UK Foreign Secretary David Cameron said that Britain should not cut off ties with Iran's Revolutionary Guards as this would end diplomatic relations and communications with Tehran. PA
UK Foreign Secretary David Cameron said that Britain should not cut off ties with Iran's Revolutionary Guards as this would end diplomatic relations and communications with Tehran. PA
UK Foreign Secretary David Cameron said that Britain should not cut off ties with Iran's Revolutionary Guards as this would end diplomatic relations and communications with Tehran. PA
UK Foreign Secretary David Cameron said that Britain should not cut off ties with Iran's Revolutionary Guards as this would end diplomatic relations and communications with Tehran. PA

Cameron warns diplomatic break with Iran would weaken diplomacy with Tehran


Thomas Harding
  • English
  • Arabic

Britain’s Foreign Secretary David Cameron has said that Britain must not label Iran's Islamic Revolutionary Guard Corps as terrorists as this would end diplomatic relations and would result in him sending messages to Tehran “via France”.

Lord Cameron also stated that indirect messages sent to Iran from countries which did not have diplomatic relations, including America, led to him frequently being requested by the Iranians to explain what they meant.

Asked by the House of Lords international relations committee if the IRGC should be proscribed as a terrorist group, Lord Cameron said this would immediately end diplomatic relations.

He argued that in times of crisis, especially with the Israel-Gaza war, it was vital that he could pick up the phone and speak to Iran’s Foreign Minister Hossein Amirabdollahian.

“When it comes to trying to stop the escalation of the conflict, when it comes to direct messages to the Iranians, to put it bluntly, I want to have that conversation myself,” he said. “I don't want to ring up my French counterpart and say ‘can you message the Iranians with this message’.”

He added that it was not in the UK’s interests to break diplomatically with Iran as it “wouldn’t strengthen our approach and in many ways it would weaken it”.

Even with countries that were disliked and seen as a threat by Britain, it was necessary to “deliver the message, to hear the answer and go back again with another message”.

He then referred to states with no diplomatic relations, a relatively short list that includes the US, Canada and Bahrain.

“Sometimes I find with countries that don't have diplomatic relations with Iran, they send a message to the Iranians and Iranians sometimes ring me up and say ‘so what do you think they meant?’ I don't want to be in that position. I want to have that very direct conversation.”

Bob Seely, a Conservative MP and member of the Commons Foreign Affairs Committee, told The National that Lord Cameron was “making a fair point”.

Ultra-Orthodox Jews inspect an Iranian ballistic missile fired by Iran's Islamic Revolutionary Guards Corps on April 14. EPA
Ultra-Orthodox Jews inspect an Iranian ballistic missile fired by Iran's Islamic Revolutionary Guards Corps on April 14. EPA

“This is the problem with the IRGC, in that they are absolutely implicit in international terrorism,” he said. “But they are also part of the state. If we talk to Iran, which we probably need to do, we have to talk to them directly or at least indirectly.”

During a debate in the Commons, Andrew Mitchell, the deputy foreign secretary, suggested that Britain could end the nuclear agreement struck with Iran given its hostile actions in response to a question from a fellow MP.

“Alongside international partners, we are prepared to use all options available to tackle the difficulties which he described including triggering the UN snapback and ending the JCPOA if necessary,” he warned.

Prime Minister Rishi Sunak also telephone Israeli leader Benjamin Netanyahu on Tuesday urging him to increase aid to Gaza.

“The Prime Minister reiterated the urgency and importance of continuing to get much more aid in and emphasised there needed to be greater access to facilitate these deliveries, including via the vital land routes,” a Downing Street spokesman said.

“The UK continued to push for an immediate humanitarian pause to allow more aid in and hostages out.”

With a potential Israeli assault in Rafah looming, Mr Sunak also said Britain's focus was on de-escalation “which is essential and in everyone’s interest”.

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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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Bio

Born in Dibba, Sharjah in 1972.
He is the eldest among 11 brothers and sisters.
He was educated in Sharjah schools and is a graduate of UAE University in Al Ain.
He has written poetry for 30 years and has had work published in local newspapers.
He likes all kinds of adventure movies that relate to his work.
His dream is a safe and preserved environment for all humankind. 
His favourite book is The Quran, and 'Maze of Innovation and Creativity', written by his brother.

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Tips for newlyweds to better manage finances

All couples are unique and have to create a financial blueprint that is most suitable for their relationship, says Vijay Valecha, chief investment officer at Century Financial. He offers his top five tips for couples to better manage their finances.

Discuss your assets and debts: When married, it’s important to understand each other’s personal financial situation. It’s necessary to know upfront what each party brings to the table, as debts and assets affect spending habits and joint loan qualifications. Discussing all aspects of their finances as a couple prevents anyone from being blindsided later.

Decide on the financial/saving goals: Spouses should independently list their top goals and share their lists with one another to shape a joint plan. Writing down clear goals will help them determine how much to save each month, how much to put aside for short-term goals, and how they will reach their long-term financial goals.

Set a budget: A budget can keep the couple be mindful of their income and expenses. With a monthly budget, couples will know exactly how much they can spend in a category each month, how much they have to work with and what spending areas need to be evaluated.

Decide who manages what: When it comes to handling finances, it’s a good idea to decide who manages what. For example, one person might take on the day-to-day bills, while the other tackles long-term investments and retirement plans.

Money date nights: Talking about money should be a healthy, ongoing conversation and couples should not wait for something to go wrong. They should set time aside every month to talk about future financial decisions and see the progress they’ve made together towards accomplishing their goals.

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Updated: April 30, 2024, 5:20 PM