Talks between Iran and the US on Tehran's nuclear programme are gaining momentum, mediators and analysts say, with the “unlikely now possible” following progress this weekend in Rome.
The second round of negotiations led by Iran's Foreign Minister Abbas Araghchi and US envoy to the Middle East Steve Witkoff ended on a positive note in the Italian city. The Oman-brokered talks lasted for four hours and officials declared it a “good meeting” that yielded progress.
For years, the two sides have been at odds over Tehran's nuclear activities. But on Sunday, Omani Foreign Minister Badr Al Busaidi thanked Mr Araghchi and Mr Witkoff “for their highly constructive approach” to the discussions.
“These talks are gaining momentum and now even the unlikely is possible,” Mr Al Busaidi said on X.
Oman’s Foreign Ministry said the talks resulted in an agreement to move towards the next phase of negotiations aimed at sealing “a fair, enduring and binding deal”.
The next step would ensure “Iran is completely free of nuclear weapons and sanctions, and maintains its ability to develop peaceful nuclear energy”, it added.
“This time we managed to reach a better understanding on a series of principles and goals,” Mr Al Busaidi told Iranian state TV.
In Rome, the delegations sat in different rooms, with Mr Al Busaidi mediating.
During the first round of talks in Muscat a week ago, Mr Witkoff and Mr Araghchi briefly met in the first face-to-face encounter between the governments of the two countries since former president Barack Obama was in power in Washington.
The third round of talks is expected to take place next Saturday, Iran's Foreign Ministry said. Oman's Foreign Ministry said the talks will be held in Muscat.
Tehran and Washington have had no diplomatic relations since shortly after Iran's 1979 Islamic revolution. Since assuming office in January, US President Donald Trump has revived a “maximum pressure” campaign of sanctions against Iran. In March, he wrote to Iran's supreme leader Ayatollah Ali Khamenei urging renewed nuclear talks while also warning of military action if diplomacy failed.
“I'm not in a rush” to use the military option, Mr Trump said on Thursday. “I think Iran wants to talk.”
Positive outcome
Mr Araghchi said after Saturday's talks that a decision was reached for technical experts to hold indirect talks on Wednesday. He said it should become clearer whether reaching an agreement is possible after the experts meet.
That the next round will focus on the technical is “not only good but would indicate that the US did not come out asking for zero enrichment”, said Dina Esfandiary, an Iran expert and Middle East geoeconomics lead at Bloomberg Economics.
The US wants Iran to halt its production of highly enriched uranium, which western nations fear could be used to build an atomic bomb. Iran has hinted that it is willing to negotiate some compromises on the nuclear programme in return for sanctions relief as its economy is in decline.
“It sounds like the US didn’t come back with maximalist demands (as Mr Witkoff said he might do), otherwise the Iranians wouldn’t have agreed to proceed to technical talks,” Ms Esfandiary said.
However, it is known “that the Iranians are also good at dragging talks out and have an interest in doing so. We’ll have to see how the next few rounds go,” she told The National.
Iranian media on Sunday portrayed Tehran as holding a strong position after the talks, with hopes high among the public for an economic breakthrough through the lifting of sanctions.
“Iran's military might has forced America to negotiate,” said Iran's Kayhan newspaper, whose editorial line has long opposed any compromise or negotiations with the US.
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About Takalam
Date started: early 2020
Founders: Khawla Hammad and Inas Abu Shashieh
Based: Abu Dhabi
Sector: HealthTech and wellness
Number of staff: 4
Funding to date: Bootstrapped
LILO & STITCH
Starring: Sydney Elizebeth Agudong, Maia Kealoha, Chris Sanders
Director: Dean Fleischer Camp
Rating: 4.5/5
Pharaoh's curse
British aristocrat Lord Carnarvon, who funded the expedition to find the Tutankhamun tomb, died in a Cairo hotel four months after the crypt was opened.
He had been in poor health for many years after a car crash, and a mosquito bite made worse by a shaving cut led to blood poisoning and pneumonia.
Reports at the time said Lord Carnarvon suffered from “pain as the inflammation affected the nasal passages and eyes”.
Decades later, scientists contended he had died of aspergillosis after inhaling spores of the fungus aspergillus in the tomb, which can lie dormant for months. The fact several others who entered were also found dead withiin a short time led to the myth of the curse.
Fitness problems in men's tennis
Andy Murray - hip
Novak Djokovic - elbow
Roger Federer - back
Stan Wawrinka - knee
Kei Nishikori - wrist
Marin Cilic - adductor
UAE v Gibraltar
What: International friendly
When: 7pm kick off
Where: Rugby Park, Dubai Sports City
Admission: Free
Online: The match will be broadcast live on Dubai Exiles’ Facebook page
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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Starring: Anthony Mackie, Aiysha Hart, Ben Kingsley
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One in nine do not have enough to eat
Created in 1961, the World Food Programme is pledged to fight hunger worldwide as well as providing emergency food assistance in a crisis.
One of the organisation’s goals is the Zero Hunger Pledge, adopted by the international community in 2015 as one of the 17 Sustainable Goals for Sustainable Development, to end world hunger by 2030.
The WFP, a branch of the United Nations, is funded by voluntary donations from governments, businesses and private donations.
Almost two thirds of its operations currently take place in conflict zones, where it is calculated that people are more than three times likely to suffer from malnutrition than in peaceful countries.
It is currently estimated that one in nine people globally do not have enough to eat.
On any one day, the WFP estimates that it has 5,000 lorries, 20 ships and 70 aircraft on the move.
Outside emergencies, the WFP provides school meals to up to 25 million children in 63 countries, while working with communities to improve nutrition. Where possible, it buys supplies from developing countries to cut down transport cost and boost local economies.
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.”
