Since February 16 last year, Algeria has been witnessing a quiet citizens’ movement, which will observe its first anniversary this week. Peaceful demonstrators have congregated in urban spaces every week for the past 12 months, comprising anything from a few hundred to hundreds of thousands of participants on Tuesdays and after Friday prayers. Crossing all generations and social divides, the demonstrations have shown no sign of stopping, even if overall numbers have fluctuated in recent times. However, with regional differences, and no notable rural support, cracks are beginning to show in the movement’s unified facade.
The most striking aspect of the Hirak – or the Revolution of Smiles – has been the absence of violence in its leaderless ranks, which is impressive given Algeria's history of a decade of internal conflict in the 1990s. Combined with restrained official policing, local protesters have rigorously blocked attempts to infiltrate their ranks. Three people have been reported to have lost their lives over the past year and, while that is three deaths too many, the number of casualties has been low – even as several thousand activists have been arrested on a variety of public order and insurrection charges since March.
The prevailing question, as in all loose-knit protest movements, is whether the Hirak has a viable future in its current form. At first, the demonstrators demanded the resignation of the then president Abdelaziz Bouteflika, whose declared candidacy for a fifth term in office sparked the first spontaneous demonstration in Kabylia to the east of the capital Algiers. Via social media links, protesters in other towns and cities – above all Algiers, Oran and Constantine – joined the call for Mr Bouteflika to stand down, culminating in mass rallies by March that secured his resignation in early April and the delay of presidential elections scheduled for that month until December.
However, what looked like a victory for people power by the spring of 2019 was neither complete, nor did it fully reflect the political dynamics at play. The weekly protests continued after April to target the entirety of Algeria's political establishment, with increasingly vocal demands for a complete overhaul of the elite structure and constitution. Even with the recent election of Abdelmadjid Tebboune to the presidency – in polls largely boycotted by the protesters – it will take more than a top-level change of guard to alter the Hirak's objectives. The new president, himself a former prime minister who suffered at the hands of Mr Bouteflika's entourage, is no newcomer to the system under attack. But the stakes are high, above all in avoiding the risk of more direct conflicts now that political battle lines are being re-drawn this year.
A year ago, Algeria's political establishment – or Le Pouvoir, as the mix of military and civilian elites are popularly referred to – was split over how to engineer a discreet departure for the ailing Mr Bouteflika, who had rarely been seen in public since suffering a stroke in 2013. His younger brother, Said Bouteflika, was widely accused of abusing his position at his sibling's side to allow a corrupt network of oligarchs to challenge the vested interests of Algeria's military establishment. It thus suited the military, above all its most senior member – the army chief of staff Lt Gen Ahmed Gaid Salah – to listen to the street in early 2019 and remove both Bouteflika brothers from power.
In May, Gaid Salah authorised the arrests of Said Bouteflika and his closest associates, together with the two most recent heads of the DRS, Algeria's military intelligence service, the much feared Mohamed "Toufik" Mediene and his erstwhile deputy Athmane Tartag. All were charged with an attempted coup and sentenced to 15 years' imprisonment in the case of the main culprits – a sentence reconfirmed on appeal this week. Once again, this manoeuvre was presented as a response to popular demands for an end to high-level corruption and the abuses of power committed by the shadowy state-within-a-state of the intelligence services. Yet the protesters persisted in identifying Gaid Salah as a central plank of the establishment they sought to overhaul, leading to further arrests of the most outspoken critics of the presidential campaign being planned for December.
In the event, Mr Tebboune's electoral victory on December 12 seems to have opened the way to a more conciliatory approach to the protesters, as he put forward a road map for constitutional reform, promising legislative elections by the end of 2020, and set about liberating thousands of Hirak detainees. The sudden death of Gaid Salah on December 23 has also left room for changes in the military leadership, if not its overall direction.
Still, there remains a divide over what direction the country should take. Rural Algeria, which voted in greater numbers at the polls than the urban boycotters, now seems more ready to engage in the dialogue offered by the new presidency, influenced by the stability offered by the military. But for many in the Hirak, the proposed changes lack credibility while the main pillars of the establishment remain in place, including the military’s veto over decisions made by the president and the rest of the largely unreformed civilian political establishment.
Absent a political platform of its own, the Hirak risks being overtaken or divided by the initiatives of others. A coalition of established opposition parties under the umbrella of a Democratic Alternative Pact claims to be championing the street in setting out its own demands for constitutional reforms within a process of dialogue with the new president. Others warn that the focus of engagement should be on the mechanisms needed to enforce existing laws and the constitution rather than on declarations with no practical impact.
Still missing is an agreed process by which the next steps are shaped, including discussions over the elephant in the room: the economy. In a state that still derives 95 per cent of its foreign earnings from oil and gas exports, competition over state-dominated receipts has always divided the Algerian establishment, even at times when high levels of public spending were unleashed to pre-empt the risk of popular protests a decade ago.
Now, with public expenditure outstripping financial reserves at an alarming rate – foreign currency reserves are predicted almost to halve from $62bn in 2019 to $34bn in 2021 – the size of the dividable cake is dwindling. For years, Algerians have evoked the need for a new social contract, but they have lacked the vision and leadership required to reform economic structures that have relied far too long on patronage rather than productive endeavour.
Demands for representation and a political system in which all Algerians have a stake might continue to be the rallying cry of the Hirak. But translating those demands into a viable economic model to underpin this aspiration requires the engagement of an entirely new set of actors, above all drawn from Algeria’s burgeoning start-up, social enterprise and new technology sectors that represent the present as well as a still-distant future.
