Turkey’s president Recep Tayyip Erdogan talks to Belarus president Alexander Lukashenko on May 15, 2017 in Beijing, where the Turkish leader is attending the Belt and Road Forum before travelling to the United States. Thomas Peter / Getty Images
Turkey’s president Recep Tayyip Erdogan talks to Belarus president Alexander Lukashenko on May 15, 2017 in Beijing, where the Turkish leader is attending the Belt and Road Forum before travelling to tShow more

Erdogan heads to Washington with big grievances



BEIRUT // When Donald Trump was elected president of the United States, all the indications were that Turkish leader Recep Tayyip Erdogan’s first meeting with the former reality TV star and real estate mogul would be a friendly one.

But when the two men finally come face to face in Washington on Tuesday, the tone is set to be adversarial.

During the election campaign, Mr Trump’s pick for national security adviser, Lt Gen Michael Flynn, was a man paid to push the Turkish government’s agenda in Washington. Mr Trump was painting the US-led fight against ISIL – which in Syria relied heavily on Kurdish forces that Turkey labels terrorists – as floundering, and promising a change of strategy. For Turkey, which saw its relationship with the US sink at times to outright hostility while Barack Obama was in the White House, this was welcomed with open arms.

In the nearly four months since Mr Trump took office, however, Turkey has seen his administration pursue largely the same foreign policies as the Obama administration.

Turkey’s closest friend in the Trump administration, Gen Flynn was fired from his national security adviser post within weeks for misleading vice president Mike Pence over his contacts with Russia’s ambassador to the US. Fethullah Gulen, the self-exiled cleric who Ankara blames for a coup attempt against Mr Erdogan in July last year, is still living as a free man in the US state of Pennsylvania, despite continued calls by Turkey for his arrest and extradition. And US support for the Kurdish YPG militia in northern Syria – which Ankara considers an arm of the banned Kurdistan Workers’ Party (PKK) – has only deepened, with hundreds more American troops deploying to YPG-held areas of the country.

Last week, Mr Trump did something even more unforgivable in Turkey’s eyes by authorising a plan to provide weapons to the YPG. The move was a clear signal to Ankara that Washington had rejected its plan to have Turkish forces and allied Arab rebel proxies lead the fight to retake Raqqa, ISIL’s self-described capital. And by supplying heavy weapons to the YPG, which will remain in their hands after the Raqqa operation is over, Washington has raised the likelihood of a Kurdish state in northern Syria after the war.

This latest development is likely to dominate talks between Mr Erdogan and Mr Trump and represents a schism that is not easily repaired.

Turkey, predictably, has been livid over the US decision. Ankara has said the YPG’s weapons would end up being used by the PKK, which has been fighting a deadly insurgency against the Turkish state since 1984, and accused the US of siding with a terrorist group.

The US has attempted to reassure its Nato ally that the weapons will not reach the PKK, which both nations consider a terrorist group, while promising to find a role for Turkey in the fight for Raqqa.

Keeping Turkey calm will be essential if the US wants the Raqqa operation to proceed without obstacles. Turkish forces have repeatedly fought the YPG after entering Syrian territory last August alongside Syrian rebel units, ostensibly to drive ISIL away from its border but also to clear areas of Kurdish fighters. While the Turkish military operation has officially ended, Mr Erdogan has promised to continue confronting the YPG in Syria and last month attacked the Kurdish militia’s positions with air strikes.

In the past, Turkey has also threatened to bar American forces from using its Incirlik airbase, a major launching point for the US-led coalition’s strikes against ISIL in Syria.

Still, some in the Turkish government remain optimistic about how Mr Trump will deal with Ankara.

In a report published by Turkey's pro-government Daily Sabah newspaper last week, Turkish officials blamed the US decision to arm the YPG on Obama administration holdovers who were afraid that, in a face-to-face meeting, Mr Erdogan could persuade Mr Trump to adopt a position more friendly to Ankara.

Mr Trump, after all, has had a history of going into meetings with adversaries only to leave as friends. Last month, he hosted Chinese president Xi Jinping, whose country is one of North Korea’s few friends and a nation Mr Trump had promised to label a currency manipulator. Weeks later, Mr Trump is still beaming about the meeting and how great Mr Xi is.

Mr Erdogan has voiced confidence about the outcome of his meeting with Mr Trump, describing it as a “milestone” in Turkish-American relations before he departed for Washington on Monday.

But reconciling differences could prove impossible. The YPG remains the only force that is in position to capture Raqqa in the near future, and Turkey will never be convinced that the group is not a threat. The militia’s ties to the PKK are strong and a strengthened YPG will embolden Kurdish separatists in Turkey even if they do not receive US weapons from their friends across the border.

jwood@thenational.ae

Our family matters legal consultant

Name: Hassan Mohsen Elhais

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

MATCH INFO

Real Madrid 3 (Kroos 4', Ramos 30', Marcelo 37')

Eibar 1 (Bigas 60')

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.”

