The 27th Conference of Parties (Cop27) is under way at the Egyptian resort of Sharm El Sheikh. With approximately 110 heads of state or government jetting-in and thousands of activists haranguing them, the mood is confrontational.
This is underpinned by huge mistrust between rich nations that have done the most to create climate change, and poor countries that are suffering the most. The blame game is a negotiating ploy to get the most advantageous deal out of Cop27, the latest in 30 years of talks, dismissed by Greta Thunberg as “blah blah”.
But this makes no allowance for the progress made. Climate change science has been elucidated and its deniers largely silenced. Clear pathways towards mitigation and adaptation have been elaborated, accompanied by a breathless pace of innovation to reduce the carbon footprint of everything we do.
People everywhere are changing lifestyles, in small and large ways. And despite the many geopolitical divides, there is unprecedented worldwide consensus with targets and timetables for reducing greenhouse emissions, even if we are off-course.
It is a false hope that emission reductions will be realised in time
We are better placed now with tackling the existentialist challenge of climate change than we were at the beginning of the Aids crisis or Covid-19 when we knew little about what was killing us. In contrast, we have the essential knowhow and means to address climate change while debating the pace of actions undertaken.
But you would not believe this from the rhetoric surrounding Cop27. The tone was set by UN Secretary General Antonio Guterres with his diagnosis that humanity is at “code red” and heading for “collective suicide”. He is right to emphasise the seriousness of the climate emergency and seek accelerated action. But apocalyptic language is unhelpful because it often disheartens, demoralises and disempowers those battling the crisis.
This is akin to doctors exhorting smokers to give up by asking them, in Mr Guterres’s words, to start “digging your own graves”. Such shock tactics can be counter-productive. No wonder some psychologists are doing a roaring trade as eco-anxieties of all types abound. Hopefully, they are also on call in Sharm El Sheikh because 45,000 traumatised delegates are not best placed to negotiate planetary survival.
This is important because Cop27 delegates face a serious reality check. Only fantasists now believe that it is possible to halve greenhouse gas emissions by 2030 to limit global temperature rise to 1.5°C above pre-industrial levels, as per the 2015 Paris Agreement. And even science fiction hesitates to compose a storyline of improbable technologies to quickly capture billions of tonnes of atmospheric carbon, to keep within the annual global emissions budget of 400bn tonnes. Even more fantastical are solar geo-engineering ventures seeking to physically cool the planet.
It is traumatising to give up on the dream underpinning so much passionate climate advocacy. Therapy here can be through making the mental shift towards realism. This is a pre-requisite for the resilience needed to survive a very different world that could be up to 2.5°C hotter on current trends of nationally determined contributions towards emission reduction.
Cop27 should lead by preparing us for an over-heated world instead of lulling us with false hopes of emission reductions that may not be realised in time. We must recognise that as global warming exceeds mitigation capacities, several planetary tipping points are inevitable, such as glacier melting. We saw its dramatic consequences with flooding in Pakistan.
This is not about admitting defeat or letting up in mitigation efforts to limit temperature rise as much as possible, and to reach the goal of "net carbon zero" earlier than 2050 if we can. But practical leadership recognises when a particular battle is nearly lost and shifts forces elsewhere so as not to lose the long-term war.
The primary battlefront is now with adaptation to maximise the saving of lives and livelihoods. The urgency is amply demonstrated by the increasing frequency and ferocity of disasters – such as heatwaves, droughts, fires, storms and floods – ravaging all continents.
Apart from the physical destruction of infrastructure and the environment’s carrying capacity, are massive secondary impacts. The most critical is hunger and famine, as in Somalia. The changing climate also makes people ill. It exposes them to disease outbreaks and potential pandemics from resurgent old conditions such as malaria and emergent novel organisms such as the coronavirus. Forced migration is already increasing; there are at least 22 million climate refugees. As competition for scarce resources such as water and energy increases, armed conflict is not far behind, especially in already unstable areas.
This is the new world normal, as more and more extreme weather events unfold with disastrous consequences. To adapt to them, we need massive resources. Most people realise this, and that is why the most troubling issue at Cop27 is climate finance.
The Paris Agreement asked developed nations to fund mitigation and adaptation in poor, climate-vulnerable states. The earlier Copenhagen Cop in 2009 had pledged $100 billion annually by 2020; OECD estimates that $83.3bn came. That was mostly loans for countries that were already highly indebted. And grossly insufficient in the era of exponentially increasing needs, estimated by some at $1-2 trillion annually by 2030.
What is adaptation? It is mostly better management to reduce disaster impacts. This means risk and vulnerability reduction through climate proofing infrastructure, and more effective early warning, protection, rescue, and relief, as well as speedy rehabilitation and recovery. The current adaptation spend in developing countries is about $46bn, while the UN Environment Programme estimates a requirement for $160-340bn by 2030.
That is not impossible to achieve through re-orienting official development assistance from donors that increased to $179bn last year. In addition, receiving countries could do more from their own budgets by re-configuring national development strategies, including designing convincing projects for private sector investment. According to the World Bank, every dollar on adaptation returns $4 in benefits.
Increasing aid for adaptation (or disaster management) is an expression of instinctive humanitarian solidarity because without it many lives will otherwise be lost. It also bridges geopolitical divides to foster much-needed borderless climate co-operation.
However, this solidarity is dangerously undermined by increasingly strident calls for loss and damage reparations from rich countries that have historically generated the most greenhouse gases to compensate poor countries who are least responsible for causing climate change. This is argued on the moral grounds of climate justice.
There is some merit in these demands. But only in the sense that acknowledging past wrongs helps us to learn from history and build better futures. But it is problematic to think that financial compensation can correct historical hurts with complex causation and diffusely distributed culpabilities. Parallel examples include the debate over redress for slavery or colonialism.
Besides, no government can afford to pay the punitive sums demanded for climate change without causing huge domestic unrest and generating further domestic and regional instability. And how do we measure and apportion the reparations fairly? How far do we go back in time when there was no understanding of climate science? Should the world’s largest emitter, China, responsible for 27 per cent of global emissions, be exempted because it is self-classified as a developing nation and has the right to catch up before de-carbonising?
Most serious is the lack of trust in current climate finance mechanisms because financial data are inaccurate and lack the consistency and specificity needed to track resource flows. Creating new funds to add to current ones is a recipe for further confusion. Serious efficiency, governance and accountability issues in relation to international financial institutions are also at play. Billions are at risk of being misallocated or lost through corruption unless these matters are fixed.
It is good that Cop27 is debating loss and damage questions for the first time. If this results in a sensible, streamlined new climate fund to replace the old, complicated ones it should be generously funded for mitigation and adaptation in poor countries. But it would be a pity if the loss-and-damage arguments become a divisive distraction and derail other key agreements.
Cop27 can earn its designation as the “implementation Cop” if it gets the world to accept that significant global warming cannot be avoided. It must prepare us to endure the difficult decades ahead, not through impossible demands and intimations of catastrophe, but by raising our resolve through sparking our shared spirit of solidarity.
The Brutalist
Director: Brady Corbet
Stars: Adrien Brody, Felicity Jones, Guy Pearce, Joe Alwyn
Rating: 3.5/5
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CONFIRMED%20LINE-UP
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Who has been sanctioned?
Daniella Weiss and Nachala
Described as 'the grandmother of the settler movement', she has encouraged the expansion of settlements for decades. The 79 year old leads radical settler movement Nachala, whose aim is for Israel to annex Gaza and the occupied West Bank, where it helps settlers built outposts.
Harel Libi & Libi Construction and Infrastructure
Libi has been involved in threatening and perpetuating acts of aggression and violence against Palestinians. His firm has provided logistical and financial support for the establishment of illegal outposts.
Zohar Sabah
Runs a settler outpost named Zohar’s Farm and has previously faced charges of violence against Palestinians. He was indicted by Israel’s State Attorney’s Office in September for allegedly participating in a violent attack against Palestinians and activists in the West Bank village of Muarrajat.
Coco’s Farm and Neria’s Farm
These are illegal outposts in the West Bank, which are at the vanguard of the settler movement. According to the UK, they are associated with people who have been involved in enabling, inciting, promoting or providing support for activities that amount to “serious abuse”.
Did you know?
Brunch has been around, is some form or another, for more than a century. The word was first mentioned in print in an 1895 edition of Hunter’s Weekly, after making the rounds among university students in Britain. The article, entitled Brunch: A Plea, argued the case for a later, more sociable weekend meal. “By eliminating the need to get up early on Sunday, brunch would make life brighter for Saturday night carousers. It would promote human happiness in other ways as well,” the piece read. “It is talk-compelling. It puts you in a good temper, it makes you satisfied with yourself and your fellow beings, it sweeps away the worries and cobwebs of the week.” More than 100 years later, author Guy Beringer’s words still ring true, especially in the UAE, where brunches are often used to mark special, sociable occasions.
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Classification of skills
A worker is categorised as skilled by the MOHRE based on nine levels given in the International Standard Classification of Occupations (ISCO) issued by the International Labour Organisation.
A skilled worker would be someone at a professional level (levels 1 – 5) which includes managers, professionals, technicians and associate professionals, clerical support workers, and service and sales workers.
The worker must also have an attested educational certificate higher than secondary or an equivalent certification, and earn a monthly salary of at least Dh4,000.
Profile
Name: Carzaty
Founders: Marwan Chaar and Hassan Jaffar
Launched: 2017
Employees: 22
Based: Dubai and Muscat
Sector: Automobile retail
Funding to date: $5.5 million
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More coverage from the Future Forum
COMPANY PROFILE
Company name: Blah
Started: 2018
Founder: Aliyah Al Abbar and Hend Al Marri
Based: Dubai
Industry: Technology and talent management
Initial investment: Dh20,000
Investors: Self-funded
Total customers: 40
The biog
Family: He is the youngest of five brothers, of whom two are dentists.
Celebrities he worked on: Fabio Canavaro, Lojain Omran, RedOne, Saber Al Rabai.
Where he works: Liberty Dental Clinic
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India team for Sri Lanka series
Test squad: Rohit Sharma (captain), Priyank Panchal, Mayank Agarwal, Virat Kohli, Shreyas Iyer, Hanuma Vihari, Shubhman Gill, Rishabh Pant (wk), KS Bharath (wk), Ravindra Jadeja, Jayant Yadav, Ravichandran Ashwin, Kuldeep Yadav, Sourabh Kumar, Mohammed Siraj, Umesh Yadav, Mohammed Shami, Jasprit Bumrah.
T20 squad: Rohit Sharma (captain), Ruturaj Gaikwad, Shreyas Iyer, Surya Kumar Yadav, Sanju Samson, Ishan Kishan (wk), Venkatesh Iyer, Deepak Chahar, Deepak Hooda, Ravindra Jadeja, Yuzvendra Chahal, Ravi Bishnoi, Kuldeep Yadav, Mohammed Siraj, Bhuvneshwar Kumar, Harshal Patel, Jasprit Bumrah, Avesh Khan
Reputation
Taylor Swift
(Big Machine Records)
Killing of Qassem Suleimani
Killing of Qassem Suleimani
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.”
Avatar: Fire and Ash
Director: James Cameron
Starring: Sam Worthington, Sigourney Weaver, Zoe Saldana
Rating: 4.5/5
UAE currency: the story behind the money in your pockets
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