Olaf Scholz has a year left before a September 2025 election at which he insists he will seek a second term. EPA
Olaf Scholz has a year left before a September 2025 election at which he insists he will seek a second term. EPA
Olaf Scholz has a year left before a September 2025 election at which he insists he will seek a second term. EPA
Olaf Scholz has a year left before a September 2025 election at which he insists he will seek a second term. EPA

Does German migration crisis spell the end for Olaf Scholz?


Tim Stickings
  • English
  • Arabic

At a meet-and-greet this week with the foreign diplomatic corps in Berlin, German Chancellor Olaf Scholz admitted his guests might be finding it hard to explain in their cables home “where Germany is going politically”.

What should foreigners make of the rise of Germany’s far right? What about its stagnant economy and its changing security policy? These were reasonable questions, Mr Scholz said, and nobody knows for sure “where we will be in 10, 20 or 30 years”.

The problem for Mr Scholz is that nobody knows exactly where he will be in even one year’s time. With a September 2025 election coming gradually into view, support for the Chancellor is at rock bottom after three crisis-hit years and a spate of terrorist incidents in recent weeks.

Polls paint a bleak picture. Only 23 per cent of Germans think Mr Scholz should even run for a second term. A resounding 84 per cent are unhappy with his government and the parties in his left-green-liberal “traffic light coalition” would win only 30 per cent of the vote between them according to one recent survey, down from 52 per cent at the last election.

Perhaps the only good news for Mr Scholz is that the opposition leader Friedrich Merz is not especially popular either, and faces a power struggle with the swaggering Bavarian premier Markus Soeder to fly the conservative flag in 2025. But the far-right Alternative for Germany (AfD) has preyed on this sense of disaffection with all mainstream parties.

"It is really a tough time for the German government under any circumstances, but it's also coming towards a government that has not found its stride in simply governing," said Hans-Jakob Schindler, a former German diplomat and director of the Counter Extremism Project. He said no mainstream party had "found a recipe" to counter the AfD's narrative.

An air of constant infighting in Mr Scholz's coalition "gives the impression that it's a really dysfunctional government", even if in fact it can point to certain successes such as ending Germany's reliance on Russian gas imports, Mr Schindler told The National.

The Alternative for Germany has made historic electoral gains despite reminding many Germans of their darkest chapter. EPA
The Alternative for Germany has made historic electoral gains despite reminding many Germans of their darkest chapter. EPA

Migration tailspin

An explosion of voter anger over migration has sent German politics into a tailspin. Refugee centres have been filling up for months with more than 174,000 asylum claims lodged this year, almost a third of them from Syrians. On August 23, three people were killed in a knife attack in Solingen and a Syrian with no right to stay in Germany was arrested.

Seizing on the violence, the AfD won a state election in Thuringia on September 1, the most significant victory for a far-right party since 1945. The party is under intelligence surveillance after a court ruled it sees Muslims and refugees as second-class citizens, and that rhetoric about "invaders" and "knifemen" is not the result of isolated "gaffes".

There is an air of crisis as Mr Scholz holds cross-party talks with the opposition and entry checks are ordered around Germany's entire land border. The AfD is delighted at what it calls a "new conservative zeitgeist". Bernd Baumann, an AfD MP, looked theatrically to the sky as he declared in parliament that history had shown "we were right".

As a candidate in 2021 Mr Scholz was praised for a calm and reassuring manner. In office that has often been perceived as weakness and inertia, a complaint that surfaced during Russia's invasion of Ukraine and has become a prime grievance with his leadership style.

He also has limited room for manoeuvre within his coalition, where his Green coalition partners are wary of an "overheated discussion" about migration. There was dismay when a Green party leader spoke of a "caretaker government" but a lame-duck image is gaining ground. Mr Soeder says the Scholz era is "not going to work out".

Entry checks have been ordered around Germany's entire land border in a crackdown on illegal migration. Getty Images
Entry checks have been ordered around Germany's entire land border in a crackdown on illegal migration. Getty Images

Deportation options

Interior Minister Nancy Faeser insists it is not "business as usual". In a flurry of activity the government has closed borders, organised a first deportation to Taliban-ruled Afghanistan and drafted two new laws on asylum and extremism. Among other things, refugees who take holidays in their home country will lose their protection status in Germany.

