Iran's Foreign Minister Abbas Araghchi, right, says Tehran has received 'numerous' invitations from Washington to resume discussions. EPA
Iran's Foreign Minister Abbas Araghchi, right, says Tehran has received 'numerous' invitations from Washington to resume discussions. EPA
Iran's Foreign Minister Abbas Araghchi, right, says Tehran has received 'numerous' invitations from Washington to resume discussions. EPA
Iran's Foreign Minister Abbas Araghchi, right, says Tehran has received 'numerous' invitations from Washington to resume discussions. EPA

Iran 'not afraid' of nuclear negotiations but needs to be certain of US commitment


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Iran's Foreign Minister has said Tehran is “not afraid” of returning to negotiations on its nuclear programme, after having received “numerous” invitations from the US.

However, Abbas Araghchi said his country needs to be certain that Washington remains committed to the talks and would not launch military strikes if they collapse.

Tehran and Washington have held five rounds of nuclear talks, mediated by Oman, since April. A sixth round scheduled for June 15 was cancelled after Israel launched a surprise attack on Iran on June 13. The US later joined the conflict, striking three Iranian nuclear facilities.

“In the middle of the negotiations, we encountered a change in the direction of the negotiations towards a military option, and this was a betrayal that the Americans committed not to us but to diplomacy,” Mr Araghchi said on Saturday, reported Iran's state Irna news agency.

“If they insist on returning to the negotiating table − which is the case now, and we have received numerous messages − it is natural that we must be convinced that such behaviour will not happen again,” he added.

Mr Araghchi said Tehran needs guarantees from Washington that it would not seek a “military option” if talks were to resume and collapse.

Earlier this week, in an interview American journalist Tucker Carlson, Iranian President Masoud Pezeshkian said Iran was ready to return to negotiations.

Mr Pezeshkian said that while Tehran was willing to return to allowing supervision of its programme, its nuclear infrastructure had been “severely damaged” by recent US strikes.

“We don't have any access to them,” he said. “We have to wait for it and to see what happens and how much they have been damaged, so that we can go for the supervision.”

The talks were aimed at regulating Iran's nuclear activities in exchange for the lifting of economic sanctions. Since the 12-day war with Israel ended, Tehran has also suspended co-operation with the UN nuclear watchdog.

Before agreeing to any new meeting with the International Atomic Energy Agency, “we are examining its timing, its location, its form, its ingredients, the assurances it requires”, said Mr Araghchi, who also serves as Iran's lead negotiator.

He said that any talks would focus only on Iran's nuclear activities, not its military capabilities.

“We will not have any agreement in which enrichment is not included,” he said. The topic of enrichment has been a key sticking point throughout nuclear talks.

Axios reported on Saturday that Russian President Vladimir Putin told both US President Donald Trump and Iranian officials that he supported a deal with zero enrichment and had encouraged Tehran to agree, citing European officials. This would mark a significant change in Moscow's stance after years of backing Tehran on the nuclear issue.

Russian Foreign Minister Sergey Lavrov said at the Brics summit in Rio on Monday that Moscow would remain a committed ally of Iran and support its nuclear programme.

“Russia has technological solutions for uranium depletion and is ready to work with Iran in this field,” Mr Lavrov said, as reported by Russian state news outlet Tass.

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Dubai Hurricanes 58-10 Dubai Knights Eagles

Dubai Tigers 5-39 Bahrain

Jebel Ali Dragons 16-56 Abu Dhabi Harlequins

The specs: 2017 Lotus Evora Sport 410

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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.”

Labour dispute

The insured employee may still file an ILOE claim even if a labour dispute is ongoing post termination, but the insurer may suspend or reject payment, until the courts resolve the dispute, especially if the reason for termination is contested. The outcome of the labour court proceedings can directly affect eligibility.


- Abdullah Ishnaneh, Partner, BSA Law 

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