Displaced Palestinians in the remains of a United Nations Relief and Works Agency (UNRWA) school in central Khan Younis, Gaza, on Tuesday, May 7, 2024. International negotiators, including from the US, are at a delicate phase in talks to pause or end the seven-month war — a deal that would include the exchange of hostages for Palestinian prisoners and an increase of humanitarian aid to the embattled coastal strip. Photographer: Ahmad Salem / Bloomberg
Displaced Palestinians in the remains of a United Nations Relief and Works Agency (UNRWA) school in central Khan Younis, Gaza, on Tuesday, May 7, 2024. International negotiators, including from the US, are at a delicate phase in talks to pause or end the seven-month war — a deal that would include the exchange of hostages for Palestinian prisoners and an increase of humanitarian aid to the embattled coastal strip. Photographer: Ahmad Salem / Bloomberg
Displaced Palestinians in the remains of a United Nations Relief and Works Agency (UNRWA) school in central Khan Younis, Gaza, on Tuesday, May 7, 2024. International negotiators, including from the US
Raghida Dergham is the founder and executive chairwoman of the Beirut Institute, and a columnist for The National
May 12, 2024
It’s important to tread carefully when trying to analyse the current state of the US-Israeli strategic relationship.
This is on account of their ongoing rift over Israeli Prime Minister Benjamin Netanyahu’s insistence on a ground operation into Rafah. US President Joe Biden opposes this move, fearing a humanitarian crisis and the potential massacre of tens of thousands of Palestinian civilians.
There are, and will continue to be, consequences for Hamas’s Operation Al Aqsa Flood on October 7, which triggered Israel’s ferocious retaliation. It is bringing about an inevitable shift to the governing structure in Gaza, with significant implications for the demographic landscape after this mass displacement. It will also have huge consequences for a region teetering on the brink of collapse.
To be sure, a new regional map is emerging from both on-the-ground developments and the US’s incoherent policies, as Washington finds itself caught between diplomatic overtures to Israel and Iran, and domestic political pressures ahead of Mr Biden’s re-election campaign.
Mr Biden’s threat to suspend US arms shipments to Israel, while representing an unprecedented development, does not signify a pivotal shift in the US-Israeli strategic relationship, which – strained as it may be – is not facing an existential crisis. Further, Mr Biden has directed his team to continue collaborating with Israel “to permanently defeat” Hamas, making it clear that the US has not yet made a final decision regarding the provision of the type of munitions previously used by Israel to cause civilian casualties.
Should Israel proceed, as anticipated, with its incursion into Rafah, the Biden administration could escalate its rhetoric and may even suspend further arms shipments. But it won’t forsake Israel in its struggle against Hamas.
A protester makes a victory sign during a rally in support of Palestinians at the Sorbonne University in Paris on Monday. AFP
A pro-Palestinian demonstrator holds a placard. EPA
French police stand guard at the Sorbonne. EPA
French police face pro-Palestinian demonstrators. EPA
Demonstrators wave a large Palestinian flag outside the Sorbonne. EPA
A demonstrator shows her red-painted hand. EPA
Demonstrators carry a huge Palestinian flag. EPA
Protesters chant during the rally. AFP
Students shout slogans during the rally at the Sorbonne. AFP
Protesters and police officers face each other during the rally. AFP
French police with riot gear. EPA
Pro-Palestinian demonstrators tried to set up a protest camp before being removed by police. EPA
Pro-Palestinian demonstrators face French police at the Sorbonne. EPA
Demonstrators gather outside the Sorbonne University. EPA
Students shout slogans and wave. AFP
Pro-Palestinian students gather outside the university. EPA
Students block the entrance to the Sorbonne University. Reuters
Netanyahu appears determined to go through with the Rafah operation. This presents a 'lose-lose' scenario
The Biden administration is currently paying the price for the mistakes it made over the past seven months.
It convinced itself that the October 7 attack presented an opportunity for Washington to broker a major Middle East settlement, particularly through the prism of a US-Iran understanding. This understanding became a priority, as it leaned on the Iranian regime for diplomatic conciliation – despite Tehran’s activities against American interests and sites via proxy. It also leaned on Israel for diplomatic accommodation – despite the latter’s systematic destruction of Gaza, transforming it into a wasteland and forcibly displacing more than a million Palestinian civilians, leaving them with nowhere to escape or seek shelter, as they now face the prospect of annihilation in Rafah.
Sure, the US may have prevented the Gaza war from turning into a full-blown regional conflict between Iran and Israel. However, the policy of finding temporary solutions and a reliance on transitional arrangements – hallmarks of the Biden administration – have led us to where we are now. Indeed, the Biden team missed an opportunity to bring about the historic changes it hoped for, because it did not outline a roadmap.
