US Air Force bomber at the Diego Garcia military base. AFP
US Air Force bomber at the Diego Garcia military base. AFP
US Air Force bomber at the Diego Garcia military base. AFP
US Air Force bomber at the Diego Garcia military base. AFP

Keir Starmer's envoy set to meet Trump team to salvage Chagos deal


Gillian Duncan
  • English
  • Arabic

UK Prime Minister Keir Starmer’s national security adviser is to travel to Washington to try to persuade US president-elect Donald Trump’s team to fulfil a deal that will give Mauritius sovereignty over the Chagos Islands.

Jonathan Powell, who negotiated the agreement in return for retaining control of a joint UK-US military base on Diego Garcia, plans to visit Washington within the next few days.

A UK government spokeswoman reiterated to The National that Labour is working "very closely" with the current US administration, and will continue to do so with Mr Trump's government.

On Wednesday, Number 10 said the government’s position on the Chagos deal “remains unchanged” and the UK is “finalising” the text of the treaty. Final details of the legal text of the treaty are being worked out, with the plan to put them before Parliament for scrutiny next year, they added.

It follows reports by the BBC earlier this week that new Mauritian prime minister Navin Ramgoolam expressed reservations about the deal that was struck earlier this year, after a meeting with Mr Powell on Monday.

Mr Trump, whose inauguration will take place on January 20, is believed to be looking for ways to scrap the agreement over security concerns about the base.

Under the deal, the UK and US are believed to have secured the use of the airbase for at least 99 years. But The Independent reported that Mr Trump’s transition team has requested legal advice from the Pentagon owing to fears that China, an ally of Mauritius, will be allowed to build a military installation on Chagos.

Fuel tanks at the edge of a military base on Diego Garcia, the largest island in the Chagos archipelago. Reuters
Fuel tanks at the edge of a military base on Diego Garcia, the largest island in the Chagos archipelago. Reuters

Marco Rubio, who Mr Trump has picked to be secretary of state, previously warned the deal posed “a serious threat” to US national security. Reform UK leader Nigel Farage has reportedly encouraged Mr Trump’s team to investigate the consequences of the agreement before the election. “Diego Garcia was described to me by a senior Trump adviser as the most important island on the planet as far as America was concerned,” Mr Farage told MPs.

But Mr Powell dismissed concerns about relinquishing control of the archipelago. He told Times Radio: “I don't think we should be too worried about losing that bit of territory. We're probably losing more to tidal erosion in the east coast [of England] than that.”

Mauritius claims it was forced to give the Chagos Islands away in 1965 to gain its independence from Britain. The World Court said in 2019 that the UK should give up control of the islands and said it wrongfully forced the population to leave in the 1970s to make way for a US airbase.

The UN's highest court, the International Court of Justice in The Hague, has ruled that Britain's administration of the territory is “unlawful” and must end.

A report from the Policy Exchange think tank last year argued that Britain should not relinquish sovereignty over the islands in return for “an unenforceable promise by a third country that the military base at Diego Garcia will be allowed to continue to operate in the future”.

Who's who in Yemen conflict

Houthis: Iran-backed rebels who occupy Sanaa and run unrecognised government

Yemeni government: Exiled government in Aden led by eight-member Presidential Leadership Council

Southern Transitional Council: Faction in Yemeni government that seeks autonomy for the south

Habrish 'rebels': Tribal-backed forces feuding with STC over control of oil in government territory

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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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Director: Jesse Armstrong

Rating: 3.5/5

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Engine: 2.0-litre 4cyl turbo

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Fuel consumption: 6.9L/100km

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Price: From Dh117,059

The President's Cake

Director: Hasan Hadi

Starring: Baneen Ahmad Nayyef, Waheed Thabet Khreibat, Sajad Mohamad Qasem 

Rating: 4/5

Our family matters legal consultant

Name: Hassan Mohsen Elhais

Position: legal consultant with Al Rowaad Advocates and Legal Consultants.

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Maghreb United

Sofyann Ben Youssef
Glitterbeat 

Global state-owned investor ranking by size

1.

United States

2.

China

3.

UAE

4.

Japan

5

Norway

6.

Canada

7.

Singapore

8.

Australia

9.

Saudi Arabia

10.

South Korea

Biog

Mr Kandhari is legally authorised to conduct marriages in the gurdwara

He has officiated weddings of Sikhs and people of different faiths from Malaysia, Sri Lanka, Russia, the US and Canada

Father of two sons, grandfather of six

Plays golf once a week

Enjoys trying new holiday destinations with his wife and family

Walks for an hour every morning

Completed a Bachelor of Commerce degree in Loyola College, Chennai, India

2019 is a milestone because he completes 50 years in business

 

Match info

Costa Rica 0

Serbia 1
Kolarov (56')

Company profile

Date started: December 24, 2018

Founders: Omer Gurel, chief executive and co-founder and Edebali Sener, co-founder and chief technology officer

Based: Dubai Media City

Number of employees: 42 (34 in Dubai and a tech team of eight in Ankara, Turkey)

Sector: ConsumerTech and FinTech

Cashflow: Almost $1 million a year

Funding: Series A funding of $2.5m with Series B plans for May 2020

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.

 

UPI facts

More than 2.2 million Indian tourists arrived in UAE in 2023
More than 3.5 million Indians reside in UAE
Indian tourists can make purchases in UAE using rupee accounts in India through QR-code-based UPI real-time payment systems
Indian residents in UAE can use their non-resident NRO and NRE accounts held in Indian banks linked to a UAE mobile number for UPI transactions

Updated: November 27, 2024, 2:49 PM