Ursula von der Leyen, Charles Michel, Angela Merkel, Emmanuel Macron and Xi Jinping are seen on screen during the video conference. Reuters
Ursula von der Leyen, Charles Michel, Angela Merkel, Emmanuel Macron and Xi Jinping are seen on screen during the video conference. Reuters
Ursula von der Leyen, Charles Michel, Angela Merkel, Emmanuel Macron and Xi Jinping are seen on screen during the video conference. Reuters
Ursula von der Leyen, Charles Michel, Angela Merkel, Emmanuel Macron and Xi Jinping are seen on screen during the video conference. Reuters

The West's attitude on China isn't all about what America wants


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Is the world of international affairs a matter of black and white, in which the forces of good do constant battle with the legions of evil, and in which all must take sides?

One might imagine that it is, judging by the way the EU has been attacked following the recent finalisation of its Comprehensive Agreement on Investment (CAI) with China. Soon after the trade deal was announced, more than 100 politicians and activists wrote an open letter demanding that the EU withdraw, complaining that the CAI was "based on a naive set of assumptions about the character of the Chinese Communist Party" and "runs counter to Europe's core values".

Others have variously described it as “a disaster for the West”, a “missed opportunity” to push harder on human rights issues, and an accord that “will poison transatlantic relations” because of US President Joe Biden’s wish for America and Europe to act in concert when dealing with Beijing.

A worker inspects stacks of pipes weighing several tonnes each that will be used for the construction of the Nord Stream gas pipeline in the Sassnitz-Mukran harbour in Germany. EPA
A worker inspects stacks of pipes weighing several tonnes each that will be used for the construction of the Nord Stream gas pipeline in the Sassnitz-Mukran harbour in Germany. EPA

But it's not just China. The EU has also been condemned for not backing criticism of Russia over the country's lack of liberties with stronger action, with Berlin in particular attracting considerable flak for continuing with the Nord Stream 2 natural gas pipeline between the two countries. When Armin Laschet, the new leader of Germany's ruling Christian Democrats, said that the jailing of Kremlin critic Alexei Navalny was no reason to stop the pipeline, Jonathan Eyal, International Director at the Royal United Services Institute in London, tweeted "the would-be German chancellor is a man who stands up for his values. Gazprom values", referring to the Russian energy company.

European leaders have defended their independence and their refusal to take part in a face-off between the US and China. "I believe it is very important for the EU to have its own China policy," current Chancellor Angela Merkel said a few days ago. "We should strengthen multilateralism. I don't think de-coupling is the right way to go."

France's President Emmanuel Macron has also rejected an alliance ganging up on Beijing, calling it a "scenario of the highest possible conflictuality" and "counterproductive". As for Russia, the CDU's Mr Laschet asked why his country should opt for drastic action over the plight of Mr Navalny when, as he said: "For 50 years, even in the aggressive times of the Cold War, Germany has bought gas from the Soviet Union, now from Russia." "Feel-good moralising," he added, was not foreign policy.

Mr Laschet makes a good point. But as the Georgetown professor Anatol Lieven put it in a recent article in Prospect magazine: "The approach that is building up in Washington risks repeating some of the worst US mistakes of the Cold War: the demonisation of the enemy; the inflation of the adversary's strength; the exaggeration of the adversary's ambitions" – here he cites as a counterexample what he describes as China's "notably cautious and hesitant" strategy in the Middle East – and "the framing of every local dispute as part of a global struggle between good and evil".

And it's not just in Washington. The Biden administration's early emphasis on democracy, rights and values has added impetus, but the view that under their current leaderships both China and Russia are malign actors has been hardening among a substantial body of politicians, particularly in the US and the UK, for some time. More than ever, they are giving the impression that all aspects of the relationships with those two countries – not just trade – must be measured by the yardstick of human rights and values.

