Last year was, for sure, a year of tumult and political upsets. Britons voted to leave the European Union and Donald Trump won the US presidential election – results that stunned nearly all the pundits (although keen readers of The National may remember that I wrote a column in February titled Why Hillary won't win the race to the White House).
To some, however, it was far worse than that. 2016: Worst. Year. Ever?" asked The New York Times, while The Wall Street Journal bade "good riddance to a crummy 2016" which had apparently caused "widespread bitterness". How could it have been quite that bad? According to the theorist Kenan Malik, British supporters of the EU "suddenly found themselves, as they see it, in a nation full of xenophobes, bigots and ignoramuses".
America, wrote the economist Paul Krugman this week, “is rapidly turning into a stan” – a reference to the Central Asian republics he describes as “ruled by strongmen who surround themselves with tiny cliques of wealthy crony capitalists”. Mr Krugman warned: “We’re entering an era of epic corruption and contempt for the rule of law, with no restraint whatsoever.”
In the face of such wild overreactions, two things will be necessary in a year during which we are sure to witness plenty of other “shocking” events, such as Marine Le Pen reaching the second round of France’s presidential elections: perspective and respect for democracy.
With a proper sense of perspective, it is clear that none of these events – Brexit, Mr Trump, the election of Rodrigo Duterte in The Philippines and the rise of populists in many countries – have been disasters. Disturbing to many, clearly, but not cataclysmic by any means.
Given that it led to the invasion of Iraq, one could say that the election of George W Bush was a disaster. If, as has been recently alleged, evidence has been found that proves president Richard Nixon interfered with the peace negotiations that could have ended the Vietnam War under Lyndon Johnson, that was not just a disaster but a crime.
And three events of a century ago – the Russian Revolution, the end of US isolationism with its entry into the First World War and the issuance of the Balfour Declaration – were far more world-shaking than anything that happened last year. They truly had consequences of an order that could lead to them being described as disastrous, should one view them negatively.
But today, questions are being asked as to whether democracy itself is in trouble. Could we be entering an era of "democratic deconsolidation", as an essay in the January issue of the Journal of Democracy suggests? The trend "across most liberal democracies is a very serious warning sign", write the authors, Roberto Foa and Yascha Mounk.
But there has been nothing undemocratic about the elections of last year. No one seriously challenges the validity of the results in Britain, America, the Philippines, or indeed Austria, where a far-right candidate came close to winning the presidency.
As I wrote in these pages after the election of Mr Duterte: “We hear dire warnings of democracy being ‘in danger’. It is nothing of the sort. The liberal pro-market dominance of so many democracies may indeed be in danger; but that is another thing entirely.”
Too often the terms “democracy” and “liberal democracy” are used indistinguishably, as they are in the essay mentioned above. Mr Trump’s election, say the authors, gives “renewed urgency to questions about the stability of supposedly consolidated liberal democracies”. Is it a “warning sign that democracy may begin to founder”?
Of course not. In the United States, as in many other countries, it is a globalised liberal economic and cultural system that has foundered. Democracy itself – the process of expressing the will of the people, with an inexorable and inevitable leaning towards majoritarianism which no constitution or legislative hurdle can block for ever – is in perfectly fine fettle.
The bitter rage that has emanated from liberal elites has been an education in what many proponents of liberal democracy really think about democracy. It has been hard not to conclude that liberal “tolerance” only extends to what liberals deem acceptable and that the people’s vote is only to be respected if it produces a result that falls within certain bounds.
Of course, that should not come as a surprise. Britain and America have a long history of intervening to topple leaders they didn’t like, from Chile’s Salvador Allende to Iran’s Mohammad Mosaddegh. They were overthrown in coups backed by the US in both cases, and by Britain in the second. The fact that these leaders were democratically elected was evidently no obstacle to their removal – even in an era when the West was trumpeting democracy and freedom in contrast to the repression under communist rule.
The difference this time is that democracy has not just produced the “wrong” result in the Philippines, India, Russia, Turkey, Hungary and Poland, but also on the West’s ultimate home turf – the US and Britain. Hence the outrage, the necessity of providing “safe places” for quivering snowflakes and the cries of “I don’t recognise my country any more”.
To those, I would say: perhaps you never really knew it, nor did a silent majority of your countrymen, in the first place.
