Abu Dhabi has always been rich in natural resources. Until the 1930s it was pearls that brought wealth, an industry that declined with the introduction of cheaper Japanese cultured pearls.
From the 1960s, oil and gas transformed the economy of Abu Dhabi and the UAE, creating the prosperous modern country of today,
What, though, of the intervening period, when work was scarce, and many in the seven emirates were among the poorest people in the world? The answer, some thought, might be guano, the polite way of describing seabird excrement.
Thanks to the birds' fishy diet, guano is rich in phosphate, nitrogen and potassium, and makes a superb fertiliser. On the islands on which the birds nest it can accumulate over centuries until it is many metres deep.
Growing demand
From the middle of the 19th century, guano fertiliser was in great demand among farmers in Europe and the United States, as economies grew and a hungry population demanded ever more intensive agriculture and larger crop yields.
So precious was guano that the US passed a law in 1858 allowing it to take possession of guano-rich islands anywhere in the world if they were uninhabited. The UK obtained copious supplies from the Seychelles in the Indian Ocean. In 1949, the UK imported nearly 88,000 tonnes of guano from the Seychelles, worth nearly £5 million (Dh25m) in today’s money.
That year is important because it was when an enterprising London export-import company, JC Gilbert Ltd, believed it had discovered a new, potentially valuable source of guano to spread on the fields of Britain’s farms: the offshore islands of Abu Dhabi.
Many of the islands in the Arabian Gulf were already a local source of seabird fertiliser. A survey of the seabed in 1954 reported that prisoners from Bahrain’s jails were employed to dig guano from the Baina Islands to use on government gardens.
Reaching out
An advert placed in the UK journal Farming in 1949 by JC Gilbert offered “screened genuine bird guano” with “guaranteed 8-10 per cent ammonia, 20-30 per cent phosphates”.
There was “no government restriction on the amount that can be applied per acre or the crop for which it can be used”. Another advert from the same year in the Gardeners’ Chronicle promises “Bird Guano – quick-acting fertiliser. Ready for use." The price for a 50kg bag was 40 old shillings, or £2, the equivalent of £90 (Dh436) in today's money. “Share it with your neighbours,” the company urged.
JC Gilbert’s plan, however, had one formidable obstacle to overcome. British civil service bureaucracy.
There was no sign of problems at first. A headed letter on Crown notepaper from the British political agency in Bahrain noted a request from August 1949 “on the subject of the import of guano in the United Kingdom from Abu Dhabi”, and the response that “as far as we can see the procedure proposed is unobjectionable”.
Not so fast, came the response from London. How could it be certain that this was 100 per cent genuine Abu Dhabi guano? Could the necessary paperwork confirm it? This was important because some islands in the Arabian Gulf were subject to differing territorial claims. If some of the Abu Dhabi guano turned out to come from an island another Gulf country had its eye on, the British Foreign Office feared a diplomatic incident could occur.
London proposed a special import form. “This guano is declared by (insert name) to have been collected on (name) island. (Name) Island is regarded by His Majesty’s Government as belonging to (name of emirate), a territory under the protection of His Majesty.”
Here was a difficulty though. How could London be sure the guano really had been collected from an island that really belonged to Abu Dhabi. After all, there were a lot of islands and a lot of competing claims. “I assume the British importer will eventually appoint a responsible agent in Abu Dhabi to handle the consignment and who will keep me informed as to the shipments they are making,” an official in Bahrain replied.
Exporting guano
A list of guano exporters from the Gulf was also supplied, including 7,350 bags to the UK, 840 bags to Italy, nearly 10,000 bags to India and 2,800 bags to Ceylon (now Sri Lanka).
This didn’t really address the central question of what was authentic Abu Dhabi guano. The correspondence dragged on for months, into the spring of 1950. Eventually a compromise was reached. London was satisfied the unnamed island was not the subject of territorial claims from either Qatar or Saudi Arabia.
In addition to the proposed form, the certificate of origin would be signed both by the supplier and the British local agent as being a genuine product of Abu Dhabi. Finally exports could begin. Unfortunately the records do not show how much Abu Dhabi guano was sent to green England’s fields and gardens, nor for how long.
Today, artificial fertilisers have replaced guano, the collection of which is regarded as damaging to the environment and a risk to seabird colonies are risk.
Abu Dhabi, though, is a significant global player in fertilisers, with Abu Dhabi National Oil Company (Adnoc) holding a majority stake in Fertglobe, the region’s largest producer of nitrogen fertilisers.
The Rub of Time: Bellow, Nabokov, Hitchens, Travolta, Trump and Other Pieces 1986-2016
Martin Amis,
Jonathan Cape
Miss Granny
Director: Joyce Bernal
Starring: Sarah Geronimo, James Reid, Xian Lim, Nova Villa
3/5
(Tagalog with Eng/Ar subtitles)
MATCH INFO
Fixture: Thailand v UAE, Tuesday, 4pm (UAE)
TV: Abu Dhabi Sports
The Vines - In Miracle Land
Two stars
Our family matters legal consultant
Name: Hassan Mohsen Elhais
Position: legal consultant with Al Rowaad Advocates and Legal Consultants.
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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.”
