Nezar Veleri, an assistant pharmacist at the al Noor Hospital in Abu Dhabi, waits for his bus on Wednesday, July 27, 2011, during his daily commute to work that starts at an airconditioned bus stop near the Al Ain University in Abu Dhabi. Veleri swore off driving after a motorcycle accident in his native India a couple of years ago left him with broken bones and solid fear of driving.  (Silvia Razgova/The National)
Nezar Veleri waits for his bus at a stop near Al Ain University in Abu Dhabi. Dangerous driving deters him from driving his own car.

Abu Dhabi travellers switch cars for buses



ABU DHABI // To the capital's frustrated motorists it may seem ridiculous to suggest that parking woes and unpredictable driving may lead to improvement in inner-city traffic.

But residents say those problems, among others, are pushing them to choose public transport over private vehicles.

Alaa Mahmoud, 35, a Palestinian contracting executive based in Abu Dhabi, says he has a valid UAE licence and his own car.

But for Mr Mahmoud, taxis make more sense than fighting traffic and scrabbling for a parking space.

"I'm sick and tired of driving in the traffic," he says. "But more than anything, it's the parking. This is the root of the problem."

Mr Mahmoud, who lives on Airport Road near Al Wahda Mall and works on Khalifa Street, says he takes taxis about six times a day, spending nearly Dh300 a week on transport. His daily commutes include trips to and from work, as well as meetings.

"The best thing is a taxi," he says. "It's easily accessible and drops you right at the doorstep of your destination, instead of driving around for hours searching for a spot, parking far away and then walking in the heat."

The father of two says he sometimes takes taxis at the weekend when going out with his family.

"I won't drive unless it's an extreme emergency and even then I'll think twice, because a taxi could make me reach my destination faster," he says.

Mr Mahmoud is not alone. As temperatures rise into the 40s, the Moroccan Noora Ahmad stands at a shaded but not air-conditioned bus shelter on Airport Road.

"Driving is a waste of time and money," Ms Ahmad says. "Think about the amount of petrol you waste on the constant search for parking. Buses are less stressful and more cost efficient."

Rigorous law enforcement and high fines also make public transport more affordable, Ms Ahmad says.

"Fines from speeding, parking … all of these add up and rarely anyone can avoid them," she says.

Others also opt for public transport but for different reasons.

For Nezar Veleri, an assistant pharmacist from India, dangerous driving on the emirate's roads prevents him from getting behind the wheel.

Mr Veleri has been hesitant to take to the roads after being involved in a serious car accident in his home country. The driving behaviour in Abu Dhabi reaffirms his convictions, he says.

Mr Veleri takes the No 32 bus from the station near Airport Road and 29th Street to work every day.

He says he is generally satisfied with the bus service, although sometimes the wait can be long and tiresome, and air-conditioned bus shelters are not always reliable.

"Last week the air conditioning was broken in the shelter and I had to wait almost 20 minutes in the sun," Mr Veleri says.

Ms Ahmad says she recently had the same experience at a bus shelter near her home on Muroor Road.

"It was so hot in the shelter that it felt better to wait outside," she says. "But it was fixed two days later. They usually fix them immediately."

A recent statement from the Department of Transport (DoT) said that during the first phase of introducing the air-conditioned bus shelters, the design and the efficiency of the cooling system had been improved.

There are 81 air-conditioned shelters on Airport Road, Muroor Road, 6th Street, Al Falah Street and 24th Street, while work on another 380 shelters started at the beginning of this year.

The DoT also plans to more than double its fleet of buses from 600 to 1,360 by 2013, with plans of running 123 routes in the emirate by this December, up from 75 at the end of last year.

Long-term plans include ensuring bus stops are no more than 300 metres apart.

The expansion of the public bus network is part of the DoT's efforts to accommodate a growing population, which is expected to triple in the emirate by 2030.

Mr Mahmoud says although he does not consider buses appealing, increasing costs for fuel and private vehicle ownership may push more commuters into buses.

