Raghida Dergham is the founder and executive chairwoman of the Beirut Institute, and a columnist for The National
June 11, 2023
The administration of US President Joe Biden has finally recognised the central role of Saudi leadership in the Middle East and the world, evidenced in Secretary of State Antony Blinken’s recent visit to Jeddah. Mr Blinken also dedicated three days to important meetings in Riyadh, involving dozens of ministers. Additionally, he engaged in lengthy discussions with Crown Prince Mohammed bin Salman in Jeddah.
The visit was a significant development, representing a profound shift in the mindset of both the administration and the Democratic Party, which has in recent times harboured what appeared to be hostility towards Saudi Arabia.
Mr Blinken’s visit underscored the administration's adoption of a pragmatic approach, departing from the customary homilies often delivered by the US to the kingdom. The new direction, it seems, encompasses not only discussions on energy prices and security, but also greater consensus on combatting global violent extremism, extending beyond the traditional focus on counterterrorism.
At a joint press conference with Mr Blinken, Saudi Foreign Minister Prince Faisal bin Farhan spoke boldly, saying it is unfortunate that developed countries continue to refuse to retrieve their citizens from conflict zones and instead leave that burden on the countries most affected by terrorism. Later, following a ministerial meeting in Riyadh of the international coalition against ISIS, he emphasised the importance of confronting terrorist organisations in Afghanistan, a country from which US troops recently withdrew.
Blinken’s visit underscored the administration's adoption of a pragmatic approach
A statement issued after a meeting of GCC foreign ministers with Mr Blinken repeated the importance of confronting violent extremism and terrorism “across the world”, reflecting the GCC’s eagerness to reject the notion that terrorism is a problem related only to this region.
Mr Blinken was eager to convey during his time in the Gulf the US’s commitment to the security of the region and its strategic security partnership with GCC. He emphasised Washington’s recognition of the crucial role played by Gulf countries, particularly Saudi Arabia, in the global economy and in addressing international crises.
It is no secret that energy is a critical matter, and the Biden administration is keen on preventing a surge in oil prices during the election cycle. However, this issue is complex, as Saudi Arabia has no obligation to comply automatically with the demands of the Biden administration when it comes to oil production. Its priority is stability of prices.
But disagreements on oil are largely separate from the other strategic and security interests the two countries share. Riyadh and Washington concur that their security relationship should not be undermined or subject to bargaining from other nations. For the US, this may most acutely mean concern over a potential relationship with China.
China's direct involvement in restoring Saudi-Iranian relations and assuming the role of guarantor for their understandings has alerted the Biden administration to its own political inertia in the region, particularly after it excluded the Gulf states from the nuclear negotiations with Iran as if it would not be a matter of concern for them.
The Biden administration must know that not rectifying past mistakes and recognising that a partnership with Riyadh is indispensable may leave Washington at a disadvantage.
There continues to exist a significant disparity between American and Saudi perspectives in one particularly important area, which is the Palestine-Israel conflict. The Biden administration aims to accomplish a Saudi-Israeli peace agreement that it could bill as having surpassed even the achievements of the Trump administration's Abraham Accords, which facilitated agreements between Israel and the UAE, Bahrain and Morocco. While Saudi Arabia does not object to signing a regional peace agreement with Israel, however, it would be under the conditions of a two-state solution and a resolution to the status of Jerusalem.
But there have been voices in Washington that have sought to reject the concept of a two-state solution wand downplay the Arab Peace Initiative, a two-decade-old proposal to end the conflict, as the basis for any peace agreement.
In this context, the joint statement between the GCC foreign ministers and Mr Blinken stood out for its emphasis on a two-state solution. Both parties reaffirmed their commitment to achieving a just, permanent, and comprehensive peace in the Middle East, based on the two-state solution and the 1967 borders, with land swaps in accordance with internationally recognised standards and the Arab Peace Initiative.
Remarkably, the joint statement also officially endorsed Arab efforts to resolve the Syrian crisis, which have clarified the Gulf's vision for relations with Syria. The statement placed strong emphasis on a political solution "in accordance with international humanitarian law, as outlined in United Nations Security Council Resolution 2254 of 2015". Notably, the statement welcomed the Arab step-by-step approach to resolving the crisis in line with Resolution 2254, and expressed support for the US-led coalition forces working to defeat ISIS in Syria.
Iran also had a presence in the discussions, as explicitly mentioned in the statement. It highlighted the joint commitment of the US and GCC countries to confront any acts of aggression or illegality that pose a threat to maritime routes, international trade and Gulf oil facilities, with specific reference to Iran. The resumption of diplomatic relations between Saudi Arabia and Iran was also met with approval.
The atmosphere surrounding Mr Blinken's visit to Jeddah and the subsequent meetings in Riyadh mark a significant departure from the tone that has characterised the US-Saudi relationship in recent years. The Biden administration has acknowledged that Saudi Arabia has emerged as an influential regional and international actor, requiring a re-evaluation and reset of the political discourse between the two nations. There is no substitute for Saudi Arabia's indispensable role in resolving both regional and international challenges, and dismissing Saudi positions is not an option.
