The likes of Dubai Media City and Dubai Internet City are now long established and – like the media industry in the UAE itself – maturing.
The likes of Dubai Media City and Dubai Internet City are now long established and – like the media industry in the UAE itself – maturing.
The likes of Dubai Media City and Dubai Internet City are now long established and – like the media industry in the UAE itself – maturing.
The likes of Dubai Media City and Dubai Internet City are now long established and – like the media industry in the UAE itself – maturing.

It is hardly surprising for Dubai to be named the Arab Media Capital this year


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It is half a century since the first newspaper, Al Ittihad – The Union – was published in what two years later would become the UAE. In a relatively short period in the history of the modern-day media, Abu Dhabi – where that paper was printed – and Dubai have become thriving hubs for the industry in the region. The latter is this year's Arab Media Capital and hosts the Arab Media Forum in March.

It is not simply a matter of taking turns – Dubai has long meant business when it comes to communications and its place in the Emirates and the world. When the Arab Information Ministers Council designated the city the media capital for 2020, Dubai Crown Prince Sheikh Hamdan bin Mohammed paid tribute to his father’s media strategy, launched two decades earlier. Sheikh Mohammed bin Rashid, the Ruler of Dubai, “aimed to position it a media hub through pioneering initiatives and projects", the Crown Prince said. Fast forward 20 years and there are around 4,000 local, regional and global media organisations either headquartered, or with a presence, in the emirate.

Dubai is renowned as a vast and impressive incubator for innovative start-ups. What will be fascinating to see this year – and in the 50 years beyond – is what innovations in publishing will follow

Dubai Media City, complemented by Dubai Internet City, another free zone helping to drive digital media’s growth in the region with the presence of Google, Twitter and Facebook, are now long established and – like the media industry in the UAE itself – maturing. As with TwoFour54 in Abu Dhabi, they provide a creative hub and foster a spirit of collaboration between neighbouring companies. They have become a pool of local and imported talent, and a focal point for the young Emirati and resident graduates hoping to break into the news, film and television industries, and all related enterprises that support them, including tech companies and public relations consultancies.

This is testament to the underlying trend in the country, namely one that champions an environment that can unearth and develop young talent and provides opportunities in many sectors. It is also true to say that Dubai, and the capital, are enormously compelling propositions for attracting talent from abroad, with quality of life and remuneration both attractive in global terms.

This might seem increasingly irrelevant as all corners of the world go online. But Dubai's demographics help, too. Its many Indian residents come from a country still steeped in a newspaper-reading tradition, even as internet access continues to grow across the subcontinent. With the city hosting so many printed publications, in line with global trends there has been some pressure on jobs in the sector. But the launch last month of the Middle East print edition of the Wired magazine is an indicator of this market's resilience, and another sign of external confidence in Dubai and the wider UAE as a place where the public wishes to consume the written – and printed – word, despite the slump in newspaper and magazine consumption elsewhere in the world.

The National launched its first edition in 2008. In terms of the media, the UAE has come a long way in a short space of time. Lauren Lancaster for The National
The National launched its first edition in 2008. In terms of the media, the UAE has come a long way in a short space of time. Lauren Lancaster for The National

The boom in the launch of niche magazines in Europe and the US, in part at the expense of established ones, was bucked with Wired – a major title – launching in Dubai. A broad-based American publication with the world of technology and innovation at its heart, it has print editions in the US, UK, Japan and Italy – and now the Middle East.

Let us put all of this into context. The first newspapers printed in the UK, my native country, appeared in the late 17th century and many of the leading titles still going today were founded over the following 150 years. In contrast, Al Ittihad was first published in 1969 and Dubai's two daily papers both started printing in 1978. The National was established in 2008. There is an outstanding tradition of poetry and word-of-mouth storytelling dating back centuries in these lands but in terms of the modern media, the Emirates has come an incredibly long way in a short space of time.

Dubai is renowned as a vast and impressive incubator for innovative start-ups. What will be fascinating to see this year – and in the 50 years beyond – is what innovations in publishing will follow. "Wired is where tomorrow is realised," is a slogan used by the magazine. Those involved in the media in Dubai and the wider UAE have every opportunity now to play a significant part in how we consume news, and all manner of journalism and filmmaking, long into the future.

Joe Jenkins is an assistant editor in chief of The National

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.”

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Part time contracts

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