Around the world, the indiscriminate effects of climate change and erratic weather events have been sharply felt over the years. The past few months have been particularly significant. Over the summer, these events have continued to take a devastating, if unequal, toll on human lives. Countries with very different climatic conditions and topographies are bearing a similar burden: the damage control caused by extensive weather-related destruction.
There is a regularity to the reports of deaths and economic and humanitarian distress to people in all four hemispheres of the world. Just this year, the list has included: drought in England, heatwaves in mainland Europe, wildfires over the past two months in Spain, France, Portugal; the floods in parts of Australia; in India and Bangladesh leaving millions homeless; storms and fatal landslides in Brazil; tropical storms in the northern Philippines this month. America witnessed a "once-in-200-years" meteorological event of the Texas floods amid drought; and just in the past few days, the enormity of climate disaster in Sudan and Pakistan is becoming all too clear, where floods have completely upended people's lives and indeed, taken away many.
Dealing with flooding in six states, Sudan has had to declare a state of emergency. According to the UN, the floods have affected 136,000 people, killing 89 people and injuring 40. Drone footage shows villages partially submerged in water. Like many other parts of the world, last year too, Sudan saw similar tragic scenes. Given the regularity of such weather events, be it wild fires or storms, it would seem prudent that individual countries boost their climate preparedness. Stronger infrastructure built to cope with extraordinary weather events can be a critical to save lives and curtail damage.
For the moment, however, responding with the required urgency, the UAE has despatched aid to both the stricken nations that need supplies. President Sheikh Mohamed ordered humanitarian aid worth Dh25 million to be delivered to Sudan and 30 tonnes and 10,000 tents have already been sent, which will be followed by more as a humanitarian air bridge has been declared by the UAE. And like with Sudan, Sheikh Mohamed has ordered 3,000 tonnes of food supplies and other humanitarian aid to be delivered to Pakistan.
The trauma such devastation causes has no easy fix. Indeed, where lives are lost, families are left asunder and often permanently scarred. But despite the magnitude of trauma, rescue operations are greatly benefitted when wealthier nations step up to help nations in need. It is the only appropriate moral response. It was a widely-applauded point made last year at the UN General Assembly by the Barbados Prime Minister Mia Amor Mottley, who in her speech advocated strongly for assistance to developing countries vulnerable to climate change.
In any affected part of the world, aid parcels of food and medical supplies are a lifeline to people whose homes have been washed away and who, in many cases, are effectively without shelter until the airplanes of aid arrive with the crucial cargo of tents.
The gravity of the situation in Pakistan's Sindh province is encapsulated in its rising death toll, which has reached 1,033, due to the breached water levels of the Indus River, Pakistan's longest and most important river. In just the past 24 hours, 119 people in Pakistan have lost their lives and 33 million people – almost 15 per cent of they country's population – have been affected.
As unavoidable as natural calamities are, the images of people struggling to cope with the aftermath of such events should lead countries to not only meet their climate targets – as is likely to be reiterated at the climate summit Cop27 in Egypt in November – but also to allocate more resources to bolster disaster management strategies. This would help countries, no matter in which hemisphere, to be better positioned to effectively respond to inevitable climate disasters. Floods and fires cannot in themselves be prevented. But in a planet growing warmer, the cost of countries being inadequately prepared could, in the years to come, be too high a price to pay.
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1,228 - games at the helm, ahead of Sunday's Premier League fixture against West Ham United.
704 - wins to date as Arsenal manager.
3 - Premier League title wins, the last during an unbeaten Invincibles campaign of 2003/04.
1,549 - goals scored in Premier League matches by Wenger's teams.
10 - major trophies won.
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Benefits of first-time home buyers' scheme
- Priority access to new homes from participating developers
- Discounts on sales price of off-plan units
- Flexible payment plans from developers
- Mortgages with better interest rates, faster approval times and reduced fees
- DLD registration fee can be paid through banks or credit cards at zero interest rates
Know before you go
- Jebel Akhdar is a two-hour drive from Muscat airport or a six-hour drive from Dubai. It’s impossible to visit by car unless you have a 4x4. Phone ahead to the hotel to arrange a transfer.
- If you’re driving, make sure your insurance covers Oman.
- By air: Budget airlines Air Arabia, Flydubai and SalamAir offer direct routes to Muscat from the UAE.
- Tourists from the Emirates (UAE nationals not included) must apply for an Omani visa online before arrival at evisa.rop.gov.om. The process typically takes several days.
- Flash floods are probable due to the terrain and a lack of drainage. Always check the weather before venturing into any canyons or other remote areas and identify a plan of escape that includes high ground, shelter and parking where your car won’t be overtaken by sudden downpours.
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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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Ziina users can donate to relief efforts in Beirut
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