Palestinian worshippers gather in the courtyard of Gaza city's historic Omari Mosque, which has been heavily damaged in Israeli bombardment, on the first day of Eid Al Fitr. AFP
Palestinian worshippers gather in the courtyard of Gaza city's historic Omari Mosque, which has been heavily damaged in Israeli bombardment, on the first day of Eid Al Fitr. AFP
Palestinian worshippers gather in the courtyard of Gaza city's historic Omari Mosque, which has been heavily damaged in Israeli bombardment, on the first day of Eid Al Fitr. AFP
Palestinian worshippers gather in the courtyard of Gaza city's historic Omari Mosque, which has been heavily damaged in Israeli bombardment, on the first day of Eid Al Fitr. AFP

Hamas and Israel far from Gaza truce as new details emerge from talks


Hamza Hendawi
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Disagreements over the return of displaced Palestinians in Gaza and vague language on the absence of guarantees for a permanent ceasefire are stumbling blocks in truce talks between Hamas and Israel, sources told The National.

Sections of the latest proposal – initially rejected by Hamas but still being studied – include strict Israeli conditions on the return of hundreds of thousands of displaced Gazans.

Sources said Khalil Al Hayya, Hamas’s representative in the latest round of negotiations, gave the group’s initial response to mediators from the US, Egypt and Qatar before he left Egypt at the end of this week's talks.

But he also told the mediators that Hamas’s final response would be given after consultations with its leadership in Gaza and in Doha.

Mr Al Hayya is the deputy of Hamas’s leader in Gaza, Yahya Sinwar, Israel’s most-wanted man.

Hamas has already said, in a statement on Tuesday, that the proposals did not meet its demands but it would further study them before giving its final response to the mediators. The statement gave no details.

Hamas has long insisted that it wants Israel to completely withdraw from Gaza and agree to a permanent ceasefire and the release of high-profile Palestinian prisoners serving life or long jail terms as part of a prisoner and hostage swap.

Those prisoners, it insists, must include Marwan Barghouti, a senior Palestinian leader from the mainstream Fatah faction who has long been tipped as a possible successor to President Mahmoud Abbas, who is in his eighties.

Israeli soldiers gather around army tanks stationed in an area along the border with the Gaza Strip in southern Israel. AFP
Israeli soldiers gather around army tanks stationed in an area along the border with the Gaza Strip in southern Israel. AFP

The deadlock in the Gaza negotiations comes amid US President Joe Biden’s growing frustration with Israeli Prime Minister Benjamin Netanyahu’s handling of the war, increasing pressure on Washington’s closest Middle East ally to agree to a truce.

Speaking to The National on Wednesday, the two sources said Hamas’s main objection to the proposals was over the return of the displaced and the absence of a firm reference to a permanent ceasefire following an initial, six-week truce.

The proposals provide for a gradual return of the displaced to northern Gaza, with Israel adamant that it would only allow 2,000 a day, excluding fighting-age males, to return home during the six-week truce, said the sources.

Most of Gaza’s 2.3 million residents have been displaced by the war, now in its seventh month. An estimated 1.5 million of those have taken refuge in Gaza’s southern city of Rafah, close to the Egyptian border.

Hamas, according to the sources, has also rejected what it sees as “loose language” on Israel’s redeployment of forces away from urban areas during the initial truce and allowing it to unilaterally determine new positions for its troops.

“Hamas believes this can potentially allow Israel to select positions that give it control over wide areas or allow it to create buffer zones,” one of the two sources said.

Badly damaged buildings in Gaza as seen from across the border fence with Israel. AFP
Badly damaged buildings in Gaza as seen from across the border fence with Israel. AFP

Hamas is also opposed to the use in the proposals of the term “sustainable quiet” to follow the six-week truce, preferring instead to have firm guarantees of a permanent ceasefire.

Hamas has long argued that Israel intended to resume military operations after the expiry of the six-week truce and the release of the estimated 130 hostages currently held by Hamas and allied Gaza groups.

Mr Netanyahu has repeatedly stated that the war in Gaza will not end before Hamas’s governance and military capabilities have been dismantled to avoid a repeat of the group’s October 7 attack on southern Israel that killed 1,200 people and involved the abduction of about 250 others.

Israel’s response to the attack – the deadliest against the country since its creation in 1948 – has been the relentless bombardment of Gaza that has to date killed more than 33,300 Palestinians, according to the Hamas-run Health Ministry. It has also created a humanitarian crisis and razed vast swathes of built-up areas.

Hamas released about 100 hostages during a week-long truce in late November. Mediators have since been unable to broker another pause in the war despite extensive negotiations and US pressure.

Of the estimated 130 hostages remaining in Gaza, about 30 are believed to have died in captivity, most likely from Israel’s bombardment.

The proposals presented to Hamas provide for the release of about 40 women, children and elderly and ailing hostages in return for 900 Palestinians incarcerated in Israel, including 100 serving life or long jail terms.

However, Hamas rejects Israel’s suggestion that the militant group release adult males to top up the number of hostages freed if the elderly, children, women and ailing captives are fewer than 40.

Hamas is widely suspected to be planning to keep male Israeli soldiers and the remains of those who died in captivity for the later stages of the hostage and prisoner swap, to secure freedom for thousands of Palestinians or as bargaining chips if Israel does not fully pull out from Gaza and agree to a permanent ceasefire.

Company profile

Name: Dukkantek 

Started: January 2021 

Founders: Sanad Yaghi, Ali Al Sayegh and Shadi Joulani 

Based: UAE 

Number of employees: 140 

Sector: B2B Vertical SaaS(software as a service) 

Investment: $5.2 million 

Funding stage: Seed round 

Investors: Global Founders Capital, Colle Capital Partners, Wamda Capital, Plug and Play, Comma Capital, Nowais Capital, Annex Investments and AMK Investment Office  

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Bayern Munich v Real Madrid

When: April 25, 10.45pm kick-off (UAE)
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Second leg: May 1, Santiago Bernabeu, Madrid

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Sarfira

Director: Sudha Kongara Prasad

Starring: Akshay Kumar, Radhika Madan, Paresh Rawal 

Rating: 2/5

'Munich: The Edge of War'

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Starring: George MacKay, Jannis Niewohner, Jeremy Irons

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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)

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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.”

Updated: April 10, 2024, 1:26 PM