Anti-government protesters in Cairo's Tahrir Square listen in dismay as President Hosni Mubarak speaks to the nation.
Anti-government protesters in Cairo's Tahrir Square listen in dismay as President Hosni Mubarak speaks to the nation.

Mubarak refuses to stand down



CAIRO // Defying predictions that he would step down after nearly three decades in power, the Egyptian president Hosni Mubarak said late last night that he would remain in office to oversee the transtion to elections scheduled for September.

“I will continue to shoulder my responsibilities until September,” Mr Mubarak said in a 17-minute address broadcast over state TV, adding in an apparent reference to the United States and other outsiders who had pressured him to leave: “I have never bent to foreign diktats.”

The hundreds of thousands of protesters who gathered in Cairo’s Tahrir Square expecting to celebrate instead erupted in shock, anger and disbelief at the president’s announcement. Many removed their shoes and waved them in the air in a sign of derision towards Mr Mubarak. “Down, Down, Hosni Mubarak” they shouted.

The 82-year-old Egyptian leader had been widely expected to quit. Before he spoke, Wael Ghonim, the Google executive and Dubai resident who became a hero to the anti-regime movement after he was jailed and held blindfolded for 12 days for helping to organise the first protest last month, posted on his Twitter feed: “Revolution 2.0: Mission Accomplished.”

The terms of Mr Mubarak’s transfer of powers to Omar Suleiman, the vice president and former intelligence chief, and the role of Egypt’s powerful military in it were not immediately clear. But the speech left demonstrators deeply disappointed after statements from government and military officials yesterday evening had led them to believe that Mr Mubarak would resign.

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Egypt's 17 days of unrest
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The US president, Barack Obama, had no immediate comment on Mr Mubarak’s remarks. Minutes before the Egyptian leader went on the air, however, Mr Obama underscored the momentousness of what was occurring in the Arab world’s most populous country, apparently in the belief that he would make way for new leadership.

“What is absolutely clear is that we are witnessing history unfold. It is a moment of transformation that is taking place because the people of Egypt are calling for change,” Mr Obama said in speech to students in Marquette, Michigan.

America “will continue to do everything we can to support the orderly and genuine transition to democracy in Egypt,” the US president added.

Mr Mubarak’s comments came on the 17th day of nationwide protests that were organised initially with Facebook and Twitter and seemed to come from nowhere. Fearing for their safety, the protest’s young architects, except for Mr Ghonim, have remained in the shadows, unknown to all but a few. Even Egypt’s mainstream opposition leaders have seemed at loss over what to make of them.

Still, the demonstrations they have organised have given voice to many of Egypt’s 80 million people who had grown frustrated with an economy that seemed to favour a few, a political system dominated by a single party and security forces that were viewed as corrupt, capricious and cruel.

Mr Suleiman spoke immediately after Mr Mubarak and called on youth protesters to return to their homes.

"We cannot be driven to the perils of chaos and we cannot allow those perpetrating and plotting intimidation," Mr Suleiman said. "Do not listen to the satellite television stations whose main purpose is to fuel sedition."

My Mubarak vowed to scrap a constitutional amendment passed in 2007 that bolsters the government's judicial powers and would "clear the way for the scrapping of the emergency law one security and stability are restored. The emergency law has been in place for decades and gives the police and security forces wide powers to arrest suspected dissidents and limit the right to free speech and assembly.

Mr Mubarak said he had proposed amendments to five other articles of the constitution governing elections, the nomination of presidential candidates and judicial oversight of the process. He said he would remain in his post until the end of his term in September.

He said: "I am certain that the majority of the people are aware of who Hosni Mubarak is, and I feel pain in my heart from what I hear from some of my countrymen," he said. "I will not separate from the soil until I am buried underneath."

Earlier yesterday, there were abundant hints that Mr Mubarak would step down under the pressure of the protests, a sinking economy and a military that did not want to risk any further loss of its influence came yesterday afternoon.

Army Major General Hassan Roweny told protesters in Tahrir that “everything you want will be realised.”

Later, Hossam Badrawy, secretary-general of the ruling National Democratic Party, said in an interview that he had urged Mr Mubarak in a phone call earlier in the day to leave office “for the good of the nation”.

“This is the only way to restore confidence in Egypt. This is the move that the republic needs,” Mr Badrawy said he told the president.

Soon after Mr Badrawy spoke, the country’s military signalled that it was moving to take control of the country, a further sign that power in Egypt would shift away from the president.

