Members of Iran's Islamic Revolutionary Guard Corps' Aerospace Force salute at an underground missile base with launcher units in an undisclosed location, in this undated handout photo courtesy of Fars News. farsnews.com/Handout via Reuters
Members of Iran's Islamic Revolutionary Guard Corps' Aerospace Force salute at an underground missile base with launcher units in an undisclosed location, in this undated handout photo courtesy of FarShow more

Iranian missile technology tests boundaries of nuclear deal



Iran’s recent test firing of a new guided ballistic missile tested Washington’s response to the development of its next phase of missiles ahead of the implementation of the nuclear deal.

The launch last week also sent a message to adversaries locked in a regional cold war with Tehran.

Over the past seven months Iran has unveiled a number of new missiles that it says are equipped with precision guidance systems, and one that can reach as far as Israel — a significant step up from its existing ballistic missiles — and that could potentially be developed to carry nuclear warheads.

US officials condemned the test of the Emad missile, and said that it violated an existing UN Security Council resolution, though stopped short of calling it a violation of the agreement over Iran's nuclear programme.

“The United States is deeply concerned” about the launch of a missile “inherently capable of delivering a nuclear weapon”, the US ambassador to the UN, Samantha Power, said. “This was a clear violation of UN Security Council Resolution 1929.”

That resolution, passed in 2010, bans Iran from testing any ballistic missiles, but US officials have said the test did not violate the resolution that will replace it — resolution 2231 — when the nuclear deal is implemented. 2231 stipulates that Iran will be “called upon” to not develop missile technology designed specifically to launch nuclear weapons for at least eight years.

Ms Power’s statement suggest US officials will interpret any Iranian missiles which can potentially carry a nuclear warhead as a violation of the deal, whereas Iranian officials will probably insist that only those missiles specifically equipped to carry an atomic bomb are banned under the deal to lift sanctions in exchange for limits on Tehran’s nuclear programme. But so far there has been no action in the Security Council to probe the alleged violation.

Iran has invested heavily in its ballistic missile programme, one of the only areas where it can challenge regional rivals in conventional military terms, and thus forms the core of its deterrent capability. It appears set to increase and upgrade its missile programme even before sanctions on it are lifted, which could be a central point of contention with the US over the life of the accord.

Analysts said the latest test of the medium-range Emad was in part a test of how the US would react to technological developments that pose serious concern to its regional partners.

“This would seem to suggest that they’re going to be proceeding with both conventional and nuclear capable missile programmes, but the real takeaway is that this was a test of western resolve,” said Thomas Karako, director of the Missile Defense Project at the Center for Strategic and International Studies think tank.

“We’ve seen that western resolve in the face of this technical violation is not that great” he said, adding that “this is one of the first test cases for how we’re going to handle the second and the third and iterative violations of more substantive things”.

The US president, Barack Obama, said on Friday that “Iran has often violated some of the prohibitions surrounding missile testing” and that “we are going to have to continue to put pressure on them through the international community”.

The Emad was launched hours before Iran’s parliament voted in support of the nuclear agreement, and was also likely intended as a message by Iran’s Revolutionary Guard Corps to hardliners in parliament and elsewhere that the restrictions the nuclear deal puts in place will not force Iran to forfeit upgrading its military capabilities.

The tests are also a signal to Iran’s rival Saudi Arabia. “They are trying to flex muscles and send messages that we are a powerful nation and have all these capabilities,” said Riad Kahwaji, CEO of the Institute for Near East and Gulf Military Analysis security consultancy in Dubai. “Iran is involved in many conflicts in the region that the GCC is countering”, such as in Syria and Yemen, “and GCC states have taken a more bold approach to dealing with Iran — it’s no longer just condemnation, now it is direct confrontation.”

Gulf countries spent almost 28 times more on their combined militaries than Iran between 2007 and 2014, and bought more than $100 billion worth of advanced weapons from the US and Europe in 2012 alone. But Iran's revealing of new precision technologies is part of its deterrence strategy.

In March, Iran tested its first cruise missile, the Soumar, and in late August tested the Fateh-313, a new ballistic missile with an alleged range of 500 km.

In the past, Iran’s missile arsenal has been largely imprecise and unguided, posing a “terror” threat to nearby Gulf countries more than a strategic threat.

But over the past decade, it has steadily developed more precise technology, and the latest missiles, including the low-flying cruise missiles, would pose a much greater threat to military and oil installations.

The Emad is equipped with a re-entry vehicle that carries the warhead and separates from the rocket at the apex of its trajectory in space, and then can notionally be guided towards a target.

“It is the first maneuvering, steerable re-entry vehicle that we’ve ever seen from the Iranians,” said Jeremy Binnie, Middle East editor for IHS Jane’s Defence Weekly. From pictures of the Emad, both nose fins and internal thrusters are visible but a key question remains over which aspect is primarily responsible for steering the re-entry vehicle. The thrusters may only be used to help the two components of the missile separate or for stability, but if they are used for steering, this would allow it to maneuver while still in space and potentially throw off the targeting calculations of any defensive interceptor missiles, according to Mr Binnie. The fins alone may only be able to steer the missile in a limited way and would pose less of a problem for defences.

While the Emad would primarily pose a threat to Israel, the technological development is likely to be adapted to shorter range ballistic missiles such as the Qiam, Mr Binnie said.

Analysts cautioned that fuller intelligence assessments would be necessary before accepting the Iranian military officials’ claims about the new missiles. But in recent annual reports on foreign missile developments, the US has credited the Iranians with developing more accurate guidance systems.

If missile technology sanctions are lifted after eight years, other anti-proliferation agreements will prevent countries from selling long-range missile systems to Iran. But Iran will be able to upgrade many components that will make capabilities like radar-evading cruise missiles even more potent. “Iran is very far advanced in its own indigenous missile programme so it doesn’t really need the whole missile system per se, what it needs is technologies to plug into its existing systems to improve them,” Mr Binnie said.

Iran’s new capabilities — and the minuscule response times — are increasing the importance of a linked missile defence umbrella in the GCC, the analysts said. The US is working with GCC countries on an early-warning system for the region that would allow the best placed radars to warn intended targets, even in neighbouring countries. The UAE will also be the first country outside of the US with the THAAD missile defence system that can intercept ballistic missiles in space and adds a crucial layer of defence. Saudi Arabia and Qatar are also interested in purchasing the system.

The US State Department on Tuesday approved the sale of new combat ships equipped with missile defence systems to Saudi Arabia, and Mr Khawaji said Gulf countries are in talks with the US on purchasing Aegis ship-based systems.

tkhan@thenational.ae

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Sudden change in behaviour or displays higher levels of stress or anxiety

Shows signs of depression or isolation

Ability to sleep well diminishes

Academic performance begins to deteriorate

Changes in eating habits

Struggles to concentrate

Refuses to go to school

Behaviour changes and is aggressive towards siblings

Begins to use language they do not normally use

UPI facts

More than 2.2 million Indian tourists arrived in UAE in 2023
More than 3.5 million Indians reside in UAE
Indian tourists can make purchases in UAE using rupee accounts in India through QR-code-based UPI real-time payment systems
Indian residents in UAE can use their non-resident NRO and NRE accounts held in Indian banks linked to a UAE mobile number for UPI transactions

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The flights

Air Astana flies direct from Dubai to Almaty from Dh2,440 per person return, and to Astana (via Almaty) from Dh2,930 return, both including taxes. 

The hotels

Rooms at the Ritz-Carlton Almaty cost from Dh1,944 per night including taxes; and in Astana the new Ritz-Carlton Astana (www.marriott) costs from Dh1,325; alternatively, the new St Regis Astana costs from Dh1,458 per night including taxes. 

When to visit

March-May and September-November

Visas

Citizens of many countries, including the UAE do not need a visa to enter Kazakhstan for up to 30 days. Contact the nearest Kazakhstan embassy or consulate.

UEFA CHAMPIONS LEAGUE FIXTURES

All kick-off times 10.45pm UAE ( 4 GMT) unless stated

Tuesday
Sevilla v Maribor
Spartak Moscow v Liverpool
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Napoli v Feyenoord
Besiktas v RB Leipzig
Monaco v Porto
Apoel Nicosia v Tottenham Hotspur
Borussia Dortmund v Real Madrid

Wednesday
Basel v Benfica
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Anderlecht v Celtic
Qarabag v Roma (8pm)
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Sporting Lisbon v Barcelona

Living in...

This article is part of a guide on where to live in the UAE. Our reporters will profile some of the country’s most desirable districts, provide an estimate of rental prices and introduce you to some of the residents who call each area home.

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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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Name: Kumulus Water
 
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Sector: Water technology 
 
Number of staff: 22 
 
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UAE currency: the story behind the money in your pockets

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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The specs
Engine: 4.0-litre flat-six
Power: 510hp at 9,000rpm
Torque: 450Nm at 6,100rpm
Transmission: 7-speed PDK auto or 6-speed manual
Fuel economy, combined: 13.8L/100km
On sale: Available to order now
Price: From Dh801,800