FRANKFURT // At least four police cars were set alight and two officers injured on Wednesday as authorities confronted violent anti-austerity protesters ahead of the inauguration ceremony for the European Central Bank’s new headquarters in Frankfurt, Germany.
The ceremony went ahead as planned, with ECB president Mario Draghi saying the new building for the euro bloc’s monetary authority was “a symbol of what Europe can achieve together”.
Police said 350 people were detained as officers pursued what they said was a minority of violence-minded activists using the protest as cover.
The bulk of demonstrators conducted themselves peacefully, marching in groups, drumming and singing ahead of a rally in the city’s main square. Some blocked bridges across the Main River or streets in an effort to hinder access to the ECB ceremony.
Protesters said they were targeting the central bank because of its role in supervising efforts to restrain spending and reduce debt in financially troubled countries such as Greece.
Blockupy activist Hannah Eberle said that “people remain determined” despite the heavy police presence. “The mood is good, we are in solidarity with each other,” she said ahead of the rally.
At the ECB ceremony, Tarek Al Wazir, economy minister of the German Hesse region, called on the peaceful demonstrators to “distance yourselves from the violence”.
Mr Al Wazir, a member of the Greens party, said that the protesters “have no answers ... but they have some of the right questions”, conceding that “austerity can indeed be self-defeating”.
He said the ECB was the wrong target for this kind of protest.
Mr Draghi has in fact urged more spending by governments that are in good financial shape such as Germany to help lift the economy and reduce unemployment. That advice has been ignored by the German government, which has stressed the need to balance its budget and pressed others to restrain spending.
Police said several police cars were set on fire at a police station in the city centre. Another police vehicle smoldered a block from the ECB. Private vehicles and garbage bins were also torched.
Some 10,000 people were expected on Frankfurt’s main square, the Roemerberg. Participants were to include trade unions and Germany’s Left Party.
The ECB, along with the European Commission and International Monetary Fund, is part of the so-called “troika” that monitors compliance with the conditions of bailout loans for Greece and other financially troubled countries in Europe.
Those conditions include spending cuts and reducing deficits, moves that are aimed at reducing debt but have also been blamed for high unemployment and slow growth.
Anti-austerity activists received a political boost when Greece’s left-wing Syriza party won elections there in January by campaigning against the bailout deal and its conditions, which they say has led to a “humanitarian crisis”.
The Greek parliament on Wednesday adopted the “humanitarian crisis” bill – the first package of social measures put forward by prime minister Alexis Tsipras’ radical left-wing government.
In going ahead with presenting the bill of housing allowances and emergency food aid for the poorest, the government ignored apparent attempts from the European Commission to halt it. Athens reacted angrily to a request from Declan Costello, a representative on the European Commission team monitoring Greece, telling the government not to make a “unilateral” move.
Refusal of the conditions, however, has led to the withholding of further aid and the possibility of a chaotic debt default by the government.
* Associated Press, with additional reporting from Agence France-Presse
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In the village of Mevagissey in southwest England the housing stock has doubled in the last century while the number of residents is half the historic high. The village's Neighbourhood Development Plan states that 26% of homes are holiday retreats. Prices are high, averaging around £300,000, £50,000 more than the Cornish average of £250,000. The local average wage is £15,458.
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UK's plans to cut net migration
Under the UK government’s proposals, migrants will have to spend 10 years in the UK before being able to apply for citizenship.
Skilled worker visas will require a university degree, and there will be tighter restrictions on recruitment for jobs with skills shortages.
But what are described as "high-contributing" individuals such as doctors and nurses could be fast-tracked through the system.
Language requirements will be increased for all immigration routes to ensure a higher level of English.
Rules will also be laid out for adult dependants, meaning they will have to demonstrate a basic understanding of the language.
The plans also call for stricter tests for colleges and universities offering places to foreign students and a reduction in the time graduates can remain in the UK after their studies from two years to 18 months.
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Killing of Qassem Suleimani
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.”