An immigration official checks the documents of a passenger at Dubai International Airport. Wam
An immigration official checks the documents of a passenger at Dubai International Airport. Wam
An immigration official checks the documents of a passenger at Dubai International Airport. Wam
An immigration official checks the documents of a passenger at Dubai International Airport. Wam

Coronavirus: UAE reviews provision of visas based on countries’ Covid-19 response


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The UAE has paused the issue of visas to people of some nationalities depending on their countries' response to Covid-19, The National has learnt.

There has been some confusion around a reported bar on entry by the UAE to citizens of more than a dozen nations.

Sources told The National that people of some nationalities are unable to apply for visit or residence visas from UAE embassies abroad.

But the official declined to say which countries were affected, and said the regulations were reviewed frequently because of the fast-changing nature of the pandemic.

"The restrictions imposed on the countries from which people are coming into the UAE hinge on their respective ability to control the pandemic," an official source told The National.

Authorities in the UAE have protocols and criteria for the assessment of risk factors for ‎‎‎‎‎Covid-19, the source said.

“They address the ability of other countries to confront the virus outbreak. Also taken into consideration are the countermeasures adopted by other countries” towards potential infections among air passengers, the source said.

“These protocols are being assessed periodically according to specific indicators and ongoing developments given the outbreak’s current trajectory.”

This month Britain temporarily barred non-UK citizens from entering from Denmark amid concerns that a new coronavirus strain had been circulating in the Scandinavian country.

Earlier this year, most countries worldwide placed temporary restrictions on international arrivals.

Another 1,251 cases of Covid-19 were reported across the UAE on Sunday, raising the country’s total to 167,753 infections.

Authorities said 736 people had received an all-clear in the past 24 hours, adding to a nationwide recovery tally of 154,185. One patient died of Covid-19, taking the death toll to 570.

The number of active cases across the UAE stands at 12,998, a rise of more than 10,000 within two weeks. On November 4, fewer than 2,000 people had the virus.

Sunday’s new infections were detected after carrying out another 137,203 tests.

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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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