The opposition Christian Democrats (CDU), the party of former chancellor Angela Merkel, now say she made a mistake by opening Germany’s borders to Syrian refugees in 2015. They believe the crackdown by Mr Scholz's government does not go far enough.

At the heart of the debate is whether police can summarily turn away refugees at the border. Ms Faeser's boast that 30,000 people have been denied entry in the past year covers people with visa bans or who were otherwise ineligible, but not asylum seekers.

Mr Merz wants to declare an emergency under EU law to make this possible, rather than relying on asylum seekers being returned later under EU rules. The government is exploring its legal options but would prefer to make the EU regulations work by withholding social security benefits and waiting for a wider asylum reform to take effect.

Ministers have fused together migration and extremism issues in a "security package" that includes a widening of surveillance powers. Since the Solingen attack there have been further scares involving an Austrian gunman near Israel's consulate in Munich and a Syrian with alleged plans to kill soldiers with machetes.

Mazen Darwish, a Syrian lawyer who helped prosecute a member of President Bashar Al Assad's regime in Germany, said Syrian civil society wanted to be "partners in finding extremism". "We are against any criminal, whatever his nationality, religious or ethnic [background], and this is yesterday, and today and tomorrow," he said.

A gunman opened fire at the Israeli consulate in Munich last week in what police called an attempted terrorist attack. EPA
A gunman opened fire at the Israeli consulate in Munich last week in what police called an attempted terrorist attack. EPA

Election war games

Mr Scholz insists he will seek a second term in 2025, recalling his late surge to victory three years ago after months stuck in third in the polls. His plain-speaking Defence Minister Boris Pistorius has been touted as an alternative but has shown no inclination to stage a party coup.

On the right Mr Merz is the most obvious flag-bearer for the Christian Democrats, but their Bavarian sister party provides a challenger in the form of Mr Soeder. Having lost the nomination to the luckless Armin Laschet four years ago, Mr Soeder is signalling he wants his turn in 2025.

Talk of possible coalitions is already in the air but it is taboo for any mainstream party to work with the AfD, despite its plans to run a "chancellor candidate" for the first time in 2025. Here, too, there may be a power struggle between joint party leaders Tino Chrupalla and Alice Weidel.

Nonetheless, the AfD's Mr Baumann believes there is a "shifting of the power axis" as politicians bid to outdo each other in their toughness on migration. Mainstream parties have failed to understand how far-right narratives gain traction online and on social media, said Mr Schindler.

Every AfD MP has a TikTok account, whereas most of their centrist rivals do not promote their policies there, he said.

"What is true for terrorism is true for all political issues right now – the online sphere plays a very significant role," he said. "It's a real indicator of how inept the traditional parties are at countering this populist phenomenon and communicating as effectively as populists."

The Book of Collateral Damage

Sinan Antoon

(Yale University Press)

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.”

