NATO leaders pose for the family picture at the alliance's headquarters, in Brussels, where they stated for the first time the growing concerns over China's hegemony. EPA
NATO leaders pose for the family picture at the alliance's headquarters, in Brussels, where they stated for the first time the growing concerns over China's hegemony. EPA
NATO leaders pose for the family picture at the alliance's headquarters, in Brussels, where they stated for the first time the growing concerns over China's hegemony. EPA
NATO leaders pose for the family picture at the alliance's headquarters, in Brussels, where they stated for the first time the growing concerns over China's hegemony. EPA

Nato puts on a show of unity at first post-Trump summit


Thomas Harding
  • English
  • Arabic

Nato presented a united front at its first post-Donald Trump summit, as President Joe Biden demonstrated a renewal of relations with America’s allies at a summit in Brussels.

The alliance was boosted by Mr Biden's affirmation of the mutual defence pact, after Mr Trump openly discussed withdrawal from the organisation. “I just want all of Europe to know that the United States is there,” the president said ahead of the meeting. He added that the US viewed the common defence commitment as a “sacred obligation”.

Nato leaders also reiterated a commitment to continue to “stand with Afghanistan” as Nato’s Secretary General Jens Stoltenberg said that would mean continued training and financial support for Afghan forces and institutions.

Among the “concrete decisions taken in eight key areas”, Mr Stoltenberg said Nato would establish an innovation fund to invest in start-ups working on emerging and disruptive technologies.

China’s was directly included in the Nato communique on Monday. The alliance issued a strong rebuke, stating that country’s actions presented “systemic challenges to the rules-based international order”.

With President Joe Biden providing more backbone than his predecessor, Nato has now decisively toughened its stance against Beijing after many years of restraint.

The communique, backed by all 30 Nato countries, condemned Beijing on several fronts.

“We are concerned by China's coercive policies, which stand in contrast to the fundamental values enshrined in the Washington Treaty,” the alliance said. The North Atlantic Treaty, also referred to as the Washington Treaty, is the treaty that forms the legal basis of Nato.

“China is rapidly expanding its nuclear arsenal with more warheads and a large number of sophisticated delivery systems. It is opaque in implementing its military modernisation. It is co-operating militarily with Russia, including through exercises in the Euro-Atlantic.”

The unrestrained language demonstrates the alliance’s increasing concern over China’s rising power and dominance.

Defence experts also told The National last week of growing concerns over artificial intelligence being used on combat drones.

Mr Stoltenberg said this issue, alongside other advances being exploited by China, would be addressed. “China is investing heavily in new disruptive technologies such as autonomous systems, facial recognition and artificial intelligence and putting them into different weapon systems. That really is changing the nature of warfare in a way that we have perhaps never seen before.”

But the alliance said it would continue to work with China wherever it could, particularly on climate change. “Nato maintains a constructive dialogue with China where possible,” the leaders' statement said.

Boris Johnson, the British prime minister, also used more emollient language, stating that none of the 30 world leaders gathered in Brussels wanted to “sink into a new Cold War with China”.

The Nato communique produced an immediate response from China with its London embassy stating that the message contained “distorted facts” which amounted to slander.

China appears to have supplanted Russia as the main threat to the transatlantic treaty’s security but Moscow’s continued belligerence towards the West, through cyber attacks, assassinations and overseas actions, meant that the relationship with Nato was “at its lowest point since the Cold War,” Mr Stoltenberg said. “Moscow's aggressive actions are a threat to our security.”

But the alliance remains open to dialogue, particularly on the intermediate nuclear weapons treaty. “We would welcome new strategic talks on future arms control,” the secretary general said. “Nato remains committed to our dual track approach of defence and dialogue. We will keep our defences strong, while remaining ready to talk to make our positions clear, avoid misunderstanding and prevent escalation.”

“Russia remains the main problem," Estonian President Egils Levits said. "China is a new challenge, a different challenge, but Nato will counter both.”

President Biden is to meet Russian President Vladimir Putin face-to-face in Geneva on Wednesday and is expected to deliver the strong message in person.

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.”

Four-day collections of TOH

Day             Indian Rs (Dh)        

Thursday    500.75 million (25.23m)

Friday         280.25m (14.12m)

Saturday     220.75m (11.21m)

Sunday       170.25m (8.58m)

Total            1.19bn (59.15m)

(Figures in millions, approximate)

The details

Heard It in a Past Life

Maggie Rogers

(Capital Records)

3/5

2019 Asian Cup final

Japan v Qatar
Friday, 6pm
Zayed Sports City Stadium, Abu Dhabi

Who's who in Yemen conflict

Houthis: Iran-backed rebels who occupy Sanaa and run unrecognised government

Yemeni government: Exiled government in Aden led by eight-member Presidential Leadership Council

Southern Transitional Council: Faction in Yemeni government that seeks autonomy for the south

Habrish 'rebels': Tribal-backed forces feuding with STC over control of oil in government territory

WRESTLING HIGHLIGHTS
Racecard

6.30pm: Mazrat Al Ruwayah Group Two (PA) US$55,000 (Dirt) 1,600m

7.05pm: Meydan Trophy (TB) $100,000 (Turf) 1,900m

7.40pm: Handicap (TB) $135,000 (D) 1,200m

8.15pm: Balanchine Group Two (TB) $250,000 (T) 1,800m

8.50pm: Handicap (TB) $135,000 (T) 1,000m

9.25pm: Firebreak Stakes Group Three (TB) $200,000 (D) 1,600m

10pm: Handicap (TB) $175,000 (T) 2,410m

The National selections: 6.30pm: RM Lam Tara, 7.05pm: Al Mukhtar Star, 7.40pm: Bochart, 8.15pm: Magic Lily, 8.50pm: Roulston Scar, 9.25pm: Quip, 10pm: Jalmoud

World Cricket League Division 2

In Windhoek, Namibia - Top two teams qualify for the World Cup Qualifier in Zimbabwe, which starts on March 4.

UAE fixtures

Thursday February 8, v Kenya; Friday February 9, v Canada; Sunday February 11, v Nepal; Monday February 12, v Oman; Wednesday February 14, v Namibia; Thursday February 15, final

Company profile

Company name: Suraasa

Started: 2018

Founders: Rishabh Khanna, Ankit Khanna and Sahil Makker

Based: India, UAE and the UK

Industry: EdTech

Initial investment: More than $200,000 in seed funding

Kanguva
Director: Siva
Stars: Suriya, Bobby Deol, Disha Patani, Yogi Babu, Redin Kingsley
Rating: 2/5
 
RESULT

Huddersfield Town 2 Manchester United 1
Huddersfield: Mooy (28'), Depoitre (33')
Manchester United: Rashford (78')

 

Man of the Match: Aaron Mooy (Huddersfield Town)

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
Citadel: Honey Bunny first episode

Directors: Raj & DK

Stars: Varun Dhawan, Samantha Ruth Prabhu, Kashvi Majmundar, Kay Kay Menon

Rating: 4/5

EPL's youngest
  • Ethan Nwaneri (Arsenal)
    15 years, 181 days old
  • Max Dowman (Arsenal)
    15 years, 235 days old
  • Jeremy Monga (Leicester)
    15 years, 271 days old
  • Harvey Elliott (Fulham)
    16 years, 30 days old
  • Matthew Briggs (Fulham)
    16 years, 68 days old
The specs: 2018 Jaguar F-Type Convertible

Price, base / as tested: Dh283,080 / Dh318,465

Engine: 2.0-litre inline four-cylinder

Transmission: Eight-speed automatic

Power: 295hp @ 5,500rpm

Torque: 400Nm @ 1,500rpm

Fuel economy, combined: 7.2L / 100km