German Chancellor Olaf Scholz and China's top diplomat, Wang Yi, attend a bilateral meeting at the Munich Security Conference earlier this month. Reuters
German Chancellor Olaf Scholz and China's top diplomat, Wang Yi, attend a bilateral meeting at the Munich Security Conference earlier this month. Reuters
German Chancellor Olaf Scholz and China's top diplomat, Wang Yi, attend a bilateral meeting at the Munich Security Conference earlier this month. Reuters
Raghida Dergham is the founder and executive chairwoman of the Beirut Institute, and a columnist for The National
February 26, 2023
At the Munich Security Conference last week, China sought to engage European leaders. Its top diplomat, Wang Yi, then visited Moscow to co-ordinate preparations for an upcoming visit by Chinese President Xi Jinping to the Russian capital. Beijing, it seems, is searching for ways to avoid being dragged into an escalation with the West amid the Ukraine war. It is, therefore, presenting itself as a possible mediator between Russia and its western adversaries.
It is intriguing to watch how in an era of conflict, China is attempting to position itself via-a-vis the US, the world’s other dominant pole, in the event that Russia is defeated in Ukraine and in the global order that could emerge from such an eventuality.
To be sure, the Ukraine conflict is not a “world war”. It is an armed conflict between two sides. Russia has been unable to rally international support, as the Soviet Union was once able to do during the Cold War. The world might appear divided on Ukraine, as one camp condemns western colonialism and American imperialism while the other remains opposed to one country invading another. But no matter how hard the US tries to convince the likes of China, India, South Africa, Brazil and others to move away from Russia, ultimately, the war remains bilateral not global.
Supporters hold a Ukrainian flag at a solidarity march to mark the first anniversary of the Russian invasion of Ukraine, in Budapest, Hungary. Reuters
A protest to mark the one-year anniversary of the Russian invasion of Ukraine, in Berlin. Reuters
Supporters in front of Helsinki Cathedral during Light for Ukraine candlelight memorial event at Senate Square in Helsinki, Finland. Reuters
Representatives stand for a moment of silence during the United Nations Security Council meeting on the maintenance of peace and security of Ukraine at the UN headquarters in New York. AFP
Britain's Prime Minister Rishi Sunak and his wife Akshata Murty, with Ukrainian ambassador to the UK Vadym Prystaiko, centre, his wife Inna and members of the Ukrainian Armed Forces outside 10 Downing Street in London, as they observe a minute's silence. AP
The Portuguese Parliament is lit with the blue and yellow of the Ukrainian flag, in Lisbon AP
The Tokyo Metropolitan Government building is lit with the Ukraine national flag colours. Getty Images
Supporters carry Ukrainian flags during a demonstration in Bangkok. EPA
Ukrainian volunteers take part in prayers and observe a minute of silence, in south-east England. Getty
Protesters near the Russian embassy in Seoul, South Korea. EPA
People lay flowers at a monument of Ukrainian poet, writer, artist, public and political figure Taras Shevchenko, in Almaty, Kazakhstan. AFP
The Eiffel Tower in Paris is lit up in the colours of Ukrainian flag. EPA
Paris Mayor Anne Hidalgo speaks alongside the Ukrainian ambassador to France, Vadym Omelchenko, during the event. AFP
Watching video-mapping on the Czech Interior Ministry building, in Prague. EPA
A woman expresses her solidarity with Ukraine at the Czech National Theatre, in Prague. EPA
Activists place candles forming the peace sign in front of the Brandenburg Gate, in Berlin. AP
A police officer raises the Ukrainian flag in front of the state parliament of Saxony-Anhalt in Magdeburg, Germany. AP
A Vilnius University building is illuminated in blue and yellow in support of Ukraine, in Vilnius, Lithuania. AP
Ukrainian flags placed over the graves of fallen Ukrainian soldiers in a military cemetery in Kharkiv, north-eastern Ukraine. EPA
A commemoration event with a light installation at the Field of Mars cemetery where hundreds of Ukrainian soldiers are buried, in Lviv, western Ukraine. Getty
Friends and relatives of fallen Ukrainian soldiers take part in a prayer as Rays of Memory illuminate the night sky over Lychakiv military cemetery in Lviv. EPA
Rays of memory illuminate the sky over Lychakiv military cemetery in Lviv. EPA
The National Opera of Ukraine building illuminated by Swiss artist Gerry Hofstetter in the colours of the Ukrainian flag, in Kyiv. Getty
A woman takes selfies in front of The National Opera of Ukraine, illuminated by Swiss artist Gerry Hofstetter. Getty
A candlelit vigil in front of the Russian consulate, in New York. Reuters
Candles lit outside the Russian consulate in New York during a vigil to commemorate children killed in Ukraine. AFP
A silent candlelit vigil in New York. Reuters
A Trafalgar Square vigil organised by the Ukrainian and US embassies in London. AP
A vigil for Ukraine at Trafalgar Square in London. Reuters
The Trafalgar Square vigil. Reuters
Crowds gather at Trafalgar Square. AP
The Ukrainian ambassador to the UK, Vadym Prystaiko, addresses the London vigil. Reuters
British Defence Secretary Ben Wallace speaks at the vigil. PA
Actress and activist Helen Mirren addresses the London vigil. PA
Teddy bears and other toys left by Ukrainian refugees and members of the Avaaz global activist network at Schuman Roundabout, in front of the European Commission, in Brussels. AP
The EU Council and Commission buildings illuminated in the colours of the Ukrainian flag. EPA
Governor of the National Bank of Ukraine Andriy Pyshnyi holds banknotes marking the first anniversary of Russia's invasion on Ukraine, in Kyiv. Reuters
Supporters gather at St Mary's Cathedral Square during the 365 Days Strong rally and candlelight vigil in Sydney. Getty
France's ambassador to Ukrain Etienne de Poncins, left, and the French Culture Minister Rima Abdul-Malak visit Independence Square in central Kyiv. AFP
Western, and even Ukrainian, leaders have decided not to dismiss China’s peace initiative before understanding the substance of it
As of today, the war isn’t going well for Moscow. In the process, it has deprived itself of its status as an international player and taken itself out of what seemed to be a “tripolar world” alongside the US and China. Russia is, at best, a regional player with limited capabilities today. The current scenario has given Washington reason to believe that Russia is weaker – and that without a strong Russia, China is also weaker.
