• Kalpeni island in India's Lakshadweep archipelago off its western coast. Alamy
    Kalpeni island in India's Lakshadweep archipelago off its western coast. Alamy
  • Minicoy, the second-largest of the 36 Lakshadweep islands and one of 10 that are inhabited. Alamy
    Minicoy, the second-largest of the 36 Lakshadweep islands and one of 10 that are inhabited. Alamy
  • Kavaratti, the main settlement in the Lakshadweep islands which have a total area of 32 square kilometres and a population of about 70,000. Alamy
    Kavaratti, the main settlement in the Lakshadweep islands which have a total area of 32 square kilometres and a population of about 70,000. Alamy
  • The underwater marine life in Lakshadweep is part of its unspoilt natural beauty. Alamy
    The underwater marine life in Lakshadweep is part of its unspoilt natural beauty. Alamy
  • Residents of Lakshwadeep take part in a 12-hour hunger strike on June 7, 2021 to protest against development plans and new regulations introduced by the new federal government administrator. Sayyid Mohammed Anees PP
    Residents of Lakshwadeep take part in a 12-hour hunger strike on June 7, 2021 to protest against development plans and new regulations introduced by the new federal government administrator. Sayyid Mohammed Anees PP
  • Residents hold up signs during a protest against Lakshadweep administrator Praful Patel. Sayyid Mohammed Anees PP
    Residents hold up signs during a protest against Lakshadweep administrator Praful Patel. Sayyid Mohammed Anees PP
  • A series of laws proposed by Praful Patel sparked widespread resentment and a wave of protests by Lakshadweep residents. Sayyid Mohammed Anees PP
    A series of laws proposed by Praful Patel sparked widespread resentment and a wave of protests by Lakshadweep residents. Sayyid Mohammed Anees PP
  • A family protests against Lakshadweep administrator Praful Patel. More than three dozen people have been arrested during recent protests. Sayyid Mohammed Anees PP
    A family protests against Lakshadweep administrator Praful Patel. More than three dozen people have been arrested during recent protests. Sayyid Mohammed Anees PP

Paradise lost? India's Lakshadweep islanders reject plan to create 'new Maldives'


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A storm is brewing over the picturesque Lakshadweep islands off India’s western coast.

The islands' indigenous population is accusing a new administrator appointed by the Indian government of acting against their traditions and interests.

Since taking office in December, Praful Khoda Patel has closed dairies, demolished fishermen's huts on the shore, banned meat from school meals and reversed a nearly 50-year ban on alcohol licences on the islands, where 97 per cent of the 70,000 inhabitants are Muslim.

But it is his proposed law to enable the archipelago, with its white-sand beaches, coral atolls and 97 per cent green cover, to be turned into an international tourist destination like the Maldives that has raised the greatest concern.

The Lakshadweep Development Authority Regulation 2021, which is awaiting approval from the federal government, will give the administration sweeping powers to acquire land for infrastructure projects, even without the owner’s consent.

The inhabitants of Lakshadweep, who live on 10 of its 36 islands, fear they could be evicted from their ancestral land on the pretext of development.

One section of the legislation requires landowners to declare the use of their property every three years or else face penalties of about $3,000.

“These laws are an onslaught on our culture, food habits, land rights and employment. This is our forefathers’ land and he wants us to apply for permission to live here,” said P Pookunhi Koya, a former member of parliament for the islands and convener of the Save Lakshadweep Forum.

We have a history of living here since 1500 BC and they are trying to eliminate us from the islands

"Nearly 4,000 people are out of work … [Mr Patel] has closed down animal husbandry without any compensation, razed boats and shacks of fishermen, increased stamp duty charges eight-fold and snatched whatever little powers the village councillors had," Dr Koya told The National.

Residents observed a "black day" on Monday as Mr Patel arrived for a week-long visit. Dressed in all black, they held up banners demanding his dismissal.

Mr Patel said he was there to review the "status of various ongoing development projects".

More than three dozen people have been arrested in recent weeks during protests against Mr Patel. Last week, thousands of residents organised a 12-hour hunger strike and an underwater protest with divers holding placards that read "Save Lakshadweep" and "Remove Patel".

The official's decision in January to lift the quarantine rule for visitors was followed by the first Covid-19 infections on the islands since the pandemic began. There have been more than 9,000 cases and 43 deaths since then.

As one of India’s nine Union Territories, Lakshadweep is governed directly by the federal government in New Delhi, unlike the 28 states which have locally elected administrations. The territories are run either by federally appointed administrators or locally elected governments with limited powers.

Although unelected, administrators have total control of a territory and its people. They can draft new laws that require approval only from the federal government to take effect.

Lakshadweep’s previous administrators have been technocrats or bureaucrats, whereas Mr Patel is a career politician with close ties to the prime minister.

He served as home minister of Gujarat when Mr Modi led the state’s government. Two years after Mr Modi was elected prime minister in 2014, he appointed Mr Patel as the administrator of Daman and Diu, and later that year of Dadra and Nagar Haveli, another union territory.

Mr Patel was given the additional charge of Lakshadweep after the previous administrator died of an illness.