In-demand jobs and monthly salaries
  • Technology expert in robotics and automation: Dh20,000 to Dh40,000 
  • Energy engineer: Dh25,000 to Dh30,000 
  • Production engineer: Dh30,000 to Dh40,000 
  • Data-driven supply chain management professional: Dh30,000 to Dh50,000 
  • HR leader: Dh40,000 to Dh60,000 
  • Engineering leader: Dh30,000 to Dh55,000 
  • Project manager: Dh55,000 to Dh65,000 
  • Senior reservoir engineer: Dh40,000 to Dh55,000 
  • Senior drilling engineer: Dh38,000 to Dh46,000 
  • Senior process engineer: Dh28,000 to Dh38,000 
  • Senior maintenance engineer: Dh22,000 to Dh34,000 
  • Field engineer: Dh6,500 to Dh7,500
  • Field supervisor: Dh9,000 to Dh12,000
  • Field operator: Dh5,000 to Dh7,000
The%20Little%20Mermaid%20
%3Cp%3E%3Cstrong%3EDirector%3A%3C%2Fstrong%3E%20Rob%20Marshall%3Cbr%3E%3Cstrong%3EStars%3A%20%3C%2Fstrong%3EHalle%20Bailey%2C%20Jonah%20Hauer-King%2C%20Melissa%20McCarthy%2C%20Javier%20Bardem%3Cbr%3E%3Cstrong%3ERating%3A%20%3C%2Fstrong%3E2%2F5%3Cbr%3E%3Cbr%3E%3C%2Fp%3E%0A
UAE'S%20YOUNG%20GUNS
%3Cp%3E1%20Esha%20Oza%2C%20age%2026%2C%2079%20matches%0D%3Cbr%3E%0D%3Cbr%3E2%20Theertha%20Satish%2C%20age%2020%2C%2066%20matches%0D%3Cbr%3E%0D%3Cbr%3E3%20Khushi%20Sharma%2C%20age%2021%2C%2065%20matches%0D%3Cbr%3E%0D%3Cbr%3E4%20Kavisha%20Kumari%2C%20age%2021%2C%2079%20matches%0D%3Cbr%3E%0D%3Cbr%3E5%20Heena%20Hotchandani%2C%20age%2023%2C%2016%20matches%0D%3Cbr%3E%0D%3Cbr%3E6%20Rinitha%20Rajith%2C%20age%2018%2C%2034%20matches%0D%3Cbr%3E%0D%3Cbr%3E7%20Samaira%20Dharnidharka%2C%20age%2017%2C%2053%20matches%0D%3Cbr%3E%0D%3Cbr%3E8%20Vaishnave%20Mahesh%2C%20age%2017%2C%2068%20matches%0D%3Cbr%3E%0D%3Cbr%3E9%20Lavanya%20Keny%2C%20age%2017%2C%2033%20matches%0D%3Cbr%3E%0D%3Cbr%3E10%20Siya%20Gokhale%2C%20age%2018%2C%2033%20matches%0D%3Cbr%3E%0D%3Cbr%3E11%20Indhuja%20Nandakumar%2C%20age%2018%2C%2046%20matches%3C%2Fp%3E%0A
COMPANY%20PROFILE
%3Cp%3E%3Cstrong%3ECompany%20name%3A%3C%2Fstrong%3E%20Clinicy%3Cbr%3E%3Cstrong%3EStarted%3A%3C%2Fstrong%3E%202017%3Cbr%3E%3Cstrong%3EFounders%3A%3C%2Fstrong%3E%20Prince%20Mohammed%20Bin%20Abdulrahman%2C%20Abdullah%20bin%20Sulaiman%20Alobaid%20and%20Saud%20bin%20Sulaiman%20Alobaid%3Cbr%3E%3Cstrong%3EBased%3A%3C%2Fstrong%3E%20Riyadh%3Cbr%3E%3Cstrong%3ENumber%20of%20staff%3A%3C%2Fstrong%3E%2025%3Cbr%3E%3Cstrong%3ESector%3A%3C%2Fstrong%3E%20HealthTech%3Cbr%3E%3Cstrong%3ETotal%20funding%20raised%3A%3C%2Fstrong%3E%20More%20than%20%2410%20million%3Cbr%3E%3Cstrong%3EInvestors%3A%3C%2Fstrong%3E%20Middle%20East%20Venture%20Partners%2C%20Gate%20Capital%2C%20Kafou%20Group%20and%20Fadeed%20Investment%3C%2Fp%3E%0A
Skoda Superb Specs

Engine: 2-litre TSI petrol

Power: 190hp

Torque: 320Nm

Price: From Dh147,000

Available: Now

ENGLAND TEAM

Alastair Cook, Mark Stoneman, James Vince, Joe Root (captain), Dawid Malan, Jonny Bairstow, Moeen Ali, Chris Woakes, Craig Overton, Stuart Broad, James Anderson

500 People from Gaza enter France

115 Special programme for artists

25   Evacuation of injured and sick

Thor: Ragnarok

Dir: Taika Waititi

Starring: Chris Hemsworth, Tom Hiddleston, Cate Blanchett, Jeff Goldblum, Mark Ruffalo, Tessa Thompson

Four stars

The more serious side of specialty coffee

While the taste of beans and freshness of roast is paramount to the specialty coffee scene, so is sustainability and workers’ rights.