One of its biggest mistakes was falling into the trap set by Yahya Sinwar, Hamas’s leader in Gaza, who believed that Israel would be forced to negotiate with him to exchange Hamas-held hostages for Palestinians languishing in Israeli prisons. The Biden team fell into the trap of negotiating with Mr Sinwar, despite Washington’s long-held position of not negotiating with groups that it classifies as terrorist organisations – including Hamas. US Secretary of State Antony Blinken prioritised the release of the hostages, thus linking their fate to a ceasefire.
Moreover, the ceasefire negotiations weren’t solely conducted with Hamas but also involved the Islamic Jihad Movement and the Popular Front. This misstep is likely to haunt Mr Biden’s electoral campaign, which the American political right and the Jewish lobby in the country are poised to exploit.
Israeli Prime Minister Benjamin Netanyahu is determined to go ahead with the Rafah incursion, which could have disastrous humanitarian consequences. Reuters
Today, Mr Netanyahu appears determined to go through with Israel’s Rafah operation. This presents a “lose-lose” scenario, also considering the risk it poses to the hostages. Israel’s attempts to “liberate” these hostages through military means are likely to fail, as they are not kept in one location but dispersed across several sites. Consequently, its military operations could also result in casualties among them.
With negotiations going nowhere, Israel’s war cabinet appears to believe that it has no recourse other than to pursue its brutal operation, which would inevitably lead to the massacre of many ordinary Palestinians trapped in Rafah. This is despite international condemnation and a possible escalation of tensions with the US.
Hamas, in the process, may believe it has secured a win over Israel in the court of international public opinion. But the reality is that both entities have been oppressors in the context of this war, with the true victims being the Palestinian people and their cause.
Meanwhile, the danger remains of the conflict extending beyond Gaza and the West Bank, into Lebanon, which Hezbollah has turned into an open arena for Iranian-backed Palestinian factions. In the process, it is holding ordinary Lebanese people hostage to Tehran’s geopolitical ambitions. It’s worth pointing out that the Axis of Resistance has achieved little but fragment Palestine and all-but-end its cause – thanks to Hamas, whose October 7 attack is the very event that led to the Israeli army’s return to Gaza and the forced displacement of more than a million Palestinians.
Hamas has failed on another count, too. Part of the objective of its attack was to obstruct any diplomatic rapprochement between Israel and key Arab powers. While this process has stalled, at least for now, it is just as true that relations between the US and the Gulf countries have evolved dramatically – a development that probably worries Tehran. Major security agreements are being formulated in the wider region, with even countries deemed to be close to Hamas – such as Turkey and Qatar – further deepening relations with Washington.
At the same time, however, there is still no roadmap to a genuinely peaceful Middle East. Sadly, there is unlikely to be one, as long as the Biden administration remains in disarray, oscillating between symbolic, transitional and patchwork measures devoid of a consistent policy and decisiveness.
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england euro squad
Goalkeepers: Dean Henderson (Man Utd), Sam Johnstone (West Brom), Jordan Pickford (Everton)
Defenders: John Stones (Man City), Luke Shaw (Man Utd), Harry Maguire (Man Utd), Trent Alexander-Arnold (Liverpool), Kyle Walker (Man City), Tyrone Mings (Aston Villa), Reece James (Chelsea), Conor Coady (Wolves), Ben Chilwell (Chelsea), Kieran Trippier (Atletico Madrid)
Midfielders: Mason Mount (Chelsea), Declan Rice (West Ham), Jordan Henderson (Liverpool), Jude Bellingham (Borussia Dortmund), Kalvin Phillips (Leeds)
Forwards: Harry Kane (Tottenham), Marcus Rashford (Man Utd), Raheem Sterling (Man City), Dominic Calvert-Lewin (Everton), Phil Foden (Man City), Jack Grealish (Aston Villa), Jadon Sancho (Borussia Dortmund), Bukayo Saka (Arsenal)
Online: The match will be broadcast live on Dubai Exiles’ Facebook page
UAE squad: Lucas Waddington (Dubai Exiles), Gio Fourie (Exiles), Craig Nutt (Abu Dhabi Harlequins), Phil Brady (Harlequins), Daniel Perry (Dubai Hurricanes), EsekaiaDranibota (Harlequins), Matt Mills (Exiles), JaenBotes (Exiles), KristianStinson (Exiles), Murray Reason (Abu Dhabi Saracens), Dave Knight (Hurricanes), Ross Samson (Jebel Ali Dragons), DuRandt Gerber (Exiles), Saki Naisau (Dragons), Andrew Powell (Hurricanes), EmosiVacanau (Harlequins), NikoVolavola (Dragons), Matt Richards (Dragons), Luke Stevenson (Harlequins), Josh Ives (Dubai Sports City Eagles), Sean Stevens (Saracens), ThinusSteyn (Exiles)
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Install an air filter in your home.
Close your windows and turn on the AC.
Shower or bath after being outside.
Wear a face mask.
Stay indoors when conditions are particularly poor.
If driving, turn your engine off when stationary.
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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.”