DUBAI // Customs officers seized 1,037 illegal items from passengers in the first six months of this year, up from 843 seizures made in the same period last year.
Items confiscated by the Dubai Customs’ passenger operations department included illegal drugs, prohibited and restricted substances and fake documents, as well as arms and accessories.
“We had a total of 1,037 seizures during the first half of this year,” said Ahmed bin Lahej, director of the department at Dubai Customs.
“Fake documents and passports represented 357 confiscations; arms and accessories 159 seizures; narcotics 205; paan 140; restricted medicine 19; counterfeit goods 18; wildlife 10; besides the smuggling of fake credit cards, undeclared goods and tools used in sorcery and black magic.”
Mr bin Lahej said the techniques and methods used to smuggle illegal items had varied compared with last year.
He said inspectors found 951 items in travel bags, 13 concealed over passengers bodies, 23 in handbags, 17 were swallowed, three were in passengers’ clothes, nine in trouser pockets and five in wallets.
To aid inspectors, Dubai Airports is deploying 50 X-ray scanners designed to check luggage, and three built to scan inside people’s bodies.
Dubai Airports’ 660 inspectors keep up to date with the latest skills needed to tackle smugglers through specialised courses on the art of inspection, drugs and smuggling techniques, sourcing and forging and decoding body language amongst others, said Mr bin Lahej.
Ahmed Musabih, director of Dubai Customs, said the latest figures were “in line with the measures taken by Dubai Customs to protect the community and boost Dubai and the UAE’s security and stability, being the society’s first line of defence”.
Mr Musabih said the emirate’s Customs was faced with the challenge to strike the right balance between facilitating and expediting the flow of individuals and consignments, while safeguarding the local economy and community against any threats to their safety.
He praised Customs staff for their constant upgrading of skills, saying their patriotism and attention to detail was what made such operations a success, staying on top of the ever-evolving tricks used by smugglers.
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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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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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