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What drives subscription retailing?
Once the domain of newspaper home deliveries, subscription model retailing has combined with e-commerce to permeate myriad products and services.
The concept has grown tremendously around the world and is forecast to thrive further, according to UnivDatos Market Insights’ report on recent and predicted trends in the sector.
The global subscription e-commerce market was valued at $13.2 billion (Dh48.5bn) in 2018. It is forecast to touch $478.2bn in 2025, and include the entertainment, fitness, food, cosmetics, baby care and fashion sectors.
The report says subscription-based services currently constitute “a small trend within e-commerce”. The US hosts almost 70 per cent of recurring plan firms, including leaders Dollar Shave Club, Hello Fresh and Netflix. Walmart and Sephora are among longer established retailers entering the space.
UnivDatos cites younger and affluent urbanites as prime subscription targets, with women currently the largest share of end-users.
That’s expected to remain unchanged until 2025, when women will represent a $246.6bn market share, owing to increasing numbers of start-ups targeting women.
Personal care and beauty occupy the largest chunk of the worldwide subscription e-commerce market, with changing lifestyles, work schedules, customisation and convenience among the chief future drivers.
The Hong Kong Monetary Authority defines it as a bank that delivers services through the internet or other electronic channels instead of physical branches. That means not only facilitating payments but accepting deposits and making loans, just like traditional ones. Other terms used interchangeably include digital or digital-only banks or neobanks. By contrast, so-called digital wallets or e-wallets such as Apple Pay, PayPal or Google Pay usually serve as intermediaries between a consumer’s traditional account or credit card and a merchant, usually via a smartphone or computer.
What’s the draw in Asia?
Hundreds of millions of people under-served by traditional institutions, for one thing. In China, India and elsewhere, digital wallets such as Alipay, WeChat Pay and Paytm have already become ubiquitous, offering millions of people an easy way to store and spend their money via mobile phone. Indonesia, Vietnam and the Philippines are also among the world’s biggest under-banked countries; together they have almost half a billion people.
Is Hong Kong short of banks?
No, but the city is among the most cash-reliant major economies, leaving room for newcomers to disrupt the entrenched industry. Ant Financial, an Alibaba Group Holding affiliate that runs Alipay and MYBank, and Tencent Holdings, the company behind WeBank and WeChat Pay, are among the owners of the eight ventures licensed to create virtual banks in Hong Kong, with operations expected to start as early as the end of the year.
How to keep control of your emotions
If your investment decisions are being dictated by emotions such as fear, greed, hope, frustration and boredom, it is time for a rethink, Chris Beauchamp, chief market analyst at online trading platform IG, says.
Greed
Greedy investors trade beyond their means, open more positions than usual or hold on to positions too long to chase an even greater gain. “All too often, they incur a heavy loss and may even wipe out the profit already made.
Tip: Ignore the short-term hype, noise and froth and invest for the long-term plan, based on sound fundamentals.
Fear
The risk of making a loss can cloud decision-making. “This can cause you to close out a position too early, or miss out on a profit by being too afraid to open a trade,” he says.
Tip: Start with a plan, and stick to it. For added security, consider placing stops to reduce any losses and limits to lock in profits.
Hope
While all traders need hope to start trading, excessive optimism can backfire. Too many traders hold on to a losing trade because they believe that it will reverse its trend and become profitable.
Tip: Set realistic goals. Be happy with what you have earned, rather than frustrated by what you could have earned.
Frustration
Traders can get annoyed when the markets have behaved in unexpected ways and generates losses or fails to deliver anticipated gains.
Tip:Accept in advance that asset price movements are completely unpredictable and you will suffer losses at some point. These can be managed, say, by attaching stops and limits to your trades.
Boredom
Too many investors buy and sell because they want something to do. They are trading as entertainment, rather than in the hope of making money. As well as making bad decisions, the extra dealing charges eat into returns.
Tip: Open an online demo account and get your thrills without risking real money.
Baftas 2020 winners
BEST FILM
1917 - Pippa Harris, Callum McDougall, Sam Mendes, Jayne-Ann Tenggren
THE IRISHMAN - Robert De Niro, Jane Rosenthal, Martin Scorsese, Emma Tillinger Koskoff
JOKER - Bradley Cooper, Todd Phillips, Emma Tillinger Koskoff
ONCE UPON A TIME… IN HOLLYWOOD - David Heyman, Shannon McIntosh, Quentin Tarantino
PARASITE - Bong Joon-ho, Kwak Sin-ae
DIRECTOR
1917 - Sam Mendes
THE IRISHMAN - Martin Scorsese
JOKER - Todd Phillips
ONCE UPON A TIME… IN HOLLYWOOD - Quentin Tarantino