Concerns about Russia are now primarily over its nuclear capabilities, and no longer over its conventional military prowess. Some today view Russia as a power unable to change the world but still able to destroy it. They will point to, for example, President Vladimir Putin’s announcement last Tuesday to suspend Russia’s New Start nuclear arms treaty with the US. It might be reassuring that he did not fully withdraw from it, but it is worrying that Moscow has linked the treaty’s revival with its demand that Nato stop sending arms shipments to Ukraine – which is next-to-impossible.
In his speech last week, Mr Putin blamed the West for starting the war by refusing to guarantee Moscow that it will never bring Ukraine into Nato. Likewise, US President Joe Biden’s statements and speeches during his surprise visit to Ukraine before a scheduled trip to Poland did not suggest he was in a mood for political solutions either.
Both leaders affirmed in their respective speeches that the US-Russia stand-off goes far beyond Ukraine, and that the world is now more dangerous, with no way to build a bridge over the gaping chasm between the two countries. The European leaders are lining up behind American leadership, endorsing the Biden administration’s view that the war is now about values such as democracy and requires unparalleled unity among Nato member states. And this is regardless of the stands taken by the so-called Global South.
China has entered the fray because it rejects notions of a unipolar world. It has decided that its interests require its involvement in Ukraine, with a plan to end the war at a time when US officials allege that Beijing might supply arms to Russia for its war effort.
US President Joe Biden with Ukrainian President Volodymyr Zelenskyy in front of St Michael’s Golden-Domed Cathedral in Kyiv last week. AFP
But western, and even Ukrainian, leaders have decided not to dismiss China’s peace initiative before understanding the substance of it. They know that a pragmatic Beijing worries about the adverse impact the war could have on its own interests. China has concluded that if Russia does not achieve its objectives in the war, it might have to stand alone against US-led Nato, and does not want to endorse anything that could undermine its long-term strategic interests.
The Chinese initiative will, nonetheless, be a hard sell in both the West and Russia. At the time of writing, the details are sketchy, but it is unlikely that the principles Beijing appears to uphold – including territorial integrity – will be acceptable to the Russians. The Chinese proposal of securing a ceasefire in return for Nato halting weapons shipments to Ukraine will also be a non-starter in the West, particularly as the latter prepares for a spring offensive aiming to defeat Russia. Moreover, the West is not sympathetic to China’s fears of a Russian defeat and from the beginning has sought to weaken rather than strengthen it.
What could China want if its initiative fails to stop the war and kickstart a peace process? It seeks to reconfigure its relations with the US before a decisive military outcome, especially if that outcome is a Ukrainian victory,in the emerging bipolar world.
The Ukraine war has certainly changed the world. It is forcing everyone to rethink both tactically and strategically because the old ways to resolve conflicts are obsolete and beyond resurrection. Today, there are few new mechanisms even amid fears we could eventually descend into a third world war.
The key problem is that all players are retreating into a state of hypervigilance without opening any window to search for international security guarantees. And as the rest of the world wonders what the month of March might bring, the era of militarised diplomacy continues – with military solutions, and not political ones, on the table.
This article is part of a guide on where to live in the UAE. Our reporters will profile some of the country’s most desirable districts, provide an estimate of rental prices and introduce you to some of the residents who call each area home.
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.”
Nepotism is the name of the game
Salman Khan’s father, Salim Khan, is one of Bollywood’s most legendary screenwriters. Through his partnership with co-writer Javed Akhtar, Salim is credited with having paved the path for the Indian film industry’s blockbuster format in the 1970s. Something his son now rules the roost of. More importantly, the Salim-Javed duo also created the persona of the “angry young man” for Bollywood megastar Amitabh Bachchan in the 1970s, reflecting the angst of the average Indian. In choosing to be the ordinary man’s “hero” as opposed to a thespian in new Bollywood, Salman Khan remains tightly linked to his father’s oeuvre. Thanks dad.
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