In a post-truth world, consider a post-coup country – Pakistan. Its image is morbidly frozen in the global eye. This is why the ouster of a democratically elected prime minister by a bench of judges doesn’t shock so much as cause a ripple of sadness. As a country that has tried multiple models of political and military governance in 70 years, the news from Pakistan just doesn't arouse outrage any more.
Instead, the worldly-wise admit to feeling relieved the dismissal of prime minister Nawaz Sharif hasn’t resulted in yet another military coup. And why, they ask, should Mr Sharif have been expected to serve out a full five-year term when none of his predecessors managed this feat?
Such weary acceptance of Pakistan’s political dysfunction would be tragic if it hadn’t seemed inevitable and for so long. Systemic frailty has long marked its political history. Barely a week after the country came into being in August 1947, the federal authorities sacked an elected provincial government on the watch of Pakistan’s founder Mohammad Ali Jinnah. Many believe it set the tone for what was to come. Between 1951 and 1958, Pakistan ran through six prime ministers. Most of them were highhandedly dismissed by the head of state, who then bore the vaguely colonial title of governor-general. The political defenestrations generally occurred with the military establishment’s approval if not its active encouragement. That era ended in a military coup, the first of three successful attempts. And so it was that in its infancy Pakistan created a template for adulthood.
The crucial early period for a new country should have been bright with hope and brimming with promise, but in Pakistan’s case it was not used to build institutions. Or at least, not the ones that would allow for good governance and democratic accountability. For all that Pakistan worked on nation-building in its first 15 years as a sovereign entity – it declared a national language (Urdu), a national flower (jasmine), approved an anthem, issued its first postage stamp, established universities, the Scouts and a national airline – due process and democratic traditions were never allowed properly to flourish and then, never for very long.
Unlike its neighbour India, where national elections were held within four years of achieving independence from Britain, Pakistan took nearly a quarter-century to get to that point. And its first elected prime minister, Zulfiqar Ali Bhutto, was ousted in a military coup in 1977 and hanged on a murder charge two years later.
All of this helps put recent events and the dominance of unelected institutions in context. The supreme court's decision to disqualify Mr Sharif from office after a corruption investigation is profoundly troubling. First, it didn’t find him guilty per se, just out of step with two articles of the constitution that require members of parliament to be “truthful” and “righteous". This is the first time a Pakistani legislator – and the prime minister, no less – has been disqualified in this way. Second, the judges dispatched Mr Sharif without a trial in which he might have argued his case. Third, the investigative team looking into the Sharif family’s wealth was seen to be politically and institutionally weighted against the prime minister, with the military intelligence services playing a major role.
Finally, it’s become clear that the court pursued Mr Sharif, but not many of the other politicians and officials implicated in the Panama Papers leak that triggered the investigation. The well-informed say the military has punished Mr Sharif for taking too broad a view of the prime minister’s powers and for daring to dream of peace with India.
Whatever the reality, the perception of selective justice, if not outright injustice, for political ends only adds to the prevailing unedifying image of Pakistan. It's seen as a mutant democracy, dangerously armed with nuclear weapons but with few political guardrails. In Tinderbox: The Past and Future of Pakistan, prominent Indian journalist-turned-politician M J Akbar described it as a "jelly state – one that cannot rise, or become a modern state, but nor can it disappear".
To some, that may sound rather extreme or the usual Indian criticism, but this much is clear: Almost no one has great expectations of Pakistan at the moment. In the United States, Donald Trump’s self-serving public musings about firing the attorney-general cause shock and horror. That's because Mr Trump may bluster and blunder in defiance of every norm of American politics, but the world still has some modest hopes of America's system of laws. Even Poland, which managed a peaceful transition from communism to democracy in just 15 years, is under pressure to continue the good work despite its right-wing government.
But for Pakistan, no one is talking of the need to maintain standards or even to establish them. That is its tragedy.
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Our family matters legal consultant
Name: Hassan Mohsen Elhais
Position: legal consultant with Al Rowaad Advocates and Legal Consultants.
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.”
Fund-raising tips for start-ups
Develop an innovative business concept
Have the ability to differentiate yourself from competitors
Put in place a business continuity plan after Covid-19
Prepare for the worst-case scenario (further lockdowns, long wait for a vaccine, etc.)
Have enough cash to stay afloat for the next 12 to 18 months
Be creative and innovative to reduce expenses
Be prepared to use Covid-19 as an opportunity for your business
* Tips from Jassim Al Marzooqi and Walid Hanna
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Russia's Muslim Heartlands
Dominic Rubin, Oxford
In numbers: China in Dubai
The number of Chinese people living in Dubai: An estimated 200,000
Number of Chinese people in International City: Almost 50,000
Daily visitors to Dragon Mart in 2018/19: 120,000
Daily visitors to Dragon Mart in 2010: 20,000
Percentage increase in visitors in eight years: 500 per cent
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UFC Fight Night 2
1am – Early prelims
2am – Prelims
4am-7am – Main card
7:30am-9am – press cons
Dubai Bling season three
Cast: Loujain Adada, Zeina Khoury, Farhana Bodi, Ebraheem Al Samadi, Mona Kattan, and couples Safa & Fahad Siddiqui and DJ Bliss & Danya Mohammed
Rating: 1/5