President-elect Joe Biden smiles as he speaks at The Queen theater in Wilmington, Delaware. AP Photo
President-elect Joe Biden smiles as he speaks at The Queen theater in Wilmington, Delaware. AP Photo
President-elect Joe Biden smiles as he speaks at The Queen theater in Wilmington, Delaware. AP Photo
President-elect Joe Biden smiles as he speaks at The Queen theater in Wilmington, Delaware. AP Photo

After Biden’s win, all eyes in Lebanon turn towards Iran


Sunniva Rose
  • English
  • Arabic

Lebanon has been anxiously watching the US presidential race after four years of increasingly crushing sanctions against Hezbollah and its allies.

But the effect of Joe Biden's victory on the small Mediterranean country will only be clear once the new president-elect takes a clear stance on Iran, analysts told The National.

“Look at Iran and the rest will follow,” said Joseph Bahout, director of the Issam Fares institute at the American University of Beirut.

The effect of Mr Biden’s presidency on Lebanon will be a “biproduct of what happens between the new administration and Iran", Mr Bahout said.

Mr Biden is widely expected to try to revive the nuclear deal struck between Iran and world powers in 2015, and abandoned three years later by Mr Trump, who imposed crippling sanctions on Tehran.

Reopening talks with Iran would also probably loosen the noose around Iran's main ally in Lebanon, Hezbollah, which the US considers to be a terrorist organisation.

“It’s a trickle-down mechanism. It’s too early to talk about a change in position or posture,” Mr Bahout said.

Mr Trump’s administration also increased sanctions against Hezbollah’s allies in Lebanon, last week hitting the country’s most powerful Christian leader, Gebran Bassil, for corruption.

  • A supporter of Lebanon's Hezbollah gestures as he holds a Hezbollah flag in Marjayoun, Lebanon May 7, 2018. Reuters
    A supporter of Lebanon's Hezbollah gestures as he holds a Hezbollah flag in Marjayoun, Lebanon May 7, 2018. Reuters
  • In 2019, Israel said this was a Hezbollah-dug tunnel under the "blue line", a demarcation line drawn by the UN to mark Israel's withdrawal from southern Lebanon in 2000. AFP
    In 2019, Israel said this was a Hezbollah-dug tunnel under the "blue line", a demarcation line drawn by the UN to mark Israel's withdrawal from southern Lebanon in 2000. AFP
  • Lebanon's Hezbollah members hold party flags as they listen to their leader Sayyed Hassan Nasrallah. Reuters
    Lebanon's Hezbollah members hold party flags as they listen to their leader Sayyed Hassan Nasrallah. Reuters
  • A banner depicting Hezbollah leader Sayyed Hassan Nasrallah and an United Nation's post in Lebanon. Reuters
    A banner depicting Hezbollah leader Sayyed Hassan Nasrallah and an United Nation's post in Lebanon. Reuters
  • Hezbollah leader Hassan Nasrallah has direct ties with Iran's supreme leader Ayatollah Ali Khamenei. Reuters
    Hezbollah leader Hassan Nasrallah has direct ties with Iran's supreme leader Ayatollah Ali Khamenei. Reuters
  • The Israeli military claimed that Hezbollah, with Iranian assistance, had been bringing specialised equipment to a weapons factory in southern Lebanon. Screengrab/YouTube
    The Israeli military claimed that Hezbollah, with Iranian assistance, had been bringing specialised equipment to a weapons factory in southern Lebanon. Screengrab/YouTube
  • Lebanon's Hezbollah deputy leader Sheikh Naim Qassem gestures as he speaks during an interview with Reuters in Beirut, Lebanon March 15, 2018. Reuters
    Lebanon's Hezbollah deputy leader Sheikh Naim Qassem gestures as he speaks during an interview with Reuters in Beirut, Lebanon March 15, 2018. Reuters
  • Hezbollah fighters put Lebanese and Hezbollah flags at Juroud Arsal, Syria-Lebanon border, July 25, 2017. Reuters
    Hezbollah fighters put Lebanese and Hezbollah flags at Juroud Arsal, Syria-Lebanon border, July 25, 2017. Reuters
  • Lebanese soldiers try to block Hezbollah supporters as they gesture and chant slogans against anti-government demonstrators, in Beirut. Reuters
    Lebanese soldiers try to block Hezbollah supporters as they gesture and chant slogans against anti-government demonstrators, in Beirut. Reuters
  • A Hezbollah supporter holds a placard of its leader Hassan Nasrallah, during a protest against the US in Beirut. AP Photo
    A Hezbollah supporter holds a placard of its leader Hassan Nasrallah, during a protest against the US in Beirut. AP Photo
  • Lebanese soldiers on patrol drive by UN vehicles on the border with Israel on July 28, 2020. AP
    Lebanese soldiers on patrol drive by UN vehicles on the border with Israel on July 28, 2020. AP
  • A Lebanese police officer gesturing on the site of an explosion in Beirut that killed ex-premier Rafik Hariri in 2005. AFP
    A Lebanese police officer gesturing on the site of an explosion in Beirut that killed ex-premier Rafik Hariri in 2005. AFP
  • Israeli soldiers monitor the country's border with Lebanon near the northern town of Metula, in July 14, 2020. AFP
    Israeli soldiers monitor the country's border with Lebanon near the northern town of Metula, in July 14, 2020. AFP
  • In this file photo obtained on July 29, 2011 from the Special Tribunal for Lebanon shows a combo of pictures showing four Hezbollah suspects indicted in the assassination case of former Lebanese prime minister Rafiq Hariri. AFP
    In this file photo obtained on July 29, 2011 from the Special Tribunal for Lebanon shows a combo of pictures showing four Hezbollah suspects indicted in the assassination case of former Lebanese prime minister Rafiq Hariri. AFP
  • A car drives past a poster depicting Lebanon's Hezbollah leader Sayyed Hassan Nasrallah in Adaisseh village, near the Lebanese-Israeli border, Lebanon July 28, 2020. REUTERS/Aziz Taher
    A car drives past a poster depicting Lebanon's Hezbollah leader Sayyed Hassan Nasrallah in Adaisseh village, near the Lebanese-Israeli border, Lebanon July 28, 2020. REUTERS/Aziz Taher