State television showed the Supreme Council of the Armed Forces meeting. Mr Mubarak was notably absent.

The armed forces “have started taking necessary measures to protect the nation and support the legitimate demands of the citizens,” an army spokesman said on state television.

Egypt’s military has produced all four of its presidents since young army officers seized power in a 1952 coup that toppled the monarchy.

Last week, in what was considered a major turning point in the upheaval, the army said it recognised the demands of the protesters as legitimate and said it would not fire on them.

On Tuesday, however, vice-president Omar Suleiman, a former army general and chief of intelligence, made it plain that the patience of the armed forces was wearing thin. He warned that an outright military coup could take place if the demonstrations in Tahrir Square continued.

“We cannot bear this for a long time,” Mr Suleiman told a group of newspaper editors. “There must be an end to this crisis as soon as possible.”

To the surprise of the editors he then warned: “We have two options to resolve this crisis: either dialogue and understanding, or a coup … A coup can be either beneficial or detrimental, but it could lead to further irrational steps and we want to avoid reaching that point.”

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Results

5pm: Al Maha Stables – Maiden (PA) Dh80,000 (Turf) 1,600m; Winner: Reem Baynounah, Fernando Jara (jockey), Mohamed Daggash (trainer)

5.30pm: Wathba Stallions Cup – Maiden (PA) Dh70,000 (T) 1,600m; Winner: AF Afham, Tadhg O’Shea, Ernst Oertel

6pm: Emirates Fillies Classic – Prestige (PA) Dh100,000 (T) 1,600m; Winner: Ghallieah, Sebastien Martino, Jean-Claude Pecout

6.30pm: Emirates Colts Classic – Prestige (PA) Dh100,000 (T) 1,600m; Winner: Yas Xmnsor, Saif Al Balushi, Khalifa Al Neyadi

7pm: The President’s Cup – Group 1 (PA) Dh2,500,000 (T) 2,200m; Winner: Somoud, Adrie de Vries, Jean de Roualle

7.30pm: The President’s Cup – Listed (TB) Dh380,000 (T) 1,400m; Winner: Haqeeqy, Dane O’Neill, John Hyde.

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.”

Countries offering golden visas

UK
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Italy
The scheme is designed for foreign investors committed to making a significant contribution to the economy. Requires a minimum investment of €250,000 which can rise to €2 million.

Switzerland
Residence Programme offers residence to applicants and their families through economic contributions. The applicant must agree to pay an annual lump sum in tax.

Canada
Start-Up Visa Programme allows foreign entrepreneurs the opportunity to create a business in Canada and apply for permanent residence. 

Test

Director: S Sashikanth

Cast: Nayanthara, Siddharth, Meera Jasmine, R Madhavan

Star rating: 2/5

The 12 Syrian entities delisted by UK 

Ministry of Interior
Ministry of Defence
General Intelligence Directorate
Air Force Intelligence Agency
Political Security Directorate
Syrian National Security Bureau
Military Intelligence Directorate
Army Supply Bureau
General Organisation of Radio and TV
Al Watan newspaper
Cham Press TV
Sama TV

At a glance

Global events: Much of the UK’s economic woes were blamed on “increased global uncertainty”, which can be interpreted as the economic impact of the Ukraine war and the uncertainty over Donald Trump’s tariffs.

 

Growth forecasts: Cut for 2025 from 2 per cent to 1 per cent. The OBR watchdog also estimated inflation will average 3.2 per cent this year

 

Welfare: Universal credit health element cut by 50 per cent and frozen for new claimants, building on cuts to the disability and incapacity bill set out earlier this month

 

Spending cuts: Overall day-to day-spending across government cut by £6.1bn in 2029-30 

 

Tax evasion: Steps to crack down on tax evasion to raise “£6.5bn per year” for the public purse

 

Defence: New high-tech weaponry, upgrading HM Naval Base in Portsmouth

 

Housing: Housebuilding to reach its highest in 40 years, with planning reforms helping generate an extra £3.4bn for public finances

The White Lotus: Season three

Creator: Mike White

Starring: Walton Goggins, Jason Isaacs, Natasha Rothwell

Rating: 4.5/5

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

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COMPANY PROFILE
Name: Kumulus Water
 
Started: 2021
 
Founders: Iheb Triki and Mohamed Ali Abid
 
Based: Tunisia 
 
Sector: Water technology 
 
Number of staff: 22 
 
Investment raised: $4 million