Meydan racecard:

6.30pm: Al Maktoum Challenge Round 2 (PA) Group 1 | US$75,000 (Dirt) | 2,200 metres

7.05pm: UAE 1000 Guineas (TB) Listed | $250,000 (D) 1,600m

7.40pm: Meydan Classic Trial (TB) Conditions $100,000 (Turf) 1,400m

8.15pm: Al Shindagha Sprint (TB) Group 3 $200,000 (D) 1,200m

8.50pm: Handicap (TB) $175,000 (D) 1,600m

9.25pm: Handicap (TB) $175,000 (T) | 2,000m

10pm: Handicap (TB) $135,000 (T) 1,600m

MATCH INFO

Real Madrid 2

Vinicius Junior (71') Mariano (90 2')

Barcelona 0

Moon Music

Artist: Coldplay

Label: Parlophone/Atlantic

Number of tracks: 10

Rating: 3/5

Formula Middle East Calendar (Formula Regional and Formula 4)
Round 1: January 17-19, Yas Marina Circuit – Abu Dhabi
 
Round 2: January 22-23, Yas Marina Circuit – Abu Dhabi
 
Round 3: February 7-9, Dubai Autodrome – Dubai
 
Round 4: February 14-16, Yas Marina Circuit – Abu Dhabi
 
Round 5: February 25-27, Jeddah Corniche Circuit – Saudi Arabia
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%3Cp%3E-%20Diriyah%E2%80%99s%201.9km%20King%20Salman%20Boulevard%2C%20a%20Parisian%20Champs-Elysees-inspired%20avenue%2C%20is%20scheduled%20for%20completion%20in%202028%0D%3Cbr%3E-%20The%20Royal%20Diriyah%20Opera%20House%20is%20expected%20to%20be%20completed%20in%20four%20years%0D%3Cbr%3E-%20Diriyah%E2%80%99s%20first%20of%2042%20hotels%2C%20the%20Bab%20Samhan%20hotel%2C%20will%20open%20in%20the%20first%20quarter%20of%202024%0D%3Cbr%3E-%20On%20completion%20in%202030%2C%20the%20Diriyah%20project%20is%20forecast%20to%20accommodate%20more%20than%20100%2C000%20people%0D%3Cbr%3E-%20The%20%2463.2%20billion%20Diriyah%20project%20will%20contribute%20%247.2%20billion%20to%20the%20kingdom%E2%80%99s%20GDP%0D%3Cbr%3E-%20It%20will%20create%20more%20than%20178%2C000%20jobs%20and%20aims%20to%20attract%20more%20than%2050%20million%20visits%20a%20year%0D%3Cbr%3E-%20About%202%2C000%20people%20work%20for%20the%20Diriyah%20Company%2C%20with%20more%20than%2086%20per%20cent%20being%20Saudi%20citizens%0D%3C%2Fp%3E%0A
A State of Passion

Directors: Carol Mansour and Muna Khalidi

Stars: Dr Ghassan Abu-Sittah

Rating: 4/5

The specs

Engine: Four electric motors, one at each wheel

Power: 579hp

Torque: 859Nm

Transmission: Single-speed automatic

Price: From Dh825,900

On sale: Now

How to apply for a drone permit
  • Individuals must register on UAE Drone app or website using their UAE Pass
  • Add all their personal details, including name, nationality, passport number, Emiratis ID, email and phone number
  • Upload the training certificate from a centre accredited by the GCAA
  • Submit their request
What are the regulations?
  • Fly it within visual line of sight
  • Never over populated areas
  • Ensure maximum flying height of 400 feet (122 metres) above ground level is not crossed
  • Users must avoid flying over restricted areas listed on the UAE Drone app
  • Only fly the drone during the day, and never at night
  • Should have a live feed of the drone flight
  • Drones must weigh 5 kg or less
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ESSENTIALS

The flights 
Fly Etihad or Emirates from the UAE to Moscow from 2,763 return per person return including taxes. 
Where to stay 
Trips on the Golden Eagle Trans-Siberian cost from US$16,995 (Dh62,414) per person, based on two sharing.

Women’s World T20, Asia Qualifier, in Bangkok

UAE fixtures Mon Nov 20, v China; Tue Nov 21, v Thailand; Thu Nov 23, v Nepal; Fri Nov 24, v Hong Kong; Sun Nov 26, v Malaysia; Mon Nov 27, Final

(The winners will progress to the Global Qualifier)

Best Foreign Language Film nominees

Capernaum (Lebanon)

Cold War (Poland)

Never Look Away (Germany)

Roma (Mexico)

Shoplifters (Japan)

The specs: 2018 Jeep Grand Cherokee Trackhawk


Price, base: Dh399,999
Engine: Supercharged 6.2-litre V8
Gearbox: Eight-speed automatic
Power: 707hp @ 6,000rpm
Torque: 875Nm @ 4,800rpm
Fuel economy, combined: 16.8L / 100km (estimate)