• Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai, chairs a meeting to establish a work strategy for the Ministry of Industry and Advanced Technology. The new ministry was formed during a UAE Cabinet reshuffle in early July. Wam
    Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai, chairs a meeting to establish a work strategy for the Ministry of Industry and Advanced Technology. The new ministry was formed during a UAE Cabinet reshuffle in early July. Wam
  • Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai, chairs a meeting to establish a work strategy for the Ministry of Industry and Advanced Technology. The new ministry was formed during a UAE Cabinet reshuffle in early July. Wam
    Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai, chairs a meeting to establish a work strategy for the Ministry of Industry and Advanced Technology. The new ministry was formed during a UAE Cabinet reshuffle in early July. Wam
  • Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai, chairs a meeting to establish a work strategy for the Ministry of Industry and Advanced Technology. The new ministry was formed during a UAE Cabinet reshuffle in early July. Wam
    Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai, chairs a meeting to establish a work strategy for the Ministry of Industry and Advanced Technology. The new ministry was formed during a UAE Cabinet reshuffle in early July. Wam
  • Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai, chairs a meeting to establish a work strategy for the Ministry of Industry and Advanced Technology. The new ministry was formed during a UAE Cabinet reshuffle in early July. Wam
    Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai, chairs a meeting to establish a work strategy for the Ministry of Industry and Advanced Technology. The new ministry was formed during a UAE Cabinet reshuffle in early July. Wam

UAE's new Ministry of Industry and Advanced Technology forms work strategy


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Sheikh Mohammed bin Rashid chaired a meeting on Sunday to form an action plan for the UAE's most recently created ministry.

The Ministry of Industry and Advanced Technology, led by Minister of Industry and Advanced Technology Dr Sultan Al Jaber, was created after a Cabinet reshuffle in early July.

On Sunday, Sheikh Mohammed, the Prime Minister and Ruler of Dubai, led a meeting to outline the ministry's work strategy, designed to boost the country's economy and promote local products internationally.

"In the UAE, we recently formed a Ministry of Industry and Advanced Technology," Sheikh Mohammed said on Twitter.

"Today it adopted its action plan, its priorities are: national industrial security, the competitiveness of our national products globally, and enhancing the added value of our economy.

"All the best for the distinguished work team, from whom we expect positive results in the near future," he said.

Sheikh Mohammed said the post- Covid-19 economy will require flexible thinking and new ways of work.

"We have proven that our work and achievements are on the same level as our dreams and aspirations, and we want to dream more and achieve more," he said.

Dr Al Jaber and Sarah Al Amiri, Minister of State for Advanced Technology, gave a comprehensive presentation on the future strategy of the ministry, Wam reported.

The ministry aims "to implement the vision of the leadership by enhancing the contribution of advanced technology to the sustainability of economic growth, raising the efficiency and competitiveness of the industrial sector in the country and supporting strategic industries that contribute to advancing the national economy and increasing the gross domestic product," Dr Al Jaber said.

The ministry will develop policies, laws and programmes to provide "a stimulating legislative system" to support the growth of the sector, emerging industrial companies and companies that rely on advanced technology. It plans to support the development of industrial clusters and encourage industrial exports, raise local competencies and ensure the competitiveness of key strategic sectors.

Ms Al Amiri said that there is "an interdependent and complementary relationship" between advanced science and technology and economic growth.

The ministry will help the industrial sector to diversify the economy "promising post-Covid-19 growth", she said.

The cabinet reshuffle in July saw government departments across the UAE merged as part of a a drive to create a more agile government.

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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.”