Relations between Pakistan and the US are on the mend, it seems, after seven long months during which the US roared and threatened in every conceivable way, while Pakistan quietly but doggedly stuck to its position. Now the two countries seem finally to have reached an agreement and decided to move forward.
The issues between the two arose after the unilateral execution of Osama bin Laden in May of last year. In November, US forces attacked twin posts at Salala, in Pakistan, killing 24 soldiers. There are opposing views on why this happened, but the key point is that afterwards Pakistan wanted an apology the US would not offer.
Pakistan also had a long-standing concern about drone strikes, but the US said there was no "give" on that issue. Pakistan wanted an assurance that Salala would never be repeated; the US threatened more unilateral attacks if Pakistan did not come to heel.
While the "apology" that has now been offered by Secretary of State Hillary Clinton was a mere palliative, Pakistanis can rightfully feel proud that their government (or military) proved that it is possible to stand up to the US.
But what are the pillars of the "new approach"? This notion must be viewed with caution since the agreement is not a written one - which seems to suit both parties - and since very few details have been made public.
What is known is that, following the mild apology, Pakistan has agreed to open Nato's "ground lines of communication" - lorry routes - into Afghanistan, with no additional charges. In return the US will release funds it has been withholding from the Pakistan military for their work in the "war on terror" and also development assistance money that was being held. And the US will provide more money for road maintenance.
Drone attacks will not cease but a formula acceptable to both countries - but not made public - has been worked out to govern future attacks. It is almost sure that the US has provided cast-iron guarantees that there will be no repeat of Salala, but details are unknown.
Even before Salala, drone attacks were sticking in the craw of Pakistan's army; headquarters said the attacks were counterproductive.
But the CIA maintained that these lethal, amazingly accurate attacks were the most economic method of targeting Al Qaeda and Taliban leadership. Pakistan, however, kept talking about the deaths of innocent women and children.
A former US brigadier general, Craig Nixon, has admitted that drone strikes can in fact kill the wrong people.
The drones are usually lethal and deadly accurate. They are equipped with every technological support device known to man and their remote handlers can view their activity live. Indeed, the American claim that drones "cannot miss" is essentially true.
Paradoxically, so is the claim by all countries that are subjected to drone strikes, that they often strike innocent civilians - and the US knows this to be true.
Drone handlers are given a location to target - frequently a house or other building, sometimes just a grid reference. The drone is faithfully guided to its target and kills effectively. But the efficacy of the drone strikes depends entirely on whether the handlers have been provided the correct location or individual(s) to target.
The intelligence business is divided into two broad categories: electronic intelligence (Elint) and human intelligence (Humint). The CIA has the world's most high-tech Elint capability. On the other hand, its Humint capability is often zero.
The CIA is entirely dependent on information it purchases, frequently from supporters of the very people it wants to target. These "informers" point them to a target of their choosing and the drone is accurately directed - to kill women and children.
Pakistan's military intelligence service ISI, on the other hand, has a very modest Elint capability and so depends on well-configured Humint.
This is what Pakistan sought to merge with the CIA's Elint to make drone strikes more effective. But the high level of mutual distrust was preventing this from happening. One can but hope that the new agreement will combine the capabilities of the two to minimise "collateral damage".
Judging by a drone strike on July 6, the process has begun, although procedures will not likely be defined fully until the ISI's director-general visits the US to meet his CIA counterpart.
But Pakistan has a problem: since 2007 it has been capable of shooting down US drones, but it won't do so, and Pakistanis know that and resent it.
As long as the US continues to kill the innocent, therefore, many Pakistanis consider their own government complicit, and cowardly, for not shooting down these deadly intruders.
The unilateral execution of bin Laden and the slaughter at Salala only served to reconfirm this public view.
With each innocent death, domestic resentment against Pakistan's government and military rise, a sure recipe for disaster.
That is why the apology was of such great significance.
How can Pakistan's military continue to receive support of its citizens in its war against domestic terrorists, if it is viewed as complicit or cowardly because it fails to protect innocent Pakistanis from US drones?
The US has stoked enough instability in Pakistan already. It is to be hoped that this "new approach", whatever the details are, includes measures that will ensure that no further damage is done to Pakistan.
Brig Shaukat Qadir is a retired Pakistani infantry officer
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COMPANY PROFILE
Name: HyperSpace
Started: 2020
Founders: Alexander Heller, Rama Allen and Desi Gonzalez
Based: Dubai, UAE
Sector: Entertainment
Number of staff: 210
Investment raised: $75 million from investors including Galaxy Interactive, Riyadh Season, Sega Ventures and Apis Venture Partners
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Engine: 1.5-litre 4-cylinder petrol
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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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Total funding: Self funded
UAE currency: the story behind the money in your pockets
UAE currency: the story behind the money in your pockets
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'Joker'
Directed by: Todd Phillips
Starring: Joaquin Phoenix
Rating: Five out of five stars
UAE currency: the story behind the money in your pockets
If you go
Where to stay: Courtyard by Marriott Titusville Kennedy Space Centre has unparalleled views of the Indian River. Alligators can be spotted from hotel room balconies, as can several rocket launch sites. The hotel also boasts cool space-themed decor.
When to go: Florida is best experienced during the winter months, from November to May, before the humidity kicks in.
How to get there: Emirates currently flies from Dubai to Orlando five times a week.
HOSTS
T20 WORLD CUP
2024: US and West Indies; 2026: India and Sri Lanka; 2028: Australia and New Zealand; 2030: England, Ireland and Scotland
ODI WORLD CUP
2027: South Africa, Zimbabwe and Namibia; 2031: India and
Bangladesh
CHAMPIONS TROPHY
2025: Pakistan; 2029: India
Citadel: Honey Bunny first episode
Directors: Raj & DK
Stars: Varun Dhawan, Samantha Ruth Prabhu, Kashvi Majmundar, Kay Kay Menon
Rating: 4/5
From Zero
Artist: Linkin Park
Label: Warner Records
Number of tracks: 11
Rating: 4/5
Call of Duty: Black Ops 6
Developer: Treyarch, Raven Software
Publisher: Activision
Console: PlayStation 4 & 5, Windows, Xbox One & Series X/S
Rating: 3.5/5
How to protect yourself when air quality drops
Install an air filter in your home.
Close your windows and turn on the AC.
Shower or bath after being outside.
Wear a face mask.
Stay indoors when conditions are particularly poor.
If driving, turn your engine off when stationary.
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