Saudi Defence Minister Prince Khalid bin Salman with Syrian Defence Minister Murhaf Abu Qasra and Michel Menassa, Lebanon's Minister of Defence, in Jeddah. SPA
Saudi Defence Minister Prince Khalid bin Salman with Syrian Defence Minister Murhaf Abu Qasra and Michel Menassa, Lebanon's Minister of Defence, in Jeddah. SPA
Saudi Defence Minister Prince Khalid bin Salman with Syrian Defence Minister Murhaf Abu Qasra and Michel Menassa, Lebanon's Minister of Defence, in Jeddah. SPA
Saudi Defence Minister Prince Khalid bin Salman with Syrian Defence Minister Murhaf Abu Qasra and Michel Menassa, Lebanon's Minister of Defence, in Jeddah. SPA

Saudi Arabia hosts long-awaited meeting between Lebanese and Syrian defence ministers


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The defence ministers of Lebanon and Syria have met in Jeddah to discuss border security, the Saudi Press Agency reported on Friday.

The meeting on Thursday came weeks after deadly clashes and tension along the Syrian-Lebanese border, prompting the defence ministries to sign a ceasefire in the area.

Saudi Defence Minister Prince Khalid bin Salman hosted counterparts Michel Menassa from Lebanon and Syria's Murhaf Abu Qasra in the coastal city to discuss security and stability between Damascus and Beirut, SPA said.

An agreement was signed by both sides to demarcate the border and form “legal and specialised committees”, as well as “activating co-ordination mechanisms between the two sides to deal with security and military challenges, especially those that may arise on the border between them”, SPA reported.

It was agreed to hold a follow-up meeting in Saudi Arabia soon, Mr Menassa said. "An agreement was signed during which the two sides stressed the strategic importance of border demarcation," he added on Friday.

“The kingdom affirms its full support for everything that achieves the security and stability of the two brotherly countries and contributes to maintaining security and stability in the region,” SPA said.

Prince Khalid with Mr Abu Qasra and Mr Menassa after the talks in Saudi Arabia. SPA
Prince Khalid with Mr Abu Qasra and Mr Menassa after the talks in Saudi Arabia. SPA

Mr Menassa and Mr Abu Qasra were initially set to meet in Syria on Wednesday but Lebanese security sources told The National this was postponed as Damascus was set to announce new security appointments.

Tensions along the Syria-Lebanon border escalated this month, with two days of clashes between government forces and Lebanese armed groups, in which eight Syrian soldiers and a 15-year-old Lebanese boy were killed. The boy died in Syrian bombing of the frontier village of Qasr.

But despite the ceasefire, the “underlying issues remain unresolved, leaving the door open for renewed conflict at the Lebanon-Syria border”, a western diplomatic source told The National at the time.

The two countries have had a rocky relationship over the years and the recent escalation has marred efforts by their governments to improve relations since the fall of former president Bashar Al Assad.

Syrian forces under Hayat Tahrir Al Sham – which led the offensive that toppled the Assad regime in December – have clashed with Iran-backed Lebanese group Hezbollah several times at the border.

Damascus says some smuggling rings Hezbollah used to receive weapons from Iran still operate in the area. Syrian authorities have vowed to crack down on Hezbollah-linked smugglers, in a bid to secure the border.

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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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Updated: March 28, 2025, 9:50 AM