  • Protesters march during a rally against a controversial extradition law proposal in Hong Kong on June 9 2019. AFP
    Protesters march during a rally against a controversial extradition law proposal in Hong Kong on June 9 2019. AFP
  • A woman shouts at police officers as they advance towards protesters in the district of Yuen Long on July 27, 2019 in Hong Kong. Getty
    A woman shouts at police officers as they advance towards protesters in the district of Yuen Long on July 27, 2019 in Hong Kong. Getty
  • A resumption of city-wide unrest is unlikely as activists reel from mass arrests, coronavirus bans on public gatherings and a looming national security law. AFP
    A resumption of city-wide unrest is unlikely as activists reel from mass arrests, coronavirus bans on public gatherings and a looming national security law. AFP
  • Riot police fire tear gas towards protesters in the district of Yuen Long on July 27, 2019 in Hong Kong. Getty
    Riot police fire tear gas towards protesters in the district of Yuen Long on July 27, 2019 in Hong Kong. Getty
  • June 2020 marks a year since pro-democracy protests erupted. AFP
    June 2020 marks a year since pro-democracy protests erupted. AFP
  • A protester marches with a placard during a rally against a controversial extradition law proposal in Hong Kong in 2019. AFP
    A protester marches with a placard during a rally against a controversial extradition law proposal in Hong Kong in 2019. AFP
  • Hong Kong on June 9, 2020, marks a year since pro-democracy protests erupted. AFP
    Hong Kong on June 9, 2020, marks a year since pro-democracy protests erupted. AFP
  • Protesters gesture as they chant "no extradition" as they rally against a controversial extradition law proposal in Hong Kong on June 9 2019. AFP
    Protesters gesture as they chant "no extradition" as they rally against a controversial extradition law proposal in Hong Kong on June 9 2019. AFP
  • A resumption of city-wide unrest is unlikely as activists reel from mass arrests, coronavirus bans on public gatherings and a looming national security law. AFP
    A resumption of city-wide unrest is unlikely as activists reel from mass arrests, coronavirus bans on public gatherings and a looming national security law. AFP
  • A police officer holds up pepper spray as he attempts to disperse protesters out of the platform at Po Lam Station on September 5, 2019 in Hong Kong. Getty
    A police officer holds up pepper spray as he attempts to disperse protesters out of the platform at Po Lam Station on September 5, 2019 in Hong Kong. Getty
  • Hong Kong witnessed its largest street protest in at least 15 years on June 9 2019 as crowds massed against plans to allow extraditions to China. AFP
    Hong Kong witnessed its largest street protest in at least 15 years on June 9 2019 as crowds massed against plans to allow extraditions to China. AFP
  • Demonstrators gather at Victoria Park ahead of a protest against a proposed extradition law in Hong Kong, China, on Sunday, June 9, 2019. Bloomberg
    Demonstrators gather at Victoria Park ahead of a protest against a proposed extradition law in Hong Kong, China, on Sunday, June 9, 2019. Bloomberg
  • Hong Kong's embattled leader Carrie Lam announced the formal withdrawal of the controversial extradition bill after 13 weeks of demonstrations. Getty
    Hong Kong's embattled leader Carrie Lam announced the formal withdrawal of the controversial extradition bill after 13 weeks of demonstrations. Getty
  • One year ago, a sea of humanity, a million people by some estimates, marched through central Hong Kong on a steamy afternoon. AP
    One year ago, a sea of humanity, a million people by some estimates, marched through central Hong Kong on a steamy afternoon. AP
  • The protests surpassed the Umbrella Movement six years ago, becoming the biggest political crisis since Britain handed its onetime colony back to China in 1997. Getty
    The protests surpassed the Umbrella Movement six years ago, becoming the biggest political crisis since Britain handed its onetime colony back to China in 1997. Getty
  • Hong Kong leader Carrie Lam apologises for introducing the bill and declares it "dead", but protests continued in the streets. Getty
    Hong Kong leader Carrie Lam apologises for introducing the bill and declares it "dead", but protests continued in the streets. Getty

First of all, it should be obvious that “values” – beyond some very basic ones – vary from place to place. Countries that are not liberal democracies, such as China and Russia, are clearly guided by a different set of values. The logic of this new test by the West dictates that they are therefore automatically cast in the wrong.