Last year shone a light on those who had been ignored. Far from being a catastrophe, 2016 could be celebrated as a year of democracy – a year the people finally had their say.
Sholto Byrnes is a senior fellow at the Institute of Strategic and International Studies, Malaysia
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.”
MISSION: IMPOSSIBLE – FINAL RECKONING
Director: Christopher McQuarrie
Starring: Tom Cruise, Hayley Atwell, Simon Pegg
Rating: 4/5
At a glance
Global events: Much of the UK’s economic woes were blamed on “increased global uncertainty”, which can be interpreted as the economic impact of the Ukraine war and the uncertainty over Donald Trump’s tariffs.
Growth forecasts: Cut for 2025 from 2 per cent to 1 per cent. The OBR watchdog also estimated inflation will average 3.2 per cent this year
Welfare: Universal credit health element cut by 50 per cent and frozen for new claimants, building on cuts to the disability and incapacity bill set out earlier this month
Spending cuts: Overall day-to day-spending across government cut by £6.1bn in 2029-30
Tax evasion: Steps to crack down on tax evasion to raise “£6.5bn per year” for the public purse
Defence: New high-tech weaponry, upgrading HM Naval Base in Portsmouth
Housing: Housebuilding to reach its highest in 40 years, with planning reforms helping generate an extra £3.4bn for public finances
Dust and sand storms compared
Sand storm
- Particle size: Larger, heavier sand grains
- Visibility: Often dramatic with thick "walls" of sand
- Duration: Short-lived, typically localised
- Travel distance: Limited
- Source: Open desert areas with strong winds
Dust storm
- Particle size: Much finer, lightweight particles
- Visibility: Hazy skies but less intense
- Duration: Can linger for days
- Travel distance: Long-range, up to thousands of kilometres
- Source: Can be carried from distant regions
CABINET%20OF%20CURIOSITIES%20EPISODE%201%3A%20LOT%2036
%3Cp%3E%3Cstrong%3EDirector%3A%20%3C%2Fstrong%3EGuillermo%20del%20Toro%3Cbr%3E%3Cstrong%3EStars%3A%3C%2Fstrong%3E%20Tim%20Blake%20Nelson%2C%20Sebastian%20Roche%2C%20Elpidia%20Carrillo%3Cbr%3ERating%3A%204%2F5%3C%2Fp%3E%0A
How has net migration to UK changed?
The figure was broadly flat immediately before the Covid-19 pandemic, standing at 216,000 in the year to June 2018 and 224,000 in the year to June 2019.
It then dropped to an estimated 111,000 in the year to June 2020 when restrictions introduced during the pandemic limited travel and movement.
The total rose to 254,000 in the year to June 2021, followed by steep jumps to 634,000 in the year to June 2022 and 906,000 in the year to June 2023.
The latest available figure of 728,000 for the 12 months to June 2024 suggests levels are starting to decrease.
What are the main cyber security threats?
Cyber crime - This includes fraud, impersonation, scams and deepfake technology, tactics that are increasingly targeting infrastructure and exploiting human vulnerabilities.
Cyber terrorism - Social media platforms are used to spread radical ideologies, misinformation and disinformation, often with the aim of disrupting critical infrastructure such as power grids.
Cyber warfare - Shaped by geopolitical tension, hostile actors seek to infiltrate and compromise national infrastructure, using one country’s systems as a springboard to launch attacks on others.
The five pillars of Islam
UK's plans to cut net migration
Under the UK government’s proposals, migrants will have to spend 10 years in the UK before being able to apply for citizenship.
Skilled worker visas will require a university degree, and there will be tighter restrictions on recruitment for jobs with skills shortages.
But what are described as "high-contributing" individuals such as doctors and nurses could be fast-tracked through the system.
Language requirements will be increased for all immigration routes to ensure a higher level of English.
Rules will also be laid out for adult dependants, meaning they will have to demonstrate a basic understanding of the language.
The plans also call for stricter tests for colleges and universities offering places to foreign students and a reduction in the time graduates can remain in the UK after their studies from two years to 18 months.
The specs
Engine: Four electric motors, one at each wheel
Power: 579hp
Torque: 859Nm
Transmission: Single-speed automatic
Price: From Dh825,900
On sale: Now