Children's play area in Mushrif Central Park. Mona Al Marzooqi/ The National
Children's play area in Mushrif Central Park. Mona Al Marzooqi/ The National
Children's play area in Mushrif Central Park. Mona Al Marzooqi/ The National
Children's play area in Mushrif Central Park. Mona Al Marzooqi/ The National

Building sandcastles, sustainability and strategies


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When you build a sandcastle, there’s a delicate balance between sand and water: too dry and the sand slides away, too wet and the castle gloops into gritty ooze. Maintaining the castle’s structure requires a great deal of patting and shaping, pounding the sand into walls that seem deceptively firm, as if they might actually resist the encroaching tide.

Surprisingly, that same smoothing and pounding process seems to be the first step towards building a housing complex in the desert – a process called “sand compaction”. Using giant cranes, a huge flat disk – about as long across as two grown men laid end to end – is pulled high in the air and then dropped onto the sand, with an impact so profound that I can hear (and feel) it from hundreds of metres away. Over and over the disk gets pulled up and dropped, eventually covering the area with a series of overlapping circles, like some mysterious game board. Construction crews have been thumping the sand for several months now, and the process won’t be finished until the new year.

Pounding the walls of a sandcastle accomplishes the same thing as a sand compactor does, just on a significantly smaller scale: realigning the sand particles, squeezing out air and water so that the sand becomes more densely packed and capable of supporting a structure, or structures, as the case may be. An entire housing development has been planned for this patch of newly compacted desert, and one of the selling points for the development will be its “water features”: a series of ponds and fountains. The boom of the compactor reverberates with irony: water is being squeezed out of the sand so that eventually water can be pumped back in, albeit in a slightly different configuration. I wonder if the compactors have a mechanism to conserve the moisture being wrung from the earth, or if the featured water will come from some other source.

In another geological irony, this desert country that we call home is criss-crossed with water, a fact that confounds faraway friends. “It’s a desert,” they say. “How can there be so much water?” Of course, the water that surrounds us isn’t potable, which creates a significant sustainability problem: how do we find enough water to slake our thirst not only for drinking water but also for the beauty of lush parks and gardens? How many of us are ready to follow in the eco-path of Umm Al Emarat Park, which maintains its serene green spaces with a significant percentage of “grey water”?

The azure undrinkable water that surrounds Abu Dhabi leads to a problem that confronts every country, not just the Emirates: the ubiquitous plastic bottle, which may be the only thing to survive a global climate apocalypse. In the aftermath of the final floods, continents will disappear but the bottles will bob merrily along, little dinghies of human hubris. The plastic recycling programmes that Abu Dhabi has instituted can’t keep up with the plastic flotsam: the bottles pile up faster than anyone can clear them away.

If recycling won’t work, maybe it’s time to change strategies. Instead of recycle, repurpose: what if we found ways to use all those bottles for development? I’ve seen bottles wired together to create garden trellises, for instance, and a few countries have experimented with mixing plastic into their road-surfacing materials. Abu Dhabi’s summer heat would likely melt any plastic in a road’s surface, but surely some clever designers could figure out how to use all those bottles as liners for swimming pools and fountains – perhaps even as the base for the “water features” in housing developments. In fact, what if plastic bottles became the housing itself? An entire housing complex, wholly or even partially built from recycled materials? That’s an idea that practically markets itself. Plus, do you know what the bottles are filled with before they’re used as building materials?

Sand.

We’ve got plenty of that.

Deborah Lindsay Williams is a professor of literature at NYU Abu Dhabi

UAE currency: the story behind the money in your pockets
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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.”