Lebanon’s parliament on Thursday passed a state of emergency giving the military sweeping powers to stop any action deemed a threat to national security in the wake of last week's blast in Beirut.
Civilians strongly criticised the order as trying to legitimise a crackdown on the protest movement demanding the removal of the political class. Anti-government demonstrators who have taken to the streets to demand change since the explosion that killed 171 and wounded more than 6,000.
The disaster struck after the state defaulted on its foreign debt in March and the currency lost enormous value over the last year.
The state of emergency allows the army to close down assembly points and prohibit gatherings deemed threats to national security, and expands the jurisdiction of military courts over civilians.
The army can also raid homes at any time and impose house arrest on anyone engaged in activities considered to threaten security, the watchdog said.
“Parliament is convening to decide on a state of emergency, meaning arbitrary arrests and the smothering of liberties,” shouted a protester with a megaphone outside the session held in Unesco palace in west Beirut.
“The excuse is national security, but the purpose is to cover up for the Beirut massacre," she shouted. “Retribution is for the regime. Justice is for the victims."
The government declared a two-week state of emergency on August 5 but as the measure lasts more than eight days, Lebanese law requires that it be approved by parliament, according to human rights watchdog The Legal Agenda.
French Defence Minister Florence Parly arrived in Beirut on Thursday, a week after President Emmanuel Macron met senior Lebanese politicians and residents of Beirut on a brief visit to the capital.
She will meet the crew of a French military vessel due to arrive in Beirut to help in the international aid effort.
Ineptitude exposed by the explosion has revived the protest movement after the government crushed it in January.
A senior US state department official also arrived in Lebanon for a two-day trip on Thursday, promising the FBI would join Lebanese and international investigators in the probe into the blast.
US Under Secretary for Political Affairs David Hale said the participation in the probe is one of the ways the US is helping Lebanon in dealing with the aftermath of the drastic explosion.
The authorities allowed a large shipment of ammonium nitrate fertiliser to lie for years in a warehouse at the port, despite repeated warnings.
Protests have taken to the streets of central Beirut on successive nights leading to scuffles with security forces who have used tear gas and rubber bullets to disperse the crowds.
Prime Minister Hassan Diab's government stepped down on Monday after several ministers said they would quit over the explosion.
Speaker Nabih Berri had said Thursday’s session would be to question ministers on the explosion but with Cabinet's resignation it was no longer possible.
MPs met as politicians jockey over the next government and blame for the disaster.
Mr Berri claimed there was a plot against parliament but did not provide specifics.
"Over the past two weeks, a plot has been hatched involving the resignation of MPs and over the government's willingness to question parliament,” he said.
Parliament accepted the resignation of seven MPs and began discussions on passing a state of emergency in the wake of the explosion.
MP Simon Abi Ramia told reporters on his way in that he was hesitant to attend. “We are living in institutional chaos,” he said.
– additional reporting by agencies
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.”
Essentials
The flights: You can fly from the UAE to Iceland with one stop in Europe with a variety of airlines. Return flights with Emirates from Dubai to Stockholm, then Icelandair to Reykjavik, cost from Dh4,153 return. The whole trip takes 11 hours. British Airways flies from Abu Dhabi and Dubai to Reykjavik, via London, with return flights taking 12 hours and costing from Dh2,490 return, including taxes.
The activities: A half-day Silfra snorkelling trip costs 14,990 Icelandic kronur (Dh544) with Dive.is. Inside the Volcano also takes half a day and costs 42,000 kronur (Dh1,524). The Jokulsarlon small-boat cruise lasts about an hour and costs 9,800 kronur (Dh356). Into the Glacier costs 19,500 kronur (Dh708). It lasts three to four hours.
The tours: It’s often better to book a tailor-made trip through a specialist operator. UK-based Discover the World offers seven nights, self-driving, across the island from £892 (Dh4,505) per person. This includes three nights’ accommodation at Hotel Husafell near Into the Glacier, two nights at Hotel Ranga and two nights at the Icelandair Hotel Klaustur. It includes car rental, plus an iPad with itinerary and tourist information pre-loaded onto it, while activities can be booked as optional extras. More information inspiredbyiceland.com
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
