The Afghan Taliban's acting Refugee and Repatriation Minister, Khalil Haqqani. Reuters
The Afghan Taliban's acting Refugee and Repatriation Minister, Khalil Haqqani. Reuters

UN official urges stronger international engagement with Taliban regime


Adla Massoud

The UN’s top official in Afghanistan on Thursday urged stronger engagement with the Taliban rulers, warning that isolation could deepen the country's crisis and harm its people.

“Across Afghanistan, many people tell us that they want us to engage more with the de facto authorities and to help them to engage more,” Roza Otunbayeva, the special representative for Afghanistan, told the UN Security Council.

She acknowledged broad condemnation of the Taliban's restrictive policies but cautioned against disengagement. International pressure has failed to reverse controversial decisions by the Taliban, but Ms Otunbayeva said continued engagement is essential.

“Pressure and condemnation do not seem to be working, and if pursued without forward-leaning principled engagement, it will lead to Afghanistan’s isolation,” she said. “Isolation is not the solution and we must continue to engage to build trust for the benefit of the Afghan people.”

Ms Otunbayeva said the Taliban have continued to push their strict interpretation of an Islamist system and their vision for Afghan culture, as shown by unprecedented restrictions on women and girls.

Since reclaiming power in August 2021, Taliban authorities have systematically dismantled women’s rights in Afghanistan. Girls are barred from schooling beyond the sixth grade, and new vice laws issued in August prohibit women’s voices and uncovered faces in public, further erasing their presence from public life.

The Taliban have even banned women from receiving medical training, jeopardising critical healthcare services in a nation already struggling with limited resources.

“This new restriction defies logic,” said Linda Thomas-Greenfield, the US ambassador to the UN. “This is not cultural and it's not religious. It is unfathomable. It's sick. It is heartless. It means these men, Taliban, are sentencing their mothers who birthed them, their sisters, their wives, their own daughters to die before their eyes if they become ill.”

The directive, said UN under secretary for humanitarian affairs Tom Fletcher, would prevent more than 36,000 midwives and 2,800 nurses from entering the workforce in the next few years, and “rates of antenatal, neonatal and maternal mortality could dramatically increase”.

“This is in a country where one third of women already give birth without professional medical support and in which preventable maternal complications claim the life of a woman every two hours,” Mr Fletcher said.

Ms Thomas-Greenfield said the US continued to engage with the Taliban through bilateral and UN-mediated channels to support the Afghan population. But she said the growing divide over political and human rights issues raised questions about the viability of continuing.

“We have engaged the Taliban bilaterally, as well as through UN convened meetings to try to find ways to support the Afghan people," she said. "But as the divide between us on political and human rights matters grow larger, it is difficult to see how we justify continued engagement, even on technical matters. Any engagement must be linked with a broader dialogue on human rights and a political road map as envisioned in UN Security Council Resolution 2721.”

Resolution 2721 underscores the Council's commitment to Afghanistan's sovereignty, independence, territorial integrity and national unity. It also reaffirms the indispensable role of women in Afghan society, emphasising the necessity of their full, equal, meaningful and safe participation.

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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: December 12, 2024, 7:09 PM