Did Benjamin Netanyahu’s war in Gaza end America’s blank cheque for Israel?
While the current US administration has been repeatedly criticised for its unwavering support of Israel, that consistency is, arguably, the very reason the White House was able to successfully make peace. President Donald Trump’s track record gave him the leverage – and the political cover – necessary to get a deal, overruling Israeli Prime Minister Netanyahu’s opposition.
Previous administrations, both Republican and Democrat, have upheld Israel as a key strategic partner in the Middle East. But the Trump administration, in recognising Jerusalem as Israel's capital early on and moving the US embassy there, as well as endorsing Israeli sovereignty over the Golan Heights, demonstrated an unwavering commitment to Mr Netanyahu and his agenda. And the extraordinary success of the Abraham Accords, an agreement that has held despite Arab hostility to Israel’s actions in Gaza, solidified Mr Trump’s role as a trusted negotiator.
True, the US has always had a close alliance with Israel regardless of which political party has been in power, providing significant military, economic and diplomatic support. But recent developments suggest a shift to this dynamic.
A move by far-right Israeli lawmakers last week to push a bill that would see the annexation of the West Bank was met with scorn by US Vice President JD Vance, who was visiting Israel. Despite his long-term support for the country, on and off the campaign trail, Mr Vance dismissed the vote as “a very stupid political stunt”. Secretary of State Marco Rubio, a firm friend of Israel and its supporters in America, also wasn’t having it, telling reporters annexation is a threat to the peace deal the Trump administration worked so hard to achieve.
It's unclear if this pushback marks a fundamental shift in US policy, but it is evident that the Trump administration is taking a much more assertive stance in managing the relationship (certainly more than the previous White House) prioritising America’s interests and pushing for a peace plan that addresses the concerns of all parties involved.
Mr Trump has repeatedly made America’s position on the West Bank clear; as recently as last week, he told Time that Israel would lose his country’s support entirely if they attempted annexation.
The American public's view of Israel is also changing, with six in 10 Americans holding an unfavourable view of the Israeli government
That’s because the American public's view of Israel is also changing, with six in 10 Americans holding an unfavourable view of the Israeli government, according to Pew Research, a pollster. And only a little over half of all Republicans surveyed had a favourable view of the country. This shift in public opinion, combined with growing criticism from the President’s own supporters, may indicate a re-evaluation of the US-Israeli relationship is afoot.
In July, I wrote a column on the rising tensions within the Maga movement, as many of its staunchest supporters began speaking out. From Tucker Carlson to Marjorie Taylor Greene, many Maga stalwarts now question Israel’s access to US government funding and officials. They find Aipac, a pro-Israel lobby group, and its influence troubling; they fail to see the benefit of sending millions of dollars in arms to a country responsible for the deaths of thousands of Palestinians. But most of all, they question whether backing Israel and its policies is good for the US.
While it’s far too early to say that a fundamental shift has happened, by putting Mr Netanyahu back in his box, US President Donald Trump called time on Israel’s devastating war in Gaza and pushed a very reluctant Prime Minister to back his peace plan. His administration’s actions since the ceasefire have demonstrated a more reserved support for Mr Netanyahu – not exactly disapproving, but a far cry from the blank cheque he’s used to.
The National's picks
4.35pm: Tilal Al Khalediah
5.10pm: Continous
5.45pm: Raging Torrent
6.20pm: West Acre
7pm: Flood Zone
7.40pm: Straight No Chaser
8.15pm: Romantic Warrior
8.50pm: Calandogan
9.30pm: Forever Young
Indoor cricket World Cup:
Insportz, Dubai, September 16-23
UAE fixtures:
Men
Saturday, September 16 – 1.45pm, v New Zealand
Sunday, September 17 – 10.30am, v Australia; 3.45pm, v South Africa
Monday, September 18 – 2pm, v England; 7.15pm, v India
Tuesday, September 19 – 12.15pm, v Singapore; 5.30pm, v Sri Lanka
Thursday, September 21 – 2pm v Malaysia
Friday, September 22 – 3.30pm, semi-final
Saturday, September 23 – 3pm, grand final
Women
Saturday, September 16 – 5.15pm, v Australia
Sunday, September 17 – 2pm, v South Africa; 7.15pm, v New Zealand
Monday, September 18 – 5.30pm, v England
Tuesday, September 19 – 10.30am, v New Zealand; 3.45pm, v South Africa
Thursday, September 21 – 12.15pm, v Australia
Friday, September 22 – 1.30pm, semi-final
Saturday, September 23 – 1pm, grand final
First Person
Richard Flanagan
Chatto & Windus
WHAT IS A BLACK HOLE?
1. Black holes are objects whose gravity is so strong not even light can escape their pull
2. They can be created when massive stars collapse under their own weight
3. Large black holes can also be formed when smaller ones collide and merge
4. The biggest black holes lurk at the centre of many galaxies, including our own
5. Astronomers believe that when the universe was very young, black holes affected how galaxies formed
Abu Dhabi GP starting grid
1 Lewis Hamilton (Mercedes)
2 Valtteri Bottas (Mercedes)
3 Sebastian Vettel (Ferrari)
4 Kimi Raikkonen (Ferrari)
5 Daniel Ricciardo (Red Bull)
6 Max Verstappen (Red Bull)
7 Romain Grosjean (Haas)
8 Charles Leclerc (Sauber)
9 Esteban Ocon (Force India)
10 Nico Hulkenberg (Renault)
11 Carlos Sainz (Renault)
12 Marcus Ericsson (Sauber)
13 Kevin Magnussen (Haas)
14 Sergio Perez (Force India)
15 Fernando Alonso (McLaren)
16 Brendon Hartley (Toro Rosso)
17 Pierre Gasly (Toro Rosso)
18 Stoffe Vandoorne (McLaren)
19 Sergey Sirotkin (Williams)
20 Lance Stroll (Williams)
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.”
Key figures in the life of the fort
Sheikh Dhiyab bin Isa (ruled 1761-1793) Built Qasr Al Hosn as a watchtower to guard over the only freshwater well on Abu Dhabi island.
Sheikh Shakhbut bin Dhiyab (ruled 1793-1816) Expanded the tower into a small fort and transferred his ruling place of residence from Liwa Oasis to the fort on the island.
Sheikh Tahnoon bin Shakhbut (ruled 1818-1833) Expanded Qasr Al Hosn further as Abu Dhabi grew from a small village of palm huts to a town of more than 5,000 inhabitants.
Sheikh Khalifa bin Shakhbut (ruled 1833-1845) Repaired and fortified the fort.
Sheikh Saeed bin Tahnoon (ruled 1845-1855) Turned Qasr Al Hosn into a strong two-storied structure.
Sheikh Zayed bin Khalifa (ruled 1855-1909) Expanded Qasr Al Hosn further to reflect the emirate's increasing prominence.
Sheikh Shakhbut bin Sultan (ruled 1928-1966) Renovated and enlarged Qasr Al Hosn, adding a decorative arch and two new villas.
Sheikh Zayed bin Sultan (ruled 1966-2004) Moved the royal residence to Al Manhal palace and kept his diwan at Qasr Al Hosn.
Sources: Jayanti Maitra, www.adach.ae