For a society that has suffered so much within living memory from the deep mistrust of others as well as the state, the spontaneity and self-control of the Hirak protesters is a clear sign of lessons having been learnt about the real dangers of an overspill into violence. However, without a clear strategy for managing diversity and difference – and exploring new ways of turning protest into concrete propositions – the movement could still implode. Compromising over the detail of how to move forward, as well as initiating the process to do so, are now needed far more than slogans.
Dr Claire Spencer is the former head of the Middle East and North Africa Programme at Chatham House
Meatless Days
Sara Suleri, with an introduction by Kamila Shamsie
Penguin
How much do leading UAE’s UK curriculum schools charge for Year 6?
- Nord Anglia International School (Dubai) – Dh85,032
- Kings School Al Barsha (Dubai) – Dh71,905
- Brighton College Abu Dhabi - Dh68,560
- Jumeirah English Speaking School (Dubai) – Dh59,728
- Gems Wellington International School – Dubai Branch – Dh58,488
- The British School Al Khubairat (Abu Dhabi) - Dh54,170
- Dubai English Speaking School – Dh51,269
*Annual tuition fees covering the 2024/2025 academic year
Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
- Premier League-standard football pitch
- 400m Olympic running track
- NBA-spec basketball court with auditorium
- 600-seat auditorium
- Spaces for historical and cultural exploration
- An elevated football field that doubles as a helipad
- Specialist robotics and science laboratories
- AR and VR-enabled learning centres
- Disruption Lab and Research Centre for developing entrepreneurial skills
Avatar: Fire and Ash
Director: James Cameron
Starring: Sam Worthington, Sigourney Weaver, Zoe Saldana
Rating: 4.5/5
Match info:
Real Betis v Sevilla, 10.45pm (UAE)
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more from Janine di Giovanni
Tax authority targets shisha levy evasion
The Federal Tax Authority will track shisha imports with electronic markers to protect customers and ensure levies have been paid.
Khalid Ali Al Bustani, director of the tax authority, on Sunday said the move is to "prevent tax evasion and support the authority’s tax collection efforts".
The scheme’s first phase, which came into effect on 1st January, 2019, covers all types of imported and domestically produced and distributed cigarettes. As of May 1, importing any type of cigarettes without the digital marks will be prohibited.
He said the latest phase will see imported and locally produced shisha tobacco tracked by the final quarter of this year.
"The FTA also maintains ongoing communication with concerned companies, to help them adapt their systems to meet our requirements and coordinate between all parties involved," he said.
As with cigarettes, shisha was hit with a 100 per cent tax in October 2017, though manufacturers and cafes absorbed some of the costs to prevent prices doubling.
the pledge
I pledge to uphold the duty of tolerance
I pledge to take a first stand against hate and injustice
I pledge to respect and accept people whose abilities, beliefs and culture are different from my own
I pledge to wish for others what I wish for myself
I pledge to live in harmony with my community
I pledge to always be open to dialogue and forgiveness
I pledge to do my part to create peace for all
I pledge to exercise benevolence and choose kindness in all my dealings with my community
I pledge to always stand up for these values: Zayed's values for tolerance and human fraternity
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The%20Iron%20Claw
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Fanney Khan
Producer: T-Series, Anil Kapoor Productions, ROMP, Prerna Arora
Director: Atul Manjrekar
Cast: Anil Kapoor, Aishwarya Rai, Rajkummar Rao, Pihu Sand
Rating: 2/5
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.”
The Byblos iftar in numbers
29 or 30 days – the number of iftar services held during the holy month
50 staff members required to prepare an iftar
200 to 350 the number of people served iftar nightly
160 litres of the traditional Ramadan drink, jalab, is served in total
500 litres of soup is served during the holy month
200 kilograms of meat is used for various dishes
350 kilograms of onion is used in dishes
5 minutes – the average time that staff have to eat
Film: Raid
Dir: Rajkumar Gupta
Starring: Ajay Devgn, Ileana D'cruz and Saurabh Shukla
Verdict: Three stars
The National in Davos
We are bringing you the inside story from the World Economic Forum's Annual Meeting in Davos, a gathering of hundreds of world leaders, top executives and billionaires.
The biog
Name: Shamsa Hassan Safar
Nationality: Emirati
Education: Degree in emergency medical services at Higher Colleges of Technology
Favourite book: Between two hearts- Arabic novels
Favourite music: Mohammed Abdu and modern Arabic songs
Favourite way to spend time off: Family visits and spending time with friends
Red Joan
Director: Trevor Nunn
Starring: Judi Dench, Sophie Cookson, Tereza Srbova
Rating: 3/5 stars
The struggle is on for active managers
David Einhorn closed out 2018 with his biggest annual loss ever for the 22-year-old Greenlight Capital.
The firm’s main hedge fund fell 9 per cent in December, extending this year’s decline to 34 percent, according to an investor update viewed by Bloomberg.
Greenlight posted some of the industry’s best returns in its early years, but has stumbled since losing more than 20 per cent in 2015.
Other value-investing managers have also struggled, as a decade of historically low interest rates and the rise of passive investing and quant trading pushed growth stocks past their inexpensive brethren. Three Bays Capital and SPO Partners & Co., which sought to make wagers on undervalued stocks, closed in 2018. Mr Einhorn has repeatedly expressed his frustration with the poor performance this year, while remaining steadfast in his commitment to value investing.
Greenlight, which posted gains only in May and October, underperformed both the broader market and its peers in 2018. The S&P 500 Index dropped 4.4 per cent, including dividends, while the HFRX Global Hedge Fund Index, an early indicator of industry performance, fell 7 per cent through December. 28.
At the start of the year, Greenlight managed $6.3 billion in assets, according to a regulatory filing. By May, the firm was down to $5.5bn.