MASHKAIL // Thousands of Pakistanis have been affected by a huge earthquake in Iran that damaged hundreds of homes and killed at least 41 people, sparking a military rescue effort in the remote region.
The United States also offered aid after the 7.8-magnitude quake, Iran's most powerful in five decades, damaged an estimated 2,000 mud-built homes of Mashkail, a town in the poor Pakistani province of Baluchistan.
Tuesday's earthquake was felt across the region, including in the UAE, and though the epicentre lay in south-east Iran, all but one of the deaths reported so far have been across the border in Pakistan.
Efforts to help the survivors have been hampered by Mashkail's remote location - communities are scattered, there are no paved roads, no electricity and limited mobile phone coverage, and no proper medical facilities.
Only three tents were visible in the town and frightened families prepared to spend a second night out in the open, sheltering under trees, too scared to return to their homes for fear of aftershocks.
A 5.7-magnitude tremor early yesterday frayed nerves even further. Pakistan's National Disaster Management Authority said 105 injured people had been treated.
Esa Tahir, a local coordinator for the charity Islamic Relief said that after surveying two local councils in Mashkail, 5,000 people have been affected and around 2,000 mud homes have been damaged or destroyed, along with 150 shops.
At least five government buildings, including administrative and revenue offices, a school and a hospital, were also damaged.
Eight injured people, including four young children from the same family, were waiting for a helicopter to fly them to Quetta, the provincial capital.
A helicopter came but could not land due to a dust storm, a military officer said, adding that they will be evacuated today.
Some 15-20 people made the boneshaking, 45-minute journey to the Iranian border to reach a hospital and see a doctor, according to officials with Pakistan's paramilitary Frontier Constabulary.
While some survivors offered prayers for the dead, others dug through rubble with spades and even knives to try to recover their belongings.
"We often feel tremors here, but this was the worst I've ever seen in my life. I thought a bulldozer was passing by close to my house," Abdul Ghaffour, who is about 50, said.
"Thank God my family and I are safe."
Major General Obaidullah Khattak of the Frontier Corps, another Pakistani paramilitary force, said 16 badly injured people had been taken by helicopter to Quetta for treatment and nine doctors were on the scene.
The area's scattered population made determining the death toll difficult, but Frontier Corps Major Attiq Minhas said at Dalbandin airport, around 250km from Mashkail, that at least 40 people had died.
On the Iranian side of the border, one woman was reported killed by falling rocks and the Red Crescent rushed 400 tents to shelter some 1,700 people who lost their homes in the quake.
Baluchistan, an inaccessible province bordering Iran and Afghanistan, is plagued by Islamist militancy, attacks on the Shiite minority and a separatist Baluch insurgency.
The quake struck in the afternoon with its epicentre around 80km east of the city of Khash, in the Iranian province of Sistan Baluchistan. The tremor was felt in Abu Dhabi and Dubai, causing some buildings to be evacuated.
It came a week after another struck near Iran's Bushehr city, killing at least 30 people. The UN's atomic agency said there was no damage then or Tuesday to Iran's nuclear power plant at Bushehr.
In numbers
- Number of children under five will fall from 681 million in 2017 to 401m in 2100
- Over-80s will rise from 141m in 2017 to 866m in 2100
- Nigeria will become the world’s second most populous country with 791m by 2100, behind India
- China will fall dramatically from a peak of 2.4 billion in 2024 to 732 million by 2100
- an average of 2.1 children per woman is required to sustain population growth
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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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Other workplace saving schemes
- The UAE government announced a retirement savings plan for private and free zone sector employees in 2023.
- Dubai’s savings retirement scheme for foreign employees working in the emirate’s government and public sector came into effect in 2022.
- National Bonds unveiled a Golden Pension Scheme in 2022 to help private-sector foreign employees with their financial planning.
- In April 2021, Hayah Insurance unveiled a workplace savings plan to help UAE employees save for their retirement.
- Lunate, an Abu Dhabi-based investment manager, has launched a fund that will allow UAE private companies to offer employees investment returns on end-of-service benefits.
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Year started: 2018
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Employees: 200
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Investors: Global Ventures and angel investors
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How to watch Ireland v Pakistan in UAE
When: The one-off Test starts on Friday, May 11
What time: Each day’s play is scheduled to start at 2pm UAE time.
TV: The match will be broadcast on OSN Sports Cricket HD. Subscribers to the channel can also stream the action live on OSN Play.