Israel has seized control of Gaza’s border crossing with Egypt. AFP
Israel has seized control of Gaza’s border crossing with Egypt. AFP
Israel has seized control of Gaza’s border crossing with Egypt. AFP
Israel has seized control of Gaza’s border crossing with Egypt. AFP


Even a vague ‘sustainable calm’ would be better for Gaza than this unsustainable war


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May 07, 2024

“With or without a deal” is how Israeli Prime Minister Benjamin Netanyahu described his intentions to invade the Gaza city of Rafah and seize control of its border crossing with Egypt. A deal was put on the table late Monday night, brokered by Egypt and Qatar and accepted by the Hamas militant group that runs the Gaza Strip, and, sure enough, Israeli tanks pressed on. Israeli air strikes have continued to hit Rafah, and the border crossing is now in Israeli hands. Gaza now has no land border that isn’t under Israeli control – and there is a blockade on its maritime borders. Rafah’s residents, meanwhile, are uncertain what lies ahead.

Mr Netanyahu’s government rejected the first iteration of the deal out of hand, saying its terms were “not strong enough”, though it has dispatched negotiators to Cairo to discuss further. The deal’s terms, outlined in a draft seen by The National, present a three-phase plan to end the war.

The first is a 42-day ceasefire involving the withdrawal of Israeli forces from Gaza’s most populated areas, a curb in Israeli air force activity (including reconnaissance) over the Strip, a phased release of some of the Israeli hostages Hamas holds and the return of displaced Gazans to their homes. The second includes the release of remaining hostages (as well as an unspecified number of Palestinians detained by Israel), the complete withdrawal of Israeli forces and a move towards a rather-ambiguously worded “sustainable calm”. The final phase would see a complete end to Israel’s blockade on the Strip and the introduction of a three-to-five-year Gaza reconstruction plan.

Gaza now has no land border that isn’t under Israeli control

Israel has not elaborated on its rejection of the deal, but based on Mr Netanyahu’s previous statements the sticking point was presumably the mere fact that Hamas will be allowed to continue existing. Hamas, for its part, has remained vague on how it sees its own future in the context of the deal. Early drafts of the agreement mentioned a “permanent” cessation of hostilities, which might have implied a shift in Hamas’s post-war posture from an armed resistance movement to a non-violent one. But that language was absent in the updated draft presented to Israel. Instead, Hamas has agreed only to the “sustainable calm”.

It is unlikely that a permanent cessation of hostilities would have appealed to the Israelis either, given Mr Netanyahu’s bellicosity towards Hamas and most Palestinians. Israeli hawks have argued that Israel withdrew its military from Gaza in 2005, and what followed in the form of Hamas militancy taking over the Strip was hardly an argument for pacifism. But a sustainable calm, even if it is a vague concept, is better than this unsustainable war.

Negotiators in Cairo this week, then, have handled the hard task of hammering down what the minutiae of a deal could look like, but they are left with more profound questions that need to be answered quickly. Can Israel be pushed to accept any future with Hamas and, conversely, can Hamas itself become something with which Israel could learn to live? The answers may seem more appropriate for a grand vision for long-term peace than an incremental step towards a ceasefire. But in a sense, they are both.

As the talks continue and the state of play in Rafah evolves, Gaza’s fate is being determined hour by hour, with potentially years-long ramifications.

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Delhi Daredevils 60-4 (6 ov)

Rajasthan won by 10 runs (D/L method)

FFP EXPLAINED

What is Financial Fair Play?
Introduced in 2011 by Uefa, European football’s governing body, it demands that clubs live within their means. Chiefly, spend within their income and not make substantial losses.

What the rules dictate?
The second phase of its implementation limits losses to €30 million (Dh136m) over three seasons. Extra expenditure is permitted for investment in sustainable areas (youth academies, stadium development, etc). Money provided by owners is not viewed as income. Revenue from “related parties” to those owners is assessed by Uefa's “financial control body” to be sure it is a fair value, or in line with market prices.

What are the penalties?
There are a number of punishments, including fines, a loss of prize money or having to reduce squad size for European competition – as happened to PSG in 2014. There is even the threat of a competition ban, which could in theory lead to PSG’s suspension from the Uefa Champions League.

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 biog

Alwyn Stephen says much of his success is a result of taking an educated chance on business decisions.

His advice to anyone starting out in business is to have no fear as life is about taking on challenges.

“If you have the ambition and dream of something, follow that dream, be positive, determined and set goals.

"Nothing and no-one can stop you from succeeding with the right work application, and a little bit of luck along the way.”

Mr Stephen sells his luxury fragrances at selected perfumeries around the UAE, including the House of Niche Boutique in Al Seef.

He relaxes by spending time with his family at home, and enjoying his wife’s India cooking. 

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Yahya Al Ghassani's bio

Date of birth: April 18, 1998

Playing position: Winger

Clubs: 2015-2017 – Al Ahli Dubai; March-June 2018 – Paris FC; August – Al Wahda

PROFILE BOX:

Company/date started: 2015

Founder/CEO: Rami Salman, Rishav Jalan, Ayush Chordia

Based: Dubai, UAE

Sector: Technology, Sales, Voice, Artificial Intelligence

Size: (employees/revenue) 10/ 100,000 downloads

Stage: 1 ($800,000)

Investors: Eight first-round investors including, Beco Capital, 500 Startups, Dubai Silicon Oasis, Hala Fadel, Odin Financial Services, Dubai Angel Investors, Womena, Arzan VC

 

The Great Derangement: Climate Change and the Unthinkable
Amitav Ghosh, University of Chicago Press

The specs: 2018 Chevrolet Trailblazer

Price, base / as tested Dh99,000 / Dh132,000

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Power 275hp @ 6,000rpm

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Fuel economy combined 12.2L / 100km

Updated: May 07, 2024, 2:11 PM