Since taking charge, Mr Patel has also proposed a law to criminalise cow slaughter and beef consumption, a policy promoted by Mr Modi’s Bharatiya Janata Party. According to a report by the National Statistical Office in 2012, more than 65 per cent of the islanders eat beef.

He has also drafted a law barring anyone with more than two children from holding seats on the islands’ village councils. Another law includes a jail term of up to one year without trial for “antisocial activities”, in a region that recorded just 89 cases of petty crime last year.

"These draconian, unilateral regulations are an attempt to invade our culture and commit atrocities against the indigenous inhabitants of the island," Muneer Manikfaan, vice president of the village council on Minicoy island, told The National.

“We have a history of living here since 1500 BC and they are trying to eliminate us from the islands."

Mr Patel said that developing the islands into a tourist attraction like the Maldives will improve the lives of locals.

“The draft Lakshadweep Development Authority Regulation will usher in development and go a long way in improving the social and economic indicators on the islands, which have so far lagged behind despite having the potential,” he told an Indian media outlet in May.

“The islands are similar to the Maldives and we want to develop them on similar lines. We want to develop sustainable infrastructure and promote sustainable tourism,” he said.

“You see the Maldives ... tourists are waiting in a queue to visit there.”

But residents fear the sudden interest in the region is driven by crony capitalism and religious motives.

“We have never experienced such a situation before,” Dr Manikfaan said. “They have their business and political interests and communal agendas.”

Mr Patel's actions have also caused outrage among activists and politicians on the mainland.

Members of the ruling Communist Party alliance in Kerala’s state assembly passed a resolution last month calling for Mr Patel’s removal.

Rahul Gandhi, leader of India’s main opposition Congress party, expressed support for the islanders.

“Lakshadweep is India’s jewel in the ocean. The ignorant bigots in power are destroying it. I stand with the people of Lakshadweep,” he wrote on Twitter.

Wajahat Habibullah, a former administrator of Lakshadweep, said the new regulations were a complete contradiction of development norms determined over decades.

He is one of a group of 93 former bureaucrats who have urged Mr Modi to reject Mr Patel’s draft laws, saying they “constitute an onslaught on the very fabric of Lakshadweep society, economy and landscape.”

"With a fragile coral ecology, the island territories needed a distinct approach to the entire concept of their development," Mr Habibullah told The National.

“The current administrator only holds additional charge of this union territory and is only an occasional visitor. The regulations also demonstrate that he has little understanding of the development needs of the islands,” he said.

Abu Dhabi traffic facts

Drivers in Abu Dhabi spend 10 per cent longer in congested conditions than they would on a free-flowing road

The highest volume of traffic on the roads is found between 7am and 8am on a Sunday.

Travelling before 7am on a Sunday could save up to four hours per year on a 30-minute commute.

The day was the least congestion in Abu Dhabi in 2019 was Tuesday, August 13.

The highest levels of traffic were found on Sunday, November 10.

Drivers in Abu Dhabi lost 41 hours spent in traffic jams in rush hour during 2019

 

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.”

Friday's schedule in Madrid

Men's quarter-finals

Novak Djokivic (1) v Marin Cilic (9) from 2pm UAE time

Roger Federer (4) v Dominic Thiem (5) from 7pm

Stefanos Tsitsipas (8) v Alexander Zverev (3) from 9.30pm

Stan Wawrinka v Rafael Nadal (2) from 11.30pm

Women's semi-finals

Belinda Bencic v Simona Halep (3) from 4.30pm

Sloane Stephens (8) v Kiki Bertens (7) from 10pm

How to get exposure to gold

Although you can buy gold easily on the Dubai markets, the problem with buying physical bars, coins or jewellery is that you then have storage, security and insurance issues.

A far easier option is to invest in a low-cost exchange traded fund (ETF) that invests in the precious metal instead, for example, ETFS Physical Gold (PHAU) and iShares Physical Gold (SGLN) both track physical gold. The VanEck Vectors Gold Miners ETF invests directly in mining companies.

Alternatively, BlackRock Gold & General seeks to achieve long-term capital growth primarily through an actively managed portfolio of gold mining, commodity and precious-metal related shares. Its largest portfolio holdings include gold miners Newcrest Mining, Barrick Gold Corp, Agnico Eagle Mines and the NewMont Goldcorp.

Brave investors could take on the added risk of buying individual gold mining stocks, many of which have performed wonderfully well lately.

London-listed Centamin is up more than 70 per cent in just three months, although in a sign of its volatility, it is down 5 per cent on two years ago. Trans-Siberian Gold, listed on London's alternative investment market (AIM) for small stocks, has seen its share price almost quadruple from 34p to 124p over the same period, but do not assume this kind of runaway growth can continue for long

However, buying individual equities like these is highly risky, as their share prices can crash just as quickly, which isn't what what you want from a supposedly safe haven.

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Our family matters legal consultant

Name: Hassan Mohsen Elhais

Position: legal consultant with Al Rowaad Advocates and Legal Consultants.

Tori Amos
Native Invader
Decca