The bulk of genuine specialty coffee companies aim to improve on these elements in every stage of production via direct relationships with farmers. For instance, Mokha 1450 on Al Wasl Road strives to work predominantly with women-owned and -operated coffee organisations, including female farmers in the Sabree mountains of Yemen.

Because, as the boutique’s owner, Garfield Kerr, points out: “women represent over 90 per cent of the coffee value chain, but are woefully underrepresented in less than 10 per cent of ownership and management throughout the global coffee industry.”

One of the UAE’s largest suppliers of green (meaning not-yet-roasted) beans, Raw Coffee, is a founding member of the Partnership of Gender Equity, which aims to empower female coffee farmers and harvesters.

Also, globally, many companies have found the perfect way to recycle old coffee grounds: they create the perfect fertile soil in which to grow mushrooms. 

Five hymns the crowds can join in

Papal Mass will begin at 10.30am at the Zayed Sports City Stadium on Tuesday

Some 17 hymns will be sung by a 120-strong UAE choir

Five hymns will be rehearsed with crowds on Tuesday morning before the Pope arrives at stadium

‘Christ be our Light’ as the entrance song

‘All that I am’ for the offertory or during the symbolic offering of gifts at the altar

‘Make me a Channel of your Peace’ and ‘Soul of my Saviour’ for the communion

‘Tell out my Soul’ as the final hymn after the blessings from the Pope

The choir will also sing the hymn ‘Legions of Heaven’ in Arabic as ‘Assakiroo Sama’

There are 15 Arabic speakers from Syria, Lebanon and Jordan in the choir that comprises residents from the Philippines, India, France, Italy, America, Netherlands, Armenia and Indonesia

The choir will be accompanied by a brass ensemble and an organ

They will practice for the first time at the stadium on the eve of the public mass on Monday evening 

How much do leading UAE’s UK curriculum schools charge for Year 6?
  1. Nord Anglia International School (Dubai) – Dh85,032
  2. Kings School Al Barsha (Dubai) – Dh71,905
  3. Brighton College Abu Dhabi - Dh68,560
  4. Jumeirah English Speaking School (Dubai) – Dh59,728
  5. Gems Wellington International School – Dubai Branch – Dh58,488
  6. The British School Al Khubairat (Abu Dhabi) - Dh54,170
  7. Dubai English Speaking School – Dh51,269

*Annual tuition fees covering the 2024/2025 academic year

Monster Hunter: World

Capcom

PlayStation 4, Xbox One

Draw for Europa League last-16

Istanbul Basaksehir v Copenhagen; Olympiakos Piraeus v Wolverhampton Wanderers

Rangers v Bayer Leverkusen; VfL Wolfsburg v Shakhtar Donetsk; Inter Milan v Getafe

Sevilla v AS Roma; Eintracht Frankfurt or Salzburg v Basel; LASK v Manchester United

Results

Ashraf Ghani 50.64 per cent

Abdullah Abdullah 39.52 per cent

Gulbuddin Hekmatyar 3.85 per cent

Rahmatullah Nabil 1.8 per cent

Total eligible population

About 57.5 million people
51.1 million received a jab
6.4 million have not

Where are the unvaccinated?

England 11%
Scotland 9%
Wales 10%
Northern Ireland 14% 

Look%20Both%20Ways
%3Cp%3EDirector%3A%20Wanuri%20Kahiu%3Cbr%3EStars%3A%20Lili%20Reinhart%2C%20Danny%20Ramirez%2C%20David%20Corenswet%2C%20Luke%20Wilson%2C%20Nia%20Long%3Cbr%3ERating%3A%203%2F5%3Cbr%3E%3C%2Fp%3E%0A
How to increase your savings
  • Have a plan for your savings.
  • Decide on your emergency fund target and once that's achieved, assign your savings to another financial goal such as saving for a house or investing for retirement.
  • Decide on a financial goal that is important to you and put your savings to work for you.
  • It's important to have a purpose for your savings as it helps to keep you motivated to continue while also reducing the temptation to spend your savings. 

