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The Taliban’s offer of bilateral relations with India is a “masterful” move that will significantly shape Asian geopolitics as the militant group seeks to bolster its image on the global stage, diplomatic observers say.
Sher Stanekzai, a top Taliban official, said India was “very important for this subcontinent” and that the Taliban would want to continue Afghanistan’s “cultural, economic, political and trade ties” with the country.
“We attach great importance to our trade, economic and political relations with India and want to maintain that relation," Mr Stanekzai, the deputy head of Taliban’s political office in Qatar, said in a video broadcast on Saturday.
New Delhi has historically shunned the Islamist group that it claims is backed by its arch-rival Pakistan, and has preferred to deal with the governments that came to power after a US-led coalition toppled the Taliban regime in 2001.
But after the collapse of the New Delhi-friendly and western-backed government of President Ashraf Ghani on August 15, India found itself isolated as its rivals China and Pakistan raced to embrace the new regime.
Mr Stanekzai, who is tipped to become foreign minister, said the new government in Kabul would want trade with India by a land route through Pakistan, which could anger Islamabad.
Pakistan has blocked New Delhi and Afghanistan from using its territory for trade, forcing Kabul and India to open air corridors.
Experts regard Mr Stanekzai's statement as the first formal contact with India after New Delhi pulled its diplomats out Kabul and moved more than 550 people from Afghanistan as the Taliban overran the city two weeks ago.
Amalendu Misra, professor in the department of politics, philosophy and religion at Lancaster University, UK, said the Taliban extending the olive branch to India was a recognition of New Delhi’s soft power on the global stage and its “constructive role” in rebuilding the war-torn country.
"It is conscious of the advantage it can gain by nurturing India rather than maintaining an antagonistic position,” Prof Misra told The National.
“Its attempts to reach out to New Delhi in opening up a trade corridor to India is a masterful decision."
India, like most nations, did not recognise the previous Taliban regime when it ruled the country under its strict interpretation of Islamic law from 1996 to 2001.
Its concerns included the Taliban being a proxy of Islamabad and the group's alleged ties with militant groups fighting Indian rule in the disputed Kashmir region.
New Delhi was further antagonised when an Indian plane was hijacked by Pakistan-based militants and taken to Kandahar in 1999, forcing India to release three Kashmir-linked militants in exchange for the passengers.
After the fall of the Taliban, India strengthened ties with Afghanistan through cultural, military, trade and people-to-people exchanges.
New Delhi invested more than $3 billion in development projects such as roads and dams, and also rebuilt Afghanistan’s Parliament building to curb Islamabad's influence.
India and Afghanistan established an air freight corridor for bilateral trade in 2017, giving the landlocked country access to India’s huge markets. Bilateral trade reached more than $1.5bn in 2019-2020.
While the Taliban may have regained military control over Afghanistan, they are struggling for global recognition and economic support.
For India, the biggest concerns are the Taliban's closeness to Islamabad and China's interest in the mineral-rich country, including an extension of its global Belt and Road Initiative through Afghanistan to connect Central Asia with the Indian Ocean through Pakistan’s Gwadar port.
India regards the $62bn section of BRI known as the China-Pakistan Economic Corridor as a threat to its sovereignty, as it passes through Pakistan-administered Kashmir that New Delhi claims as its territory.
Jitendra Nath Misra, a former Indian diplomat, believes the Taliban’s call to India could be part of a policy to strike a power balance in the region, as it does not want to be overwhelmed by China or Pakistan.
“The Taliban could behave in a pragmatic manner and they are mindful of the exponential growth of Chinese power. It is not the China of the 1990s, it is a vastly more powerful country,” Mr Misra told The National.
“The Chinese are interested in Afghanistan’s minerals. The Taliban would not want to be too dependent on China for national reconstruction."
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Profile of Whizkey
Date founded: 04 November 2017
Founders: Abdulaziz AlBlooshi and Harsh Hirani
Based: Dubai, UAE
Number of employees: 10
Sector: AI, software
Cashflow: Dh2.5 Million
Funding stage: Series A
MATCH INFO
Fixture: Thailand v UAE, Tuesday, 4pm (UAE)
TV: Abu Dhabi Sports
The specs
Engine: four-litre V6 and 3.5-litre V6 twin-turbo
Transmission: six-speed and 10-speed
Power: 271 and 409 horsepower
Torque: 385 and 650Nm
Price: from Dh229,900 to Dh355,000
Race%20card
%3Cp%3E6pm%3A%20Al%20Maktoum%20Challenge%20Round%201%20%E2%80%93%20Group%201%20(PA)%20%2450%2C000%20(Dirt)%201%2C600m%3Cbr%3E6.35pm%3A%20Dubai%20Racing%20Club%20Classic%20%E2%80%93%20Handicap%20(TB)%20%24100%2C000%20(D)%202%2C410m%3Cbr%3E7.10pm%3A%20Dubawi%20Stakes%20%E2%80%93%20Group%203%20(TB)%20%24150%2C000%20(D)%201%2C200m%3Cbr%3E7.45pm%3A%20Jumeirah%20Classic%20Trial%20%E2%80%93%20Conditions%20(TB)%20%24150%2C000%20(Turf)%201%2C400m%3Cbr%3E8.20pm%3A%20Al%20Maktoum%20Challenge%20Round%201%20%E2%80%93%20Group%202%20(TB)%20%24250%2C000%20(D)%201%2C600m%3Cbr%3E8.55pm%3A%20Al%20Fahidi%20Fort%20%E2%80%93%20Group%202%20(TB)%20%24180%2C000%20(T)%201%2C400m%3Cbr%3E9.30pm%3A%20Ertijaal%20Dubai%20Dash%20%E2%80%93%20Listed%20(TB)%20%24100%2C000%20(T)%201%2C000m%3C%2Fp%3E%0A
Wicked: For Good
Director: Jon M Chu
Starring: Ariana Grande, Cynthia Erivo, Jonathan Bailey, Jeff Goldblum, Michelle Yeoh, Ethan Slater
Rating: 4/5
Essentials
The flights
Etihad and Emirates fly direct from the UAE to Delhi from about Dh950 return including taxes.
The hotels
Double rooms at Tijara Fort-Palace cost from 6,670 rupees (Dh377), including breakfast.
Doubles at Fort Bishangarh cost from 29,030 rupees (Dh1,641), including breakfast. Doubles at Narendra Bhawan cost from 15,360 rupees (Dh869). Doubles at Chanoud Garh cost from 19,840 rupees (Dh1,122), full board. Doubles at Fort Begu cost from 10,000 rupees (Dh565), including breakfast.
The tours
Amar Grover travelled with Wild Frontiers. A tailor-made, nine-day itinerary via New Delhi, with one night in Tijara and two nights in each of the remaining properties, including car/driver, costs from £1,445 (Dh6,968) per person.
How does ToTok work?
The calling app is available to download on Google Play and Apple App Store
To successfully install ToTok, users are asked to enter their phone number and then create a nickname.
The app then gives users the option add their existing phone contacts, allowing them to immediately contact people also using the application by video or voice call or via message.
Users can also invite other contacts to download ToTok to allow them to make contact through the app.
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.”
SPECS
Engine: 4-litre V8 twin-turbo
Power: 630hp
Torque: 850Nm
Transmission: 8-speed Tiptronic automatic
Price: From Dh599,000
On sale: Now