Saad Hariri, Lebanon's prime minister, centre, met Fouad Siniora, the former prime minister, and Bahia Hariri, an MP, in Beirut yesterday.
Saad Hariri, Lebanon's prime minister, centre, met Fouad Siniora, the former prime minister, and Bahia Hariri, an MP, in Beirut yesterday.
Saad Hariri, Lebanon's prime minister, centre, met Fouad Siniora, the former prime minister, and Bahia Hariri, an MP, in Beirut yesterday.
Saad Hariri, Lebanon's prime minister, centre, met Fouad Siniora, the former prime minister, and Bahia Hariri, an MP, in Beirut yesterday.

PM Hariri enters crisis mode over 2005 killing


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BEIRUT // Saad Hariri returned home yesterday to confront the worst political crisis of his year as prime minister, as his supporters traded insults and accusations with the Hizbollah-led opposition over an international tribunal investigating the assassination of Mr Hariri's father in 2005.

Arriving from Saudi Arabia, Mr Hariri immediately went into consultations with the members of his Future Movement and its allies in the March 14 movement on a week-old crisis instigated by a former security official held in prison for four years on suspicion of helping orchestrate the 2005 car bombing that killed the former prime minister, Rafik Hariri, in 2005. The former director of general security, Jamil Sayyed, has exchanged waves of insults over whether Mr Hariri conspired to have him framed for his father's murder in an effort to implicate Mr Sayyed's Syrian patrons.

Prosecutors issued a summons last week after Mr Sayyed held a press conference at which he threatened to obtain justice through the streets if he failed to gain it in the courts. Upon his arrival on Saturday from Paris, Mr Sayyed continued to accuse Mr Hariri of criminal conduct and avoided arrest with the protection of more than a dozen Hizbollah guards, who took temporary control of Beirut's airport to escort him home.

Mr Sayyed remains in violation of the order to appear before prosecutors for questioning, which judicial sources said would probably be upgraded to an arrest warrant for his intransigence. But he is under