Latvia needs a permanent US military presence to deter Russia and wants to boost its defences with US Patriot missiles, Defence Minister Artis Pabriks said on Monday as Nato's chief visited allied troops in the Baltic country.
US Secretary of State Antony Blinken was due to arrive in Latvia's capital Riga late on Monday before a meeting on Tuesday with 29 Nato ministers. The alliance is alarmed by a Russian military build-up on Ukraine's borders.
“We need additional international assistance,” Mr Pabriks said. “We would like to have a permanent United States [military] presence in our country. And sea and air defence means basically going down to such systems as Patriot [surface-to-air missiles]."
Nato troops were rehearsing battle skills in a snowy Latvian woodland with camouflaged tanks and live rounds, with 1,500 soldiers seeking to stop an attack on Riga by disrupting and stalling the unidentified adversary's advance north of the city.
“Deterrence is critical,” said Canadian Lt Col John Benson, commander of the Nato battlegroup in Latvia.
Prompted by Russia's annexation of Crimea in 2014 and Moscow's support for separatists in eastern Ukraine, Nato has deployed four multinational battalion-size battlegroups to defend Poland and the Baltic states of Lithuania, Latvia and Estonia since July 2017.
Moscow says it has no intention of invading the Baltic or Poland and accuses Nato of destabilising Europe by moving troops closer to Russia's borders. Nato Secretary General Jens Stoltenberg said there was “no imminent threat” against Nato.
In May, Russia amassed 100,000 troops on its border with Ukraine, the highest number since 2014, western officials say. Nato says there was another large military build-up on Ukraine's border this month.
The Baltic states are seen as Nato's most vulnerable flank as they are linked to the alliance's main territory only by a land corridor of about 60 kilometres between Poland and Lithuania known as the Suwalki Gap.
Military experts say that Russia, via Belarus, might capture the gap, gaining a land corridor to its heavily fortified exclave of Kaliningrad on the Baltic Sea.
US troops are stationed in Germany but might not reach the Baltic fast enough in the event of such an attack, experts say.
“We have revisionism at this moment going on in Russia … from that perspective we cannot be late here,” Mr Pabriks said, referring to a statement by Russian President Vladimir Putin that he would reverse the collapse of the Soviet Union if he had a chance to alter modern Russian history.
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Abaya trends
The utilitarian robe held dear by Arab women is undergoing a change that reveals it as an elegant and graceful garment available in a range of colours and fabrics, while retaining its traditional appeal.
The National Archives, Abu Dhabi
Founded over 50 years ago, the National Archives collects valuable historical material relating to the UAE, and is the oldest and richest archive relating to the Arabian Gulf.
Much of the material can be viewed on line at the Arabian Gulf Digital Archive - https://www.agda.ae/en
Getting there
Flydubai flies direct from Dubai to Tbilisi from Dh1,025 return including taxes
Match info
Liverpool 4
Salah (19'), Mane (45 2', 53'), Sturridge (87')
West Ham United 0
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.”
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if you go
The flights
Emirates offer flights to Buenos Aires from Dubai, via Rio De Janeiro from around Dh6,300. emirates.com
Seeing the games
Tangol sell experiences across South America and generally have good access to tickets for most of the big teams in Buenos Aires: Boca Juniors, River Plate, and Independiente. Prices from Dh550 and include pick up and drop off from your hotel in the city. tangol.com
Staying there
Tangol will pick up tourists from any hotel in Buenos Aires, but after the intensity of the game, the Faena makes for tranquil, upmarket accommodation. Doubles from Dh1,110. faena.com
THE BIO
Family: I have three siblings, one older brother (age 25) and two younger sisters, 20 and 13
Favourite book: Asking for my favourite book has to be one of the hardest questions. However a current favourite would be Sidewalk by Mitchell Duneier
Favourite place to travel to: Any walkable city. I also love nature and wildlife
What do you love eating or cooking: I’m constantly in the kitchen. Ever since I changed the way I eat I enjoy choosing and creating what goes into my body. However, nothing can top home cooked food from my parents.
Favorite place to go in the UAE: A quiet beach.
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The five pillars of Islam
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