needed to hold an electoral session.

“Any agreement [with you] means the end of the country.”

Mr Al Sadr, whose bloc won the most seats, 73, in the October 10 national elections, has formed the largest political group by teaming up with other parties.

  • Supporters of the movement of Shiite cleric Moqtada Al Sadr celebrate in Najaf, Iraq, after preliminary results of the country’s parliamentary election were announced. Reuters
    Supporters of the movement of Shiite cleric Moqtada Al Sadr celebrate in Najaf, Iraq, after preliminary results of the country’s parliamentary election were announced. Reuters
  • Judge Jalil Adnan Khalaf (C), the chairman of Iraq’s Independent High Electoral Commission, speaks in the capital, Baghdad. AFP
    Judge Jalil Adnan Khalaf (C), the chairman of Iraq’s Independent High Electoral Commission, speaks in the capital, Baghdad. AFP
  • EU observers of the election hold a press conference in Baghdad. AP
    EU observers of the election hold a press conference in Baghdad. AP
  • Iraqi flags are strung across a street.
    Iraqi flags are strung across a street.
  • Sadrists celebrate after preliminary results of Iraq’s parliamentary election were announced in Baghdad on October 11. Reuters
    Sadrists celebrate after preliminary results of Iraq’s parliamentary election were announced in Baghdad on October 11. Reuters
  • Supporters of Shiite cleric Moqtada Al Sadr celebrate after preliminary results were announced. Reuters
    Supporters of Shiite cleric Moqtada Al Sadr celebrate after preliminary results were announced. Reuters
  • Shiite cleric Moqtada Al Sadr speaks after preliminary results of Iraq’s parliamentary election were announced in Najaf on October 11. Reuters
    Shiite cleric Moqtada Al Sadr speaks after preliminary results of Iraq’s parliamentary election were announced in Najaf on October 11. Reuters

Shortly after the election results were announced, Mr Al Sadr formed an alliance with influential Kurds and Sunnis who won the most votes in their communities.

They are the Kurdish Democratic Party and two leading Sunni parties – Taqaddum, also known as the Progress Party, and Azm. Yet Mr Al Sadr is still marginally short of reaching quorum in parliament.

“No to all forms of consensus,” he said.

Complicating matters, Ishraqat Alliance, a small, pro-reform party, has also suggested boycotting the vote as a protest against Iraq’s political system.

Sadr’s brinkmanship

Mr Al Sadr has been one of the major political players since the removal of Saddam Hussein’s regime by a US-led invasion. His prominence on the political scene has led many Iraqis to blame him, along with other post-2003 elites, for problems country has endured ever since.

He has promised to introduce sweeping changes, chiefly a departure from the political tradition of forming consensus governments in which posts are shared among parties based on the sects, ethnicity and religions of the country’s population.

Instead, Mr Al Sadr eyes a majority government that can shoulder the responsibility of introducing badly needed reforms in all fields.

He also wants to free Iraq of what he calls foreign meddling, mainly from Iran itself and Tehran-backed Shiite militias.

For his Iran-backed rivals, who endured a major blow in the elections, Mr Al Sadr has offered only limited representation in the coming government.

His Save the Nation Alliance now holds more than 160 seats. To achieve the needed quorum, 220 of 329 seats, they managed to convince some independent and opposition politicians the vote in the Saturday session, but only 202 attended.

The session on Wednesday attracted only 180 people, MP Mishaan Al Jabouri said.

Call for compromise

Amid the deadlock, Mr Al Sadr’s rival Co-ordination Framework, composed mainly of Iran-backed groups, is seeking concessions.

“We call on all partners in the political process to sit around the same table to come out with real understanding to run the state,” said MP Falih Al Khazaali of Fatah Alliance, a Co-ordination Framework member.

“There is no other choice but to hear other partners and run the government together.”

Mr Al Sadr rejected that option.

“What you call as political deadlock is easier [to me] than agreeing with you and better than sharing the cake with you,” he said in his statement.

“There is no good in a consensus government based on sects.”

Without a president, the government formation process has hit an impasse. Once elected, the president must ask the prime ministerial nominee of the largest bloc to form the government.

Based on a long-standing informal agreement, the post is reserved for Kurdish parties, while the Prime Minister is reserved for Iraq’s majority Shiites and the Parliament Speaker is set aside for Sunnis.

Parliament has until April 6 to elect the country’s new president or face a constitutional vacuum. If they fail again, parliament may have to be dissolved, leading to another round of elections.

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  • As per the document, there are six filing options, including choosing to report on a realisation basis and transitional rules for pre-tax period gains or losses. 
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EMIRATES'S%20REVISED%20A350%20DEPLOYMENT%20SCHEDULE
%3Cp%3E%3Cstrong%3EEdinburgh%3A%3C%2Fstrong%3E%20November%204%20%3Cem%3E(unchanged)%3C%2Fem%3E%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3EBahrain%3A%3C%2Fstrong%3E%20November%2015%20%3Cem%3E(from%20September%2015)%3C%2Fem%3E%3B%20second%20daily%20service%20from%20January%201%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3EKuwait%3A%3C%2Fstrong%3E%20November%2015%20%3Cem%3E(from%20September%2016)%3C%2Fem%3E%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3EMumbai%3A%3C%2Fstrong%3E%20January%201%20%3Cem%3E(from%20October%2027)%3C%2Fem%3E%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3EAhmedabad%3A%3C%2Fstrong%3E%20January%201%20%3Cem%3E(from%20October%2027)%3C%2Fem%3E%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3EColombo%3A%3C%2Fstrong%3E%20January%202%20%3Cem%3E(from%20January%201)%3C%2Fem%3E%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3EMuscat%3A%3C%2Fstrong%3E%3Cem%3E%20%3C%2Fem%3EMarch%201%3Cem%3E%20(from%20December%201)%3C%2Fem%3E%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3ELyon%3A%3C%2Fstrong%3E%20March%201%20%3Cem%3E(from%20December%201)%3C%2Fem%3E%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3EBologna%3A%3C%2Fstrong%3E%20March%201%20%3Cem%3E(from%20December%201)%3C%2Fem%3E%3C%2Fp%3E%0A%3Cp%3E%3Cem%3ESource%3A%20Emirates%3C%2Fem%3E%3C%2Fp%3E%0A

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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Updated: March 30, 2022, 3:49 PM