French President Emanuel Macron finds himself under attack right, left and centre in Europe and North America after what he no doubt regards as his successful visit to China. The influential German Christian Democrat MP Norbert Rottgen said that Mr Macron had “managed to turn his China trip into a PR coup” for Chinese President Xi Jinping and “a foreign policy disaster for Europe”. In the US, Mr Macron was rebuked by several prominent Republicans, among them Senator Marco Rubio, former secretary of state Mike Pompeo, and Congressman Mike Gallagher, who described an interview the French leader gave on the plane home as “a massive propaganda victory for the Chinese Communist Party”.
Mr Macron should be encouraged by this. It shows that, just as when Americans called his countrymen “cheese-eating surrender monkeys” for the then president Jacques Chirac’s refusal to support the US-led invasion of Iraq in 2003, he’s probably getting something right.
The warm tone of Mr Macron’s interactions with Mr Xi during his three days in China and the commitment to a “global strategic partnership” that the two leaders announced had already irked some. Mr Macron arrived with a phalanx of top businessmen. None of the “decoupling” from Beijing urged by US hawks for him. But it was the interview he gave to Politico and the French newspaper Les Echos on the journey home that roused critics to fury.
They didn’t like that he said: “Is it in our interest to accelerate on the subject of Taiwan? No. The worst thing would be to think that we Europeans must become followers on this topic and adapt to the American rhythm and a Chinese overreaction.” The “great risk” Europe faces, he said, is that it “gets caught up in crises that are not ours”.
France still has a voice when it comes to world affairs, and Macron has used it to make points no other western nation would
“Europeans cannot resolve the crisis in Ukraine; how can we credibly say on Taiwan, ‘watch out, if you do something wrong we will be there’? If you really want to increase tensions that’s the way to do it,” he warned. Staying out of any escalations around the island that China considers a renegade province and increasing Europe’s resilience should be the focus, according to the French president. “If the tensions between the two superpowers heat up … we won’t have the time nor the resources to finance our strategic autonomy and we will become vassals instead of a third pole if we had a few years to build it.”
Mr Macron’s remarks should not really be so terribly surprising. They were firmly within the Gaullist tradition of forging an independent French foreign policy; of being clearly part of western alliances, such as Nato, but refusing to accept that Paris should be expected to be subordinate to Washington’s leadership, which is why then president Charles de Gaulle removed France from Nato’s military structure in 1966. The country eventually returned in 2009, but Mr Macron has continued to strike his own path in international relations, trying to persuade Vladimir Putin not to invade Ukraine in February 2022, for instance, and insisting afterwards that Russia should not be “humiliated”.
Some say that Mr Macron is mixing up France with Europe, or the EU; and that his vision of a “third pole” is at odds with the harsher views on both Russia and China held by several European countries and leaders such as European Commission President Ursula von der Leyen, who accompanied Mr Macron to China but received pretty short shrift compared to the French leader’s red carpet reception.
I would say firstly, that misses the point, and secondly, it doesn’t matter. No, neither the continent of Europe nor the EU are going to rally round Mr Macron – at least not to the point of the bloc having a strong, united, independent foreign policy backed by a powerful self-contained military. He may be able to sway the EU in favour of a more accommodating trade policy towards China a little, and eventually towards Russia, when the war in Ukraine is finally over; but even then he will face plenty who want to take a far harder line.
The real point is that France still has a voice when it comes to world affairs, and Mr Macron has used it to make a series of points that no other western nation would. Billions around the globe may well agree with him. Why is the fate of Taiwan, which is legally part of China, the concern of nations thousands of kilometres away? Nobody wants to be a vassal to anyone else. And most countries fervently hope that relations between Washington and Beijing ease, with many not-so-secretly feeling that, as Mr Macron implied, it is the former doing the provoking, not the latter.
France still has the presumption to act as though it were a great power. In truth, it is only clinging on to the vestiges of that status, but in this case Mr Macron is using his remaining ability to command the world stage sensibly and responsibly. For historic reasons, Germany, the world’s fourth-largest economy, can’t and won’t take such a stance. The UK – the sixth largest – always keeps a hold of America’s coattails, while no one looks to Italy, Canada or South Korea (who bring up the top 10) for global leadership.
The states of the Global South, including India, the fifth-largest economy, either don’t have the confidence to tell the world what to do or don’t believe that is how international relations should be conducted in the first place. Perhaps it takes the heft still implicit in being one of the only five permanent members of the UN Security Council that allows France to assume – correctly – that when it raps on the lectern, nation after nation will pay attention. And in this case, Mr Macron’s words were well worth listening to.
The French may sometimes be criticised for being a touch arrogant, but if it was the belief that he has a certain “je ne sais quoi” that led Mr Macron to upend the US-led western consensus on China and Taiwan so abruptly, we should in this instance be grateful. Merci, Monsieur President.
COMPANY%20PROFILE
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Tank warfare
Lt Gen Erik Petersen, deputy chief of programs, US Army, has argued it took a “three decade holiday” on modernising tanks.
“There clearly remains a significant armoured heavy ground manoeuvre threat in this world and maintaining a world class armoured force is absolutely vital,” the general said in London last week.
“We are developing next generation capabilities to compete with and deter adversaries to prevent opportunism or miscalculation, and, if necessary, defeat any foe decisively.”
MATCH INFO
Liverpool 2 (Van Dijk 18', 24')
Brighton 1 (Dunk 79')
Red card: Alisson (Liverpool)
Gifts exchanged
- King Charles - replica of President Eisenhower Sword
- Queen Camilla - Tiffany & Co vintage 18-carat gold, diamond and ruby flower brooch
- Donald Trump - hand-bound leather book with Declaration of Independence
- Melania Trump - personalised Anya Hindmarch handbag
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.”
Results
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INDIA'S%20TOP%20INFLUENCERS
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UAE%20SQUAD
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The specs
Engine: 4.0-litre V8
Power: 503hp at 6,000rpm
Torque: 685Nm at 2,000rpm
Transmission: 8-speed auto
Price: from Dh850,000
On sale: now
UAE currency: the story behind the money in your pockets
The specs: 2018 Nissan Altima
Price, base / as tested: Dh78,000 / Dh97,650
Engine: 2.5-litre in-line four-cylinder
Power: 182hp @ 6,000rpm
Torque: 244Nm @ 4,000rpm
Transmission: Continuously variable tranmission
Fuel consumption, combined: 7.6L / 100km
Fresh faces in UAE side
Khalifa Mubarak (24) An accomplished centre-back, the Al Nasr defender’s progress has been hampered in the past by injury. With not many options in central defence, he would bolster what can be a problem area.
Ali Salmeen (22) Has been superb at the heart of Al Wasl’s midfield these past two seasons, with the Dubai club flourishing under manager Rodolfo Arrubarrena. Would add workrate and composure to the centre of the park.
Mohammed Jamal (23) Enjoyed a stellar 2016/17 Arabian Gulf League campaign, proving integral to Al Jazira as the capital club sealed the championship for only a second time. A tenacious and disciplined central midfielder.
Khalfan Mubarak (22) One of the most exciting players in the UAE, the Al Jazira playmaker has been likened in style to Omar Abdulrahman. Has minimal international experience already, but there should be much more to come.
Jassim Yaqoub (20) Another incredibly exciting prospect, the Al Nasr winger is becoming a regular contributor at club level. Pacey, direct and with an eye for goal, he would provide the team’s attack an extra dimension.