The five types of long-term residential visas
Obed Suhail of ServiceMarket, an online home services marketplace, outlines the five types of long-term residential visas:
Investors:
A 10-year residency visa can be obtained by investors who invest Dh10 million, out of which 60 per cent should not be in real estate. It can be a public investment through a deposit or in a business. Those who invest Dh5 million or more in property are eligible for a five-year residency visa. The invested amount should be completely owned by the investors, not loaned, and retained for at least three years.
Entrepreneurs:
A five-year multiple entry visa is available to entrepreneurs with a previous project worth Dh0.5m or those with the approval of an accredited business incubator in the UAE.
Specialists
Expats with specialised talents, including doctors, specialists, scientists, inventors, and creative individuals working in the field of culture and art are eligible for a 10-year visa, given that they have a valid employment contract in one of these fields in the country.
Outstanding students:
A five-year visa will be granted to outstanding students who have a grade of 95 per cent or higher in a secondary school, or those who graduate with a GPA of 3.75 from a university.
Retirees:
Expats who are at least 55 years old can obtain a five-year retirement visa if they invest Dh2m in property, have savings of Dh1m or more, or have a monthly income of at least Dh20,000.
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Uefa Nations League
League A, Group 4
Spain v England, 10.45pm (UAE)
Living in...
This article is part of a guide on where to live in the UAE. Our reporters will profile some of the country’s most desirable districts, provide an estimate of rental prices and introduce you to some of the residents who call each area home.
Company Fact Box
Company name/date started: Abwaab Technologies / September 2019
Founders: Hamdi Tabbaa, co-founder and CEO. Hussein Alsarabi, co-founder and CTO
Based: Amman, Jordan
Sector: Education Technology
Size (employees/revenue): Total team size: 65. Full-time employees: 25. Revenue undisclosed
Stage: early-stage startup
Investors: Adam Tech Ventures, Endure Capital, Equitrust, the World Bank-backed Innovative Startups SMEs Fund, a London investment fund, a number of former and current executives from Uber and Netflix, among others.
More coverage from the Future Forum
Red flags
- Promises of high, fixed or 'guaranteed' returns.
- Unregulated structured products or complex investments often used to bypass traditional safeguards.
- Lack of clear information, vague language, no access to audited financials.
- Overseas companies targeting investors in other jurisdictions - this can make legal recovery difficult.
- Hard-selling tactics - creating urgency, offering 'exclusive' deals.
Courtesy: Carol Glynn, founder of Conscious Finance Coaching
Our legal consultants
Name: Hassan Mohsen Elhais
Position: legal consultant with Al Rowaad Advocates and Legal Consultants.
Juliot Vinolia’s checklist for adopting alternate-day fasting
- Don’t do it more than once in three days
- Don’t go under 700 calories on fasting days
- Ensure there is sufficient water intake, as the body can go in dehydration mode
- Ensure there is enough roughage (fibre) in the food on fasting days as well
- Do not binge on processed or fatty foods on non-fasting days
- Complement fasting with plant-based foods, fruits, vegetables, seafood. Cut out processed meats and processed carbohydrates
- Manage your sleep
- People with existing gastric or mental health issues should avoid fasting
- Do not fast for prolonged periods without supervision by a qualified expert
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WOMAN AND CHILD
Director: Saeed Roustaee
Starring: Parinaz Izadyar, Payman Maadi
Rating: 4/5
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%3Cp%3EDungeons%20%26amp%3B%20Dragons%20began%20as%20an%20interactive%20game%20which%20would%20be%20set%20up%20on%20a%20table%20in%201974.%20One%20player%20takes%20on%20the%20role%20of%20dungeon%20master%2C%20who%20directs%20the%20game%2C%20while%20the%20other%20players%20each%20portray%20a%20character%2C%20determining%20its%20species%2C%20occupation%20and%20moral%20and%20ethical%20outlook.%20They%20can%20choose%20the%20character%E2%80%99s%20abilities%2C%20such%20as%20strength%2C%20constitution%2C%20dexterity%2C%20intelligence%2C%20wisdom%20and%20charisma.%20In%20layman%E2%80%99s%20terms%2C%20the%20winner%20is%20the%20one%20who%20amasses%20the%20highest%20score.%3C%2Fp%3E%0A
Ten tax points to be aware of in 2026
1. Domestic VAT refund amendments: request your refund within five years
If a business does not apply for the refund on time, they lose their credit.
2. E-invoicing in the UAE
Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption.
3. More tax audits
Tax authorities are increasingly using data already available across multiple filings to identify audit risks.
4. More beneficial VAT and excise tax penalty regime
Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.
5. Greater emphasis on statutory audit
There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.
6. Further transfer pricing enforcement
Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes.
7. Limited time periods for audits
Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion.
8. Pillar 2 implementation
Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.
9. Reduced compliance obligations for imported goods and services
Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations.
10. Substance and CbC reporting focus
Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity.
Contributed by Thomas Vanhee and Hend Rashwan, Aurifer
More on animal trafficking
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MATCH INFO
Uefa Champions League semi-final, first leg
Tottenham 0-1 Ajax, Tuesday
Second leg
Ajax v Tottenham, Wednesday, May 8, 11pm
Game is on BeIN Sports
Name: Brendalle Belaza
From: Crossing Rubber, Philippines
Arrived in the UAE: 2007
Favourite place in Abu Dhabi: NYUAD campus
Favourite photography style: Street photography
Favourite book: Harry Potter
Dhadak 2
Director: Shazia Iqbal
Starring: Siddhant Chaturvedi, Triptii Dimri
Rating: 1/5