The West tends to look at the chaos of Iraq and Syria through the prism of jihadist armed groups such as ISIL and Jabhat Fateh Al Sham. But these are not the only groups that pose a threat on both the regional and the international scene, as the mounting influence of factions such as Hizbollah and the Iraqi Popular Mobilisation Units illustrate.
Hizbollah has extended its influence over Lebanon thanks to its successful resistance against Israel, its large military arsenal and an extensive service network within its polity.
The ascendancy of Hizbollah in Lebanese affairs has only increased since the 2005 killing of the former prime minister Rafiq Hariri, allowing it greater control over the state.
Between 2006 and 2008, Lebanon faced one of its worst political crises when a Hizbollah-led opposition demanded more power and a veto over government decisions. Hizbollah took to the streets in violent clashes in 2008 after the government attempted to ban its private telephone network and reassign Beirut airport's security chief, who was close to the opposition.
In 2012, Hizbollah agreed on the Baabda Declaration, advocating a policy of dissociation from regional and international conflicts by the Lebanese government led by caretaker prime minister Najib Miqati, before going into Syria to fight alongside the forces of Bashar Al Assad.
For much of the past two years, Hizbollah has blocked the election of a new president, clearly demonstrating that it remains the dominant political and military force in Lebanon.
The PMU, Iran’s new proxy in Iraq, appears to be walking in the footsteps of Hizbollah.
While the PMU is officially subordinated to the office of Haider Al Abadi, Iraq’s prime minister, its loyalties lie with the Iranian Revolutionary Guards.
According to expert Renad Mansour, the fight against ISIL has elevated the status of PMU’s leaders, who are now vying with former primer minister Nouri Maliki for Iran’s patronage. Mansour also believes that the goal for this coalition is to re-emerge on to the post-ISIL political scene in next year’s provincial polls and the 2018 parliamentary elections.
Both the PMU and Hizbollah are building on their ability to stand up to other forces to acquire greater military and political power.
Both organisations are defined by their Shiite identity, a narrative focused on the takfiri and Israeli threat and more importantly their allegiance to Tehran, thus contributing to Iran’s fragmenting policy across the Middle East.
Given some Arab states are perceived as increasingly illegitimate and incapable of providing security or even basic services, violent non-state armed groups are positioning themselves as alternatives.
In this framework, Hizbollah and the PMU will seek to secure dominance in foreign and security policy and more importantly to remain above the state rather than to be the state.
Not only do such groups pose political and security threats at both local and regional levels, but they also further the problem of weak states across the Levant. These groups are feeding the chaos on which jihadi organisations thrive, while appearing to attempt to become new regional power brokers.
Mona Alami is a non-resident fellow at the Atlantic Council’s Rafik Hariri Centre for the Middle East
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.”
More on Yemen's civil war
Moral education needed in a 'rapidly changing world'
Moral education lessons for young people is needed in a rapidly changing world, the head of the programme said.
Alanood Al Kaabi, head of programmes at the Education Affairs Office of the Crown Price Court - Abu Dhabi, said: "The Crown Price Court is fully behind this initiative and have already seen the curriculum succeed in empowering young people and providing them with the necessary tools to succeed in building the future of the nation at all levels.
"Moral education touches on every aspect and subject that children engage in.
"It is not just limited to science or maths but it is involved in all subjects and it is helping children to adapt to integral moral practises.
"The moral education programme has been designed to develop children holistically in a world being rapidly transformed by technology and globalisation."
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Results
Stage 7:
1. Caleb Ewan (AUS) Lotto Soudal - 3:18:29
2. Sam Bennett (IRL) Deceuninck-QuickStep - same time
3. Phil Bauhaus (GER) Bahrain Victorious
4. Michael Morkov (DEN) Deceuninck-QuickStep
5. Cees Bol (NED) Team DSM
General Classification:
1. Tadej Pogacar (SLO) UAE Team Emirates - 24:00:28
2. Adam Yates (GBR) Ineos Grenadiers - 0:00:35
3. Joao Almeida (POR) Deceuninck-QuickStep - 0:01:02
4. Chris Harper (AUS) Jumbo-Visma - 0:01:42
5. Neilson Powless (USA) EF Education-Nippo - 0:01:45
Benefits of first-time home buyers' scheme
- Priority access to new homes from participating developers
- Discounts on sales price of off-plan units
- Flexible payment plans from developers
- Mortgages with better interest rates, faster approval times and reduced fees
- DLD registration fee can be paid through banks or credit cards at zero interest rates
Avatar: Fire and Ash
Director: James Cameron
Starring: Sam Worthington, Sigourney Weaver, Zoe Saldana
Rating: 4.5/5
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Killing of Qassem Suleimani
The five pillars of Islam
Zayed Sustainability Prize
More on Quran memorisation: