Three killed as another explosion rocks Delhi



NEW DELHI // In an instant, a street famous for its flowers became an all-too familiar scene of broken glass, blood and chaos. Yesterday's blast in a New Delhi market was the sixth bomb to explode in the capital in the last two weeks - with each attack occurring on a Saturday, and always in busy markets. But the blast took a tragic twist, as police said two men in black hurled a lunch box into the crowd from a motorcycle shortly after 2pm, killing a young schoolboy who picked up the container, and at least two others. Eighteen were rushed to hospital, many in critical condition.

HGS Dhaliwal, a deputy commissioner of police, described the explosive as a crudely built, low-intensity one that went off in Mehrauli, a predominantly Muslim neighbourhood known for its wholesale flower shops. For Mr Dhaliwal, it was becoming an all too familiar drill, as the senior police officer rushed to the scene of similar blasts in Greater Kailash just two weeks earlier. On that occasion, two bombs had exploded on either end of the upscale south-end market. While no one was killed, co-ordinated blasts in two other neighbourhoods claimed 24 lives that evening. Yesterday's attack shattered a fragile sense of peace in the capital, following the high-profile arrests of several suspected militants in Rajasthan, Gujarat and New Delhi.

In a dramatic raid last week, police descended on a south New Delhi apartment, killing the alleged mastermind of the New Delhi bombings. But triumph proved fleeting as the capital returned to a state of high alert, with a bolstered police presence and a scramble to arrest potential witnesses. The likeliest suspect is a shadowy group called the Indian Mujahideen - an Islamist organisation that took responsibility for the last Delhi bombings, along with those in Jaipur, Bangalore and Ahmedabad over the summer.

In all, nearly 150 people have been killed in India's summer of the bomb. And experts suggest unless the Indian government changes its attitude towards militants - and toughens up its antiterrorism stance - that toll will only rise. "The terrorists appear to have the upper hand because the state is unable to handle the fallout," said Seema Mustafa, a Delhi-based political commentator. "In India, the fallout is equally as important as the blasts themselves."

Leaders of India's opposition party also seized the occasion to criticise the government demanding the resignation of Shivraj Patil, the home minister. "Instead of changing his clothes thrice, he should have taken actions like discussing the matter with [the] public," said VK Malhotra, referring to rumours that Mr Patil was changing his clothes frequently during the media barrage after the first Delhi attack two weeks ago. Mr Malhotra, a member of the Bharatiya Janata Party, is also running for the chief ministerial position in upcoming elections. The major thrust of the party's electoral plank is reintroducing tough antiterrorism legislation that was repealed by the government under Manmohan Singh, the prime minister.

Meanwhile, other Indian states also issued alerts yesterday, bolstering their police presence in metropolises, such as Mumbai, and urging residents to be vigilant. "I just hope it doesn't become a way of life, where we will be hearing this news every 15 days," said Vinita Nath, 42, a New Delhi resident. The fact that the blasts have taken place in markets across New Delhi is particularly disturbing for a city that spends so much of its time in public places.

"Delhi basically has one pastime, which is shopping," Ms Nath said. "It's really bringing life to a standstill." ccotroneo@thenational.ae

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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.”