Second, why has this suddenly become the over-arching criterion – one of which we heard little during the many decades when the West would support more or less any dictator, no matter how corrupt or barbarous, so long as he was not a communist?

It is not the criterion of the EU, which has described China as “a co-operation partner with whom the EU has closely aligned objectives, a negotiating partner, with whom the EU needs to find a balance of interests, an economic competitor in pursuit of technological leadership and a systemic rival promoting alternative models of governance".

This aligns with the positions of Ms Merkel, who mentions climate change as a key area for the EU and China to work together, and Mr Macron, who says China is at once a partner in some areas, a competitor in others, and a strategic rival in terms of values.

Armin Laschet, the new leader of Germany’s ruling Christian Democrats, says 'we have to take the world as it is in order to make it better'. Reuters
Armin Laschet, the new leader of Germany’s ruling Christian Democrats, says 'we have to take the world as it is in order to make it better'. Reuters
Better to avoid seeing relations between countries as a 'global struggle between good and evil'

This is more sensible, more realistic, and more in tune with the traditional goal of foreign policy, which is not the desire to establish your ideals or "values" elsewhere but the pursuit of national self-interest. For Germany, with China as its biggest trading partner, that certainly makes sense. As more widely did a comment by the country's economy minister, Peter Altmaier: "Business relationships and business projects that have existed for decades are one thing, and serious human rights violations and our reactions to them are another." He was referring to Russia but his words apply just as well to China.

I am not defending the governments in either China or Russia, nor would I wish to live under the systems of government that pertain in these two countries. But there is no "containing" either China or Russia, nor should we talk in those terms. And if the West wants to make everything about human rights, it had better be prepared for the UK to be sanctioned for its terrible treatment of immigrants from the Caribbean, and for the US eventually to be prosecuted for war crimes in an international court.

It is better to take the EU’s approach and avoid seeing relations between countries today as a “global struggle between good and evil”. Let’s leave the last word to Germany’s Mr Laschet: "We have to take the world as it is in order to make it better."

Sholto Byrnes is an East Asian affairs columnist for The National

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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.”

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The President's Cake

Director: Hasan Hadi

Starring: Baneen Ahmad Nayyef, Waheed Thabet Khreibat, Sajad Mohamad Qasem 

Rating: 4/5

What can victims do?

Always use only regulated platforms

Stop all transactions and communication on suspicion

Save all evidence (screenshots, chat logs, transaction IDs)

Report to local authorities

Warn others to prevent further harm

Courtesy: Crystal Intelligence

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COMPANY PROFILE

Name: Qyubic
Started: October 2023
Founder: Namrata Raina
Based: Dubai
Sector: E-commerce
Current number of staff: 10
Investment stage: Pre-seed
Initial investment: Undisclosed 

War 2

Director: Ayan Mukerji

Stars: Hrithik Roshan, NTR, Kiara Advani, Ashutosh Rana

Rating: 2/5

The Bio

Favourite vegetable: “I really like the taste of the beetroot, the potatoes and the eggplant we are producing.”

Holiday destination: “I like Paris very much, it’s a city very close to my heart.”

Book: “Das Kapital, by Karl Marx. I am not a communist, but there are a lot of lessons for the capitalist system, if you let it get out of control, and humanity.”

Musician: “I like very much Fairuz, the Lebanese singer, and the other is Umm Kulthum. Fairuz is for listening to in the morning, Umm Kulthum for the night.”

UAE v Ireland

1st ODI, UAE win by 6 wickets

2nd ODI, January 12

3rd ODI, January 14

4th ODI, January 16