JERUSALEM // The main Palestinian political factions, Fatah and Hamas, agreed yesterday to form a unity government led by the Palestinian Authority president, Mahmoud Abbas.
The announcement signalled what Mr Abbas and outgoing Hamas leader Khaled Meshaal hope will end a four-year schism that has seen stalled peace talks with Israel, Palestinian territory in the West Bank and East Jerusalem swallowed by Jewish settlements and no progress on creation of a Palestinian state.
The hiatus has also seen the Palestinians' status as the main embodiment of Arab political aspirations eclipsed by the Arab Spring and groups such as Lebanon's Hizbollah and the flowering of several reform movements across the region.
Signing the accord in the Qatari capital, Doha, Mr Abbas and Mr Meshaal agreed to meet on February 18 in Cairo to set a date for presidential and parliamentary elections.
Until a new parliament is seated, Mr Abbas will serve as prime minister, said Palestinian sources familiar with the agreement.
That appointment left unclear the status of the PA premier, Salam Fayyad, a moderate technocrat admired by Washington and the European Union.
Israel swiftly denounced the pact.
Prime Minister Benjamin Netanyahu scolded Mr Abbas for his choice to abandon peace.
The US State Department issued cautious reactions. The US is "seeking more information about precisely what was agreed" in Doha, said Victoria Nuland, state department spokeswoman. "We are not clear as to exactly how this agreement will be implemented or what it means."
She reiterated that the US expects any Palestinian government to advocate non-violence, recognise of Israel and honour past peace agreements.
She said the US position on Hamas hasn't changed.
The United States, the European Union and Israel classify Hamas as terrorists and American lawmakers were expected to quickly demand funding to the PA be cut.
Speaking during the signing ceremony in Doha, Mr Abbas was conciliatory towards Mr Meshaal, his longtime antagonist, and pledged to implement the deal as soon as possible.
Mr Meshaal said: "We inform our people that we are serious about healing the wounds ... to reunite our people on the foundation of a political partnership, in order to devote our effort to resisting the [Israeli] occupation," the Hamas leader said in remarks broadcast on Al Jazeera.
Some observers are concerned that too much power is being given to Mr Abbas. In addition to being president and heading Fatah, he chairs the Palestine Liberation Organisation.
"Instead of political leaders yielding powers to democratic forces, like we've seen all across the region, we have a situation here where one leader is accumulating his," said Zakaria Al Qaq, a lecturer on security at Al Quds University in Jerusalem.
"This goes against the winds of the Arab Spring."
Analysts said yesterday's agreement was mainly motivated by anger at the slowness of reconciliation.
"In a nutshell, I would phrase it as both sides becoming more ready to reconcile because both are at their lowest popularity in recent memory," said Sam Bahour, a Palestinian political commentator and businessman who lives in Ramallah.
Mr Abbas is increasingly criticised among Palestinians for informal peace talks with Israel last month, he said. Hamas is increasingly unpopular in the Gaza Strip, where it rules.
Omar Shaban, the head of Pal-Think, a public policy group in Gaza, said the agreement was an attempt by Mr Meshaal to demonstrate Hamas' ability to compromise. He received crucial support from Sheikh Hamad bin Khalifa Al Thani, Qatar's emir.
"Doha's another step in Hamas' normalisation and political integration into the region," he said. He was referring to the group's growing ties with Islamist movements and parties in the region that have grown more powerful because of the Arab Spring.
It was not clear who would participate in the interim government. Under the May agreement, members were not to be connected to Fatah or Hamas.
Palestine TV reported both sides also pledged to free prisoners and allow election monitors in Gaza and the West Bank. These issues have been major sticking points in the reconciliation process.
Mustafa Barghouti, a Palestinian politician in the reconciliation process, expressed concern no date on elections had been set in the Qatar meetings.
"It deals with restructuring things, but there was no mention of elections," he said. "This is something new, and we don't know what this means," he said.
Mr Barghouti has criticised Fatah and Hamas for delaying reconciliation. He said it would be impossible for elections in May, as originally scheduled.
"Maybe by the end of the year, but definitely not May," he said.
Mr Fayyad yesterday said he welcomed the agreement, hoping for its "speedy implementation".
His spokesman, Ghassan Khatib, said the prime minister had not been told he would lose his job but was ready to leave.
"He is positive and welcomed it and hoped it would be implemented soon," Mr Khatib said.
In earlier talks, Mr Abbas insisted on keeping the Western-educated economist as prime minister despite protests from Hamas, who see Mr Fayyad as too close to the United States and Europe.
Some analysts believe Mr Fayyad may have been the price for yesterday's agreement.
"Officials want to show that they made progress, even though on the macro, political level, there is no progress," said Mr Al Qaq.
"And I think Salam Fayyad presents a useful scapegoat."