- Carol Glynn, founder of Conscious Finance Coaching

 

 

The biog

Name: Fareed Lafta

Age: 40

From: Baghdad, Iraq

Mission: Promote world peace

Favourite poet: Al Mutanabbi

Role models: His parents 

The Vile

Starring: Bdoor Mohammad, Jasem Alkharraz, Iman Tarik, Sarah Taibah

Director: Majid Al Ansari

Rating: 4/5

The biog

Favourite book: Men are from Mars Women are from Venus

Favourite travel destination: Ooty, a hill station in South India

Hobbies: Cooking. Biryani, pepper crab are her signature dishes

Favourite place in UAE: Marjan Island

Who's who in Yemen conflict

Houthis: Iran-backed rebels who occupy Sanaa and run unrecognised government

Yemeni government: Exiled government in Aden led by eight-member Presidential Leadership Council

Southern Transitional Council: Faction in Yemeni government that seeks autonomy for the south

Habrish 'rebels': Tribal-backed forces feuding with STC over control of oil in government territory

Gifts exchanged
  • King Charles - replica of President Eisenhower Sword
  • Queen Camilla -  Tiffany & Co vintage 18-carat gold, diamond and ruby flower brooch
  • Donald Trump - hand-bound leather book with Declaration of Independence
  • Melania Trump - personalised Anya Hindmarch handbag
How to invest in gold

Investors can tap into the gold price by purchasing physical jewellery, coins and even gold bars, but these need to be stored safely and possibly insured.

A cheaper and more straightforward way to benefit from gold price growth is to buy an exchange-traded fund (ETF).

Most advisers suggest sticking to “physical” ETFs. These hold actual gold bullion, bars and coins in a vault on investors’ behalf. Others do not hold gold but use derivatives to track the price instead, adding an extra layer of risk. The two biggest physical gold ETFs are SPDR Gold Trust and iShares Gold Trust.

Another way to invest in gold’s success is to buy gold mining stocks, but Mr Gravier says this brings added risks and can be more volatile. “They have a serious downside potential should the price consolidate.”

Mr Kyprianou says gold and gold miners are two different asset classes. “One is a commodity and the other is a company stock, which means they behave differently.”

Mining companies are a business, susceptible to other market forces, such as worker availability, health and safety, strikes, debt levels, and so on. “These have nothing to do with gold at all. It means that some companies will survive, others won’t.”

By contrast, when gold is mined, it just sits in a vault. “It doesn’t even rust, which means it retains its value,” Mr Kyprianou says.

You may already have exposure to gold miners in your portfolio, say, through an international ETF or actively managed mutual fund.

You could spread this risk with an actively managed fund that invests in a spread of gold miners, with the best known being BlackRock Gold & General. It is up an incredible 55 per cent over the past year, and 240 per cent over five years. As always, past performance is no guide to the future.

The%20specs
%3Cp%3E%3Cstrong%3EEngine%3A%20%3C%2Fstrong%3E6.5-litre%20V12%3Cbr%3E%3Cstrong%3EPower%3A%20%3C%2Fstrong%3E725hp%20at%207%2C750rpm%3Cbr%3E%3Cstrong%3ETorque%3A%20%3C%2Fstrong%3E716Nm%20at%206%2C250rpm%3Cbr%3E%3Cstrong%3ETransmission%3A%20%3C%2Fstrong%3E8-speed%20dual-clutch%20auto%3Cbr%3E%3Cstrong%3EOn%20sale%3A%20%3C%2Fstrong%3EQ4%202023%3Cbr%3E%3Cstrong%3EPrice%3A%20%3C%2Fstrong%3EFrom%20Dh1%2C650%2C000%3C%2Fp%3E%0A
Updated: September 15, 2024, 8:30 AM