Mr Bassil reacted with an angry speech on Sunday, denying the charges and arguing that America’s attempts to weaken his political party, the Free Patriotic Movement, will “force [Hezbollah] to defend itself, and it will win.”

He warned of sectarian strife between Sunni and Shiite Muslims and Christians.

Mr Bassil also set out new demands for the Cabinet formation, which will probably slow down attempts by Prime Minister-designate Saad Hariri.

Mr Hariri was appointed on October 22 and faces the daunting task of tackling Lebanon’s ever-worsening economic and financial crisis, which has pushed more than half of the country's population into poverty.

It remains unlikely that Mr Biden will withdraw sanctions on Lebanese political figures such as Mr Bassil.

“They are irreversible,” Mr Bahout said. “This is why the Trump administration was in a hurry to take them, because they know it’ll remain after them.”

Mr Biden’s victory was good news for most Lebanese politicians, not just Hezbollah and its allies, said Mohannad Ali, director of communications at Carnegie Middle East Centre in Beirut.

“I think that it was not just Hezbollah that wanted Biden to win," Mr Hage Ali said.

"The entire Lebanese political class, with a few exceptions, wanted Biden, because Trump’s maximum-pressure campaign wasn’t empowering anybody.

"It was more focused on destroying Hezbollah through collective punishment.

“It was inconsiderate in many ways and focused on an unattainable goal."

In Lebanon, power is shared among the country’s many religious groups.

Most of them are represented in government, pushing them to collaborate despite differences.

Hezbollah has been represented in Parliament since 1992 and in government since 2005.

US sanctions also focused on Lebanese financial institutions, forcing the closure of Jammal Trust Bank in late 2019 over claimed ties with Hezbollah.

“Sanctions became a regular event in which there were a lot of anticipation and worry about their impact,” Mr Hage Ali said.

"The US became a source of unexpected changes."

But Mr Biden, who will take office on January 20, might not have time to rekindle links with Iran before the Iranian presidential elections scheduled for June 2021.

Mr Hage Ali said that if he did not move quickly, it could mean another hardliner like former president Mahmoud Ahmadinejad takes over after eights years of the moderate Hassan Rouhani.

"This will affect the region,” he said. “I wouldn’t blame it all on the Biden administration. There was four years of Trump behind that."

In numbers: China in Dubai

The number of Chinese people living in Dubai: An estimated 200,000

Number of Chinese people in International City: Almost 50,000

Daily visitors to Dragon Mart in 2018/19: 120,000

Daily visitors to Dragon Mart in 2010: 20,000

Percentage increase in visitors in eight years: 500 per cent

The biog

Name: Capt Shadia Khasif

Position: Head of the Criminal Registration Department at Hatta police

Family: Five sons and three daughters

The first female investigator in Hatta.

Role Model: Father

She believes that there is a solution to every problem

 

Bharat

Director: Ali Abbas Zafar

Starring: Salman Khan, Katrina Kaif, Sunil Grover

Rating: 2.5 out of 5 stars

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.”

 

 

Avatar: Fire and Ash

Director: James Cameron

Starring: Sam Worthington, Sigourney Weaver, Zoe Saldana

Rating: 4.5/5

How to protect yourself when air quality drops

Install an air filter in your home.

Close your windows and turn on the AC.

Shower or bath after being outside.

Wear a face mask.

Stay indoors when conditions are particularly poor.

If driving, turn your engine off when stationary.

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  • Price: Not announced yet
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Tuesday results:

  • Singapore bt Malaysia by 29 runs
  • UAE bt Oman by 13 runs
  • Hong Kong bt Nepal by 3 wickets

Final:
Thursday, UAE v Hong Kong

The Freedom Artist

By Ben Okri (Head of Zeus)

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Bookshops: A Reader's History by Jorge Carrión (translated from the Spanish by Peter Bush),
Biblioasis

What is graphene?

Graphene is extracted from graphite and is made up of pure carbon.

It is 200 times more resistant than steel and five times lighter than aluminum.

It conducts electricity better than any other material at room temperature.

It is thought that graphene could boost the useful life of batteries by 10 per cent.

Graphene can also detect cancer cells in the early stages of the disease.

The material was first discovered when Andre Geim and Konstantin Novoselov were 'playing' with graphite at the University of Manchester in 2004.