DUBAI //Recent power cuts in Sharjah have residents worried they may be in for another summer of long periods without air conditioning, as was the case in 2009 and 2010.
The power went out about 6.30pm on Tuesday in some parts of Rolla, near Al Manama supermarket, and last week, areas around Al Mina were hit.
"There was no power in the area near the animal souq," said Prakash, who works at a supermarket in the area.
"Owners shut their business and went home. It was restored only after one and half hours."
On Wednesday last week, the power went out between midnight and 1am, and last Saturday it was out between 4pm and 5pm.
"It's happened twice in less than a week," said Mohammed Muneer, a resident who lives behind the animal souq. "We are worried about whether it will continue throughout the summer. The heat is unbearable."
Some shopowners in the area operated by candlelight, while others pulled down their shutters and went outside to escape the heat.
Mr Muneer said he left his flat during Wednesday's power cut and went downstairs with his daughter and wife.
"You cannot sit inside a home without AC," he said. "It's too hot these days We are praying that it will not happen again."
Siraj VP, also a resident of the area, said he had tried to contact the Sharjah Electricity and Water Authority (Sewa) at the time of the cut and had been told it was caused by a cable problem.
"Thank God, the problem did not continue for a long time," he said. "It's getting hotter and there should not be any more blackouts."
When approached for comment, a spokesman for Sewa said the authority had received no major reports of power disruption so far this summer.
"If there has been any problem it could be due to breakdown of a cable network," the spokesman said.
That is of little comfort to residents who recall the power cuts of 2010, which occurred at the height of summer and sometimes lasted all day.
At the time, they took to malls to escape the heat, and slept in their cars and on pavements.
Authorities say those who are nervous should keep in mind the Dh6 billion pledge made last March by Sheikh Khalifa, the President, to help solve power and water supply problems in the Northern Emirates.
"Government is trying to improve the situation," said Hussain Al Mahmoudi, the director general of Sharjah Chamber of Commerce and Industry.
"It is working with the federal Government to see that the power supply is not disrupted."
Mr Al Mahmoudi said the number of complaints over power supply had been decreasing.
"We anticipate even fewer problems this year," he said. "By 2017 things will be much better because of the launch of nuclear power stations.
"The problem is not restricted to Sharjah alone, but the entire GCC region is grappling with a shortage of power.
"We must remember that UAE is growing and there is a pressure on the infrastructure. But the Government is working on it."
Lalu Samuel, chairman of the Industry Business Group in Sharjah, agreed the Government was doing its best to resolve the power problem.
Mr Samuel said business owners should look on the bright side, as power is heavily subsidised in Sharjah, making it one of the least expensive places to do business.
"The authority is charging only 40 fils per unit," he said.
"This rate is much cheaper compared to places like India."
[ frahman@thenational.ae ]
How to keep control of your emotions
If your investment decisions are being dictated by emotions such as fear, greed, hope, frustration and boredom, it is time for a rethink, Chris Beauchamp, chief market analyst at online trading platform IG, says.
Greed
Greedy investors trade beyond their means, open more positions than usual or hold on to positions too long to chase an even greater gain. “All too often, they incur a heavy loss and may even wipe out the profit already made.
Tip: Ignore the short-term hype, noise and froth and invest for the long-term plan, based on sound fundamentals.
Fear
The risk of making a loss can cloud decision-making. “This can cause you to close out a position too early, or miss out on a profit by being too afraid to open a trade,” he says.
Tip: Start with a plan, and stick to it. For added security, consider placing stops to reduce any losses and limits to lock in profits.
Hope
While all traders need hope to start trading, excessive optimism can backfire. Too many traders hold on to a losing trade because they believe that it will reverse its trend and become profitable.
Tip: Set realistic goals. Be happy with what you have earned, rather than frustrated by what you could have earned.
Frustration
Traders can get annoyed when the markets have behaved in unexpected ways and generates losses or fails to deliver anticipated gains.
Tip: Accept in advance that asset price movements are completely unpredictable and you will suffer losses at some point. These can be managed, say, by attaching stops and limits to your trades.
Boredom
Too many investors buy and sell because they want something to do. They are trading as entertainment, rather than in the hope of making money. As well as making bad decisions, the extra dealing charges eat into returns.
Tip: Open an online demo account and get your thrills without risking real money.
If you go...
Fly from Dubai or Abu Dhabi to Chiang Mai in Thailand, via Bangkok, before taking a five-hour bus ride across the Laos border to Huay Xai. The land border crossing at Huay Xai is a well-trodden route, meaning entry is swift, though travellers should be aware of visa requirements for both countries.
Flights from Dubai start at Dh4,000 return with Emirates, while Etihad flights from Abu Dhabi start at Dh2,000. Local buses can be booked in Chiang Mai from around Dh50
ROUTE TO TITLE
Round 1: Beat Leolia Jeanjean 6-1, 6-2
Round 2: Beat Naomi Osaka 7-6, 1-6, 7-5
Round 3: Beat Marie Bouzkova 6-4, 6-2
Round 4: Beat Anastasia Potapova 6-0, 6-0
Quarter-final: Beat Marketa Vondrousova 6-0, 6-2
Semi-final: Beat Coco Gauff 6-2, 6-4
Final: Beat Jasmine Paolini 6-2, 6-2
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.”
