Visiting Russian Defence Minister Sergei Shoigu accompanied North Korean leader Kim Jong-un to an arms exhibition featuring the North's banned ballistic missiles as the neighbours pledged to boost ties, state media reported on Thursday.
The Russian minister and a Chinese delegation including a Politburo member arrived in North Korea this week for the 70th anniversary of the end of the Korean War, celebrated in the North as Victory Day.
The missiles were banned under UN Security Council resolutions adopted with Russian and Chinese support but this week they provided a striking backdrop for a show of solidarity by three countries united by their rivalry with the US.
Mr Shoigu is making the first visit by a Russian defence chief to North Korea since the fall of the Soviet Union.
For North Korea, the arrival of the Russian and Chinese delegations marks its first major opening up to the world since the coronavirus pandemic.
Mr Shoigu gave Mr Kim a letter from Russian President Vladimir Putin, North Korean media reported.
Mr Kim thanked Mr Putin for sending the military delegation led by Mr Shoigu, saying the visit had deepened the "strategic and traditional" relations between North Korea and Russia.
Mr Kim “expressed his views on the issues of mutual concern in the struggle to safeguard the sovereignty, development and interests of the two countries from the high-handed and arbitrary practices of the imperialists and to realise international justice and peace", North Korea’s KCNA news agency reported.
"He repeatedly expressed belief that the Russian army and people would achieve big successes in the struggle for building a powerful country," KCNA reported.
The news agency did not refer to the war in Ukraine but North Korea's Defence Minister Kang Sun Nam was reported as saying his country fully supported Russia's "battle for justice" and to protect its sovereignty.
Mr Kim led Mr Shoigu round an exhibition of new weapons and military equipment, KCNA said.
State media photographs showed Mr Kim and his guests at a display of some of the North's ballistic missiles in transporter launchers. Another image showed what analysts said appeared to be a new drone.
One analyst said Mr Shoigu's inspection suggested Russian acceptance of North Korea's nuclear programme.
"We've come a long way from when North Korea would avoid showing off its nuclear capabilities when senior foreign dignitaries from Russia and China were in town," said Ankit Panda of the US-based Carnegie Endowment for International Peace, calling the tour "remarkable".
"The personal tour for Shoigu – and Shoigu's willingness to be photographed with Kim in the course of this tour – is evidence that Moscow is complacent with North Korea's ongoing nuclear modernisation," he said.
Mr Kim also met Chinese Communist Party Politburo member Li Hongzhong for talks and was handed a letter from Chinese President Xi Jinping, North Korean media reported.
The visit by Mr Li's delegation showed Mr Xi's commitment to "attach great importance to the DPRK-China friendship," Mr Kim was quoted as saying by KCNA, referring to the North by the initials of its official name, the Democratic People's Republic of Korea.
The Russian visit raises the prospect of more open support for North Korea, especially with Russia isolated by the West over its invasion of Ukraine, analysts said.
"While Russia has kept its official military co-operation with the North Korea limited, any veritable rupture in the so-called post-Cold War order may see Russia more willing to openly violate sanctions, especially given their relatively lax attitude to the shifts in North Korea's nuclear status last year," said Anthony Rinna, a specialist in Korea-Russia relations at the Sino-NK think tank.
Last year, North Korea codified a new, expansive nuclear law declaring its status as a nuclear-armed state "irreversible".
This month, it threatened nuclear retaliation over a show of force by the US, saying the deployment of strategic military assets near the Korean Peninsula could meet criteria for its use of nuclear weapons.
White House national security spokesman John Kirby said Russia's overtures to North Korea come as the Kremlin struggles to procure arms.
"It’s been no secret ... Mr Putin is reaching out to other countries for help and support in fighting his war in Ukraine. And that includes, we know, some outreach to the DPRK," he said.
The White House says North Korea has shipped weapons including infantry rockets and missiles in support of Russia's war.
North Korea and Russia deny they have conducted arms transactions.