"People here are spoiled. They're all used to having their private space," he says. "They should make it harder for people to get a car.

"Loans here are given out too easily. If the transport authorities make it difficult to buy a car, then more people would consider public transport as a viable alternative."

The biog

Hobbies: Writing and running
Favourite sport: beach volleyball
Favourite holiday destinations: Turkey and Puerto Rico​

START-UPS IN BATCH 4 OF SANABIL 500'S ACCELERATOR PROGRAMME

Saudi Arabia

Joy: Delivers car services with affordable prices

Karaz: Helps diabetics with gamification, IoT and real-time data

Medicarri: Medical marketplace that connects clinics with suppliers

Mod5r: Makes automated and recurring investments to grow wealth

Stuck: Live, on-demand language support to boost writing

Walzay: Helps in recruitment while reducing hiring time

UAE

Eighty6: Marketplace for restaurant and supplier procurements

FarmUnboxed: Helps digitise international food supply chain

NutriCal: Helps F&B businesses and governments with nutritional analysis

Wellxai: Provides insurance that enables and rewards user habits

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Amwal: A Shariah-compliant crowd-lending platform

Deben: Helps CFOs manage cash efficiently

Egab: Connects media outlets to journalists in hard-to-reach areas for exclusives

Neqabty: Digitises financial and medical services of labour unions

Oman

Monak: Provides financial inclusion and life services to migrants

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.”

Plan to boost public schools

A major shake-up of government-run schools was rolled out across the country in 2017. Known as the Emirati School Model, it placed more emphasis on maths and science while also adding practical skills to the curriculum.

It was accompanied by the promise of a Dh5 billion investment, over six years, to pay for state-of-the-art infrastructure improvements.

Aspects of the school model will be extended to international private schools, the education minister has previously suggested.

Recent developments have also included the introduction of moral education - which public and private schools both must teach - along with reform of the exams system and tougher teacher licensing requirements.

Our legal columnist

Name: Yousef Al Bahar

Advocate at Al Bahar & Associate Advocates and Legal Consultants, established in 1994

Education: Mr Al Bahar was born in 1979 and graduated in 2008 from the Judicial Institute. He took after his father, who was one of the first Emirati lawyers

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Pakistanis at the ILT20

The new UAE league has been boosted this season by the arrival of five Pakistanis, who were not released to play last year.

Shaheen Afridi (Desert Vipers)
Set for at least four matches, having arrived from New Zealand where he captained Pakistan in a series loss.

Shadab Khan (Desert Vipers)
The leg-spin bowling allrounder missed the tour of New Zealand after injuring an ankle when stepping on a ball.

Azam Khan (Desert Vipers)
Powerhouse wicketkeeper played three games for Pakistan on tour in New Zealand. He was the first Pakistani recruited to the ILT20.

Mohammed Amir (Desert Vipers)
Has made himself unavailable for national duty, meaning he will be available for the entire ILT20 campaign.

Imad Wasim (Abu Dhabi Knight Riders)
The left-handed allrounder, 35, retired from international cricket in November and was subsequently recruited by the Knight Riders.

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COMPANY PROFILE

Name: SmartCrowd
Started: 2018
Founder: Siddiq Farid and Musfique Ahmed
Based: Dubai
Sector: FinTech / PropTech
Initial investment: $650,000
Current number of staff: 35
Investment stage: Series A
Investors: Various institutional investors and notable angel investors (500 MENA, Shurooq, Mada, Seedstar, Tricap)

Sarfira

Director: Sudha Kongara Prasad

Starring: Akshay Kumar, Radhika Madan, Paresh Rawal

Rating: 2/5

Company profile

Name: Steppi

Founders: Joe Franklin and Milos Savic

Launched: February 2020

Size: 10,000 users by the end of July and a goal of 200,000 users by the end of the year

Employees: Five

Based: Jumeirah Lakes Towers, Dubai

Financing stage: Two seed rounds – the first sourced from angel investors and the founders' personal savings

Second round raised Dh720,000 from silent investors in June this year


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