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2018 ICC World Twenty20 Asian Western Sub Regional Qualifier
Event info: The tournament in Kuwait is the first phase of the qualifying process for sides from Asia for the 2020 World T20 in Australia. The UAE must finish within the top three teams out of the six at the competition to advance to the Asia regional finals. Success at regional finals would mean progression to the World T20 Qualifier.
Teams: UAE, Bahrain, Saudi Arabia, Kuwait, Maldives, Qatar
Friday fixtures: 9.30am (UAE time) - Kuwait v Maldives, Qatar v UAE; 3pm - Saudi Arabia v Bahrain
The Matrix Resurrections
Director: Lana Wachowski
Stars: Keanu Reeves, Carrie-Anne Moss, Jessica Henwick
Rating:****
MATCH INFO
Europa League semi-final, second leg
Atletico Madrid (1) v Arsenal (1)
Where: Wanda Metropolitano
When: Thursday, kick-off 10.45pm
Live: On BeIN Sports HD
VERSTAPPEN'S FIRSTS
Youngest F1 driver (17 years 3 days Japan 2014)
Youngest driver to start an F1 race (17 years 166 days – Australia 2015)
Youngest F1 driver to score points (17 years 180 days - Malaysia 2015)
Youngest driver to lead an F1 race (18 years 228 days – Spain 2016)
Youngest driver to set an F1 fastest lap (19 years 44 days – Brazil 2016)
Youngest on F1 podium finish (18 years 228 days – Spain 2016)
Youngest F1 winner (18 years 228 days – Spain 2016)
Youngest multiple F1 race winner (Mexico 2017/18)
Youngest F1 driver to win the same race (Mexico 2017/18)
ARABIAN GULF LEAGUE FIXTURES
Thursday, September 21
Al Dahfra v Sharjah (kick-off 5.35pm)
Al Wasl v Emirates (8.30pm)
Friday, September 22
Dibba v Al Jazira (5.25pm)
Al Nasr v Al Wahda (8.30pm)
Saturday, September 23
Hatta v Al Ain (5.25pm)
Ajman v Shabab Al Ahli (8.30pm)
THE BIO
Born: Mukalla, Yemen, 1979
Education: UAE University, Al Ain
Family: Married with two daughters: Asayel, 7, and Sara, 6
Favourite piece of music: Horse Dance by Naseer Shamma
Favourite book: Science and geology
Favourite place to travel to: Washington DC
Best advice you’ve ever been given: If you have a dream, you have to believe it, then you will see it.
Voices: How A Great Singer Can Change Your Life
Nick Coleman
Jonathan Cape
UAE currency: the story behind the money in your pockets
McIlroy's recent struggles
Last six stroke-play events (First round score in brackets)
Arnold Palmer Invitational Tied for 4th (74)
The US Masters Tied for 7th (72)
The Players Championship Tied for 35th (73)
US Open Missed the cut (78)
Travellers Championship Tied for 17th (67)
Irish Open Missed the cut (72)
THE BIO
Bio Box
Role Model: Sheikh Zayed, God bless his soul
Favorite book: Zayed Biography of the leader
Favorite quote: To be or not to be, that is the question, from William Shakespeare's Hamlet
Favorite food: seafood
Favorite place to travel: Lebanon
Favorite movie: Braveheart
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Director: Sriram Raghavan
Producer: Matchbox Pictures, Viacom18
Cast: Ayushmann Khurrana, Tabu, Radhika Apte, Anil Dhawan
Rating: 3.5/5
UAE v Gibraltar
What: International friendly
When: 7pm kick off
Where: Rugby Park, Dubai Sports City
Admission: Free
Online: The match will be broadcast live on Dubai Exiles’ Facebook page
UAE squad: Lucas Waddington (Dubai Exiles), Gio Fourie (Exiles), Craig Nutt (Abu Dhabi Harlequins), Phil Brady (Harlequins), Daniel Perry (Dubai Hurricanes), Esekaia Dranibota (Harlequins), Matt Mills (Exiles), Jaen Botes (Exiles), Kristian Stinson (Exiles), Murray Reason (Abu Dhabi Saracens), Dave Knight (Hurricanes), Ross Samson (Jebel Ali Dragons), DuRandt Gerber (Exiles), Saki Naisau (Dragons), Andrew Powell (Hurricanes), Emosi Vacanau (Harlequins), Niko Volavola (Dragons), Matt Richards (Dragons), Luke Stevenson (Harlequins), Josh Ives (Dubai Sports City Eagles), Sean Stevens (Saracens), Thinus Steyn (Exiles)
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SERIE A FIXTURES
Saturday (All UAE kick-off times)
Cagliari v AC Milan (6pm)
Lazio v Napoli (9pm)
Inter Milan v Atalanta (11.45pm)
Sunday
Udinese v Sassuolo (3.30pm)
Sampdoria v Brescia (6pm)
Fiorentina v SPAL (6pm)
Torino v Bologna (6pm)
Verona v Genoa (9pm)
Roma V Juventus (11.45pm)
Parma v Lecce (11.45pm)
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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.”