The Florida Project
Director: Sean Baker
Starring: Bria Vinaite, Brooklynn Prince, Willem Dafoe
Four stars
Wonka
%3Cp%3E%3Cstrong%3EDirector%3A%3C%2Fstrong%3E%C2%A0Paul%20King%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3EStarring%3A%C2%A0%3C%2Fstrong%3ETimothee%20Chalamet%2C%20Olivia%20Colman%2C%20Hugh%20Grant%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3ERating%3A%3C%2Fstrong%3E%202%2F5%3C%2Fp%3E%0A
How to book
Call DHA on 800342
Once you are registered, you will receive a confirmation text message
Present the SMS and your Emirates ID at the centre
DHA medical personnel will take a nasal swab
Check results within 48 hours on the DHA app under ‘Lab Results’ and then ‘Patient Services’
How much do leading UAE’s UK curriculum schools charge for Year 6?
- Nord Anglia International School (Dubai) – Dh85,032
- Kings School Al Barsha (Dubai) – Dh71,905
- Brighton College Abu Dhabi - Dh68,560
- Jumeirah English Speaking School (Dubai) – Dh59,728
- Gems Wellington International School – Dubai Branch – Dh58,488
- The British School Al Khubairat (Abu Dhabi) - Dh54,170
- Dubai English Speaking School – Dh51,269
*Annual tuition fees covering the 2024/2025 academic year
Tree of Hell
Starring: Raed Zeno, Hadi Awada, Dr Mohammad Abdalla
Director: Raed Zeno
Rating: 4/5
Profile
Co-founders of the company: Vilhelm Hedberg and Ravi Bhusari
Launch year: In 2016 ekar launched and signed an agreement with Etihad Airways in Abu Dhabi. In January 2017 ekar launched in Dubai in a partnership with the RTA.
Number of employees: Over 50
Financing stage: Series B currently being finalised
Investors: Series A - Audacia Capital
Sector of operation: Transport
Company%20Profile
%3Cp%3E%3Cstrong%3EName%3A%3C%2Fstrong%3E%20Neo%20Mobility%3Cbr%3E%3Cstrong%3EStarted%3A%3C%2Fstrong%3E%20February%202023%3Cbr%3E%3Cstrong%3ECo-founders%3A%3C%2Fstrong%3E%20Abhishek%20Shah%20and%20Anish%20Garg%3Cbr%3E%3Cstrong%3EBased%3A%3C%2Fstrong%3E%20Dubai%3Cbr%3E%3Cstrong%3EIndustry%3A%3C%2Fstrong%3E%20Logistics%3Cbr%3E%3Cstrong%3EFunding%3A%3C%2Fstrong%3E%20%2410%20million%3Cbr%3E%3Cstrong%3EInvestors%3A%3C%2Fstrong%3E%20Delta%20Corp%2C%20Pyse%20Sustainability%20Fund%2C%20angel%20investors%3C%2Fp%3E%0A
SPECS
%3Cp%3E%3Cstrong%3EEngine%3A%3C%2Fstrong%3E%202-litre%204-cylinder%20turbo%20and%203.6-litre%20V6%0D%3Cbr%3E%3Cstrong%3ETransmission%3A%20%3C%2Fstrong%3ESeven-speed%20automatic%0D%3Cbr%3E%3Cstrong%3EPower%3A%3C%2Fstrong%3E%20235hp%20and%20310hp%0D%3Cbr%3E%3Cstrong%3ETorque%3A%20%3C%2Fstrong%3E258Nm%20and%20271Nm%0D%3Cbr%3E%3Cstrong%3EPrice%3A%3C%2Fstrong%3E%20From%20Dh185%2C100%0D%3Cbr%3E%3C%2Fp%3E%0A
The specs
- Engine: 3.9-litre twin-turbo V8
- Power: 640hp
- Torque: 760nm
- On sale: 2026
- Price: Not announced yet
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.”
Indian origin executives leading top technology firms
Sundar Pichai
Chief executive, Google and Alphabet
Satya Nadella
Chief executive, Microsoft
Ajaypal Singh Banga
President and chief executive, Mastercard
Shantanu Narayen
Chief executive, chairman, and president, Adobe
Indra Nooyi
Board of directors, Amazon and former chief executive, PepsiCo
Countries recognising Palestine
France, UK, Canada, Australia, Portugal, Belgium, Malta, Luxembourg, San Marino and Andorra
PROFILE OF INVYGO
Started: 2018
Founders: Eslam Hussein and Pulkit Ganjoo
Based: Dubai
Sector: Transport
Size: 9 employees
Investment: $1,275,000
Investors: Class 5 Global, Equitrust, Gulf Islamic Investments, Kairos K50 and William Zeqiri