In advance of Egypt’s Cop27, which ended last weekend, UK Environment Secretary Therese Coffey described it as not a "big political" summit. Ms Coffey wasn’t alone in undermining the conference. The annual Cop gatherings have become associated with – as former UK prime minister Boris Johnson in his opening speech put it – a "corrosive cynicism". And yet, Egypt and the Middle East have confounded the pessimists with an extraordinary win through uniting historically disparate Global North and South interests in a new fund for loss and damage. Inside and outside the Middle East, co-operation is the only way to stave off the worst effects of the climate crisis. With next year’s Cop28 again to be hosted in the Middle East, there is a unique opportunity to maintain momentum.
Already hosting the world’s International Renewable Energy Agency, 2023’s Cop28 will be hosted by the UAE. Egypt’s success in bringing countries together towards meaningful outcomes presages the UAE’s emphasis on practical solutions and substantive steps forward for its time in the eco-spotlight. Global leadership coming from the region should not be surprising. The Middle East has always been at the crossroads between West and East and North and South. Economically, North Africa is positioning itself as a pivot between Europe and sub-Saharan Africa and politically, Saudi Arabia and Turkey have played mediating roles between the West and Russia following the latter’s invasion of Ukraine. In the context of a more active Middle East on the world stage, the issue of climate change is one where the region is asserting itself – and this too is hardly surprising.
Research released this year suggests the Middle East is warming at almost twice the rate of the global average. This summer, workers in Iraq were given time off as temperatures soared above 50°C, with heatwaves in recent years becoming more frequent and intense as a result of climate change. Across the Middle East, the precipitation rate is falling and leading to more frequent droughts and greater water scarcity. According to recent simulations, the Middle East will be unable to meet its water needs by 2030.
The Middle East understands that climate change is a trans-border challenge requiring co-operation
According to the World Bank, precipitation in Cop host country Egypt has fallen by 22 per cent in the past 30 years. The implications for food security are urgent and stark, with the UN warning the region’s crop production could drop 30 per cent by 2025. The Middle East is already one of the world’s most food insecure regions, where more than 50 million people are undernourished. In 2020, the Middle East’s share of the world’s most food insecure people stood at 20 per cent, despite it having only 6 per cent of the global population.
There are also social and political implications to climate change. UN Secretary General Antonio Guterres has rightly made the connection between extreme weather, increased food and water scarcity and social stability and security leading to opportunities for terrorists. The Middle East already faces a range of structural challenges, including ongoing armed conflicts in places like Yemen and Syria, corruption and governance issues in countries such as Lebanon and Iraq, as well as consequent economic growth challenges in a region that has the world’s largest proportion of unemployed young people. Described as a "force-multiplier", the effects of climate change will exacerbate the challenges the Middle East already faces.
Perhaps better than anywhere else, the Middle East understands that climate change is a trans-border challenge requiring co-operation. The redoubled commitment at Cop27 among Israel, Jordan and the UAE on clean energy and sustainable water supplies is just one example of unity in a historically fragmented region. Countries from Turkey and Saudi Arabia to Israel and Bahrain have pledged to decarbonise by 2050. The prioritisation of climate change is leading to collaboration, such as Saudi Arabia’s Green Initiative, which aims to grow 50 billion trees to combat desertification.
There is a strong economic case for the Middle East to use the attention of the world to show what can be achieved through co-operation. Projections from Oxford University’s Martin School has shown what is possible when countries collaborate. Co-operation between Israel, Palestine and Jordan focused on renewable energy generation would save all three countries $18.3 billion by 2030, representing 9.4 per cent of what they are expected to spend separately on reaching emission reduction goals by 2030.
Following 2020’s Abraham Accords, scientific collaboration and joint research is accelerating and the evidentiary case for greater cooperation is clear. Indeed, the combination of rapidly maturing scientific, institutional and technology capabilities of several regional states coupled with shared deep expertise of security policy suggests an opportunity for regional leadership in the development of adaptive responses to climate-security nexus risks. Responses to the climate crisis cannot be isolated and the Middle East needs committed partners in advance of Cop28 to make sure action progresses to support every country who are today at the frontlines of the climate crisis.
Few in the West acknowledge the pivotal role Middle East nations can play. Recent polling of the US, UK, France and Germany show only 23 per cent envisage a future where the world looks to the Middle East for global leadership. Egypt’s Cop united the world at a critical moment and the UAE’s Cop looks set to build on this success. Unity and co-operation are happening in a once-fragmented region and the world must heed this example.
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Conflict, drought, famine
Estimates of the number of deaths caused by the famine range from 400,000 to 1 million, according to a document prepared for the UK House of Lords in 2024.
It has been claimed that the policies of the Ethiopian government, which took control after deposing Emperor Haile Selassie in a military-led revolution in 1974, contributed to the scale of the famine.
Dr Miriam Bradley, senior lecturer in humanitarian studies at the University of Manchester, has argued that, by the early 1980s, “several government policies combined to cause, rather than prevent, a famine which lasted from 1983 to 1985. Mengistu’s government imposed Stalinist-model agricultural policies involving forced collectivisation and villagisation [relocation of communities into planned villages].
The West became aware of the catastrophe through a series of BBC News reports by journalist Michael Buerk in October 1984 describing a “biblical famine” and containing graphic images of thousands of people, including children, facing starvation.
Band Aid
Bob Geldof, singer with the Irish rock group The Boomtown Rats, formed Band Aid in response to the horrific images shown in the news broadcasts.
With Midge Ure of the band Ultravox, he wrote the hit charity single Do They Know it’s Christmas in December 1984, featuring a string of high-profile musicians.
Following the single’s success, the idea to stage a rock concert evolved.
Live Aid was a series of simultaneous concerts that took place at Wembley Stadium in London, John F Kennedy Stadium in Philadelphia, the US, and at various other venues across the world.
The combined event was broadcast to an estimated worldwide audience of 1.5 billion.
SPEC%20SHEET
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UAE%20v%20West%20Indies
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COMPANY%20PROFILE%20
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Results
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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.”
More on Palestine-Israeli relations
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Uefa Champions League final:
Who: Real Madrid v Liverpool
Where: NSC Olimpiyskiy Stadium, Kiev, Ukraine
When: Saturday, May 26, 10.45pm (UAE)
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The flights
Air Astana flies direct from Dubai to Almaty from Dh2,440 per person return, and to Astana (via Almaty) from Dh2,930 return, both including taxes.
The hotels
Rooms at the Ritz-Carlton Almaty cost from Dh1,944 per night including taxes; and in Astana the new Ritz-Carlton Astana (www.marriott) costs from Dh1,325; alternatively, the new St Regis Astana costs from Dh1,458 per night including taxes.
When to visit
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Citizens of many countries, including the UAE do not need a visa to enter Kazakhstan for up to 30 days. Contact the nearest Kazakhstan embassy or consulate.
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The Equaliser 2
Director Antoine Fuqua
Starring: Denzel Washington, Bill Pullman, Melissa Leo, Ashton Sanders
Three stars
'Ashkal'
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Starring: Yonas Kibreab, Zoe Saldana, Brad Garrett
Directors: Madeline Sharafian, Domee Shi, Adrian Molina
Rating: 4/5
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Uefa Champions League semi-final, second leg
Real Madrid (2) v Bayern Munich (1)
Where: Santiago Bernabeu, Madrid
When: 10.45pm, Tuesday
Watch Live: beIN Sports HD
Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
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Benefits of first-time home buyers' scheme
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