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Powerful explosions rocked central Beirut in the early hours of Saturday as five Israeli air strikes hit an eight-storey building in the densely populated Basta neighbourhood. At least 20 people were killed and 66 injured, according to the Lebanese Health Ministry.
The air strikes at around 4am marked the fourth attack by Israel on central Beirut this week as US-brokered negotiations to stop its war with Hezbollah reached a critical stage. Ground fighting has also intensified along the border in southern Lebanon, which Israel invaded in late September as part of an escalation against Lebanese armed group.
Israel used bunker-buster bombs in Saturday's attack, which left a large crater, Lebanon's state-run National News Agency reported. One building was destroyed and several others nearby were damaged, it said.
Civil defence rescuers on the scene said that around 30 people were missing. The death toll is expected to rise as rescuers are still identifying victims through DNA testing of remains found at the site. The smell of burning explosives lingered in the capital hours after the attack.
Images and video circulating online showed rescuers rushing to the site amid smoke and the sound of ambulance sirens. In one video, a man reportedly filming from his balcony next to the strike site says his relatives' home was completely destroyed. “There was five buildings there, full of people, they’re all gone,” he says.
AFP, citing a Lebanese security source, reported that the target of the strike was a senior Hezbollah official, whose fate remains unclear. Israel and Hezbollah did not immediately comment. Hezbollah MP Amin Sherri has denied the presence of any Hezbollah members in the targeted building.
The last reported Israeli air strike on Basta was on October 10. The strike, which hit just dozens of metres away from the latest attack, killed 22 people. It was aimed at Hezbollah’s liaison and co-ordination unit chief, Wafiq Safa, who reportedly survived.
Hours after the latest strike, Israel bombed the Hadath and Chouaifet El Aamroussieh neighbourhoods in southern Beirut, less than 10km south of Basta, after issuing eviction orders to residents.
Israel has bombed southern Beirut heavily since it launched an all-out offensive against Hezbollah in late September, but attacks on central Beirut have been relatively rare until the past week.
The strike in Basta follows an air strike in Ras Al Nabaa last Sunday, which killed Hezbollah media chief Mohammad Afif and two other people. A busy shopping street in the Mar Elias district was struck hours later, killing three people, while the Zuqaq Al Blat district, near the Lebanese parliament and prime ministerial office, was hit on Monday night.
US special envoy Amos Hochstein arrived in Beirut on Tuesday to push forward a ceasefire proposal drafted by Washington. He extended his visit by a day amid signs of progress in the negotiations, before travelling to Israel on Thursday. Instead of returning to Lebanon after his meetings with Israeli officials, Mr Hochstein went straight back to the US, indicating that there had been a deadlock over the terms.
In a televised speech delivered on Wednesday, Hezbollah leader Naim Qassem said the group was prepared for a “war of attrition” if negotiations failed, threatening attacks on central Tel Aviv.
A key sticking point in the US-drafted deal is a provision giving Israel the right to strike in Lebanon in “self defence” even after the truce takes effect, sources familiar with the negotiations told The National.
“The Israeli side expects to achieve through the agreement what it could not secure in war, and this is not possible,” Mr Qassem said in his speech.
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A widely accepted definition was made by the All Party Parliamentary Group on British Muslims in 2019: “Islamophobia is rooted in racism and is a type of racism that targets expressions of Muslimness or perceived Muslimness.” It further defines it as “inciting hatred or violence against Muslims”.
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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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COMPANY PROFILE
Name: Lamsa
Founder: Badr Ward
Launched: 2014
Employees: 60
Based: Abu Dhabi
Sector: EdTech
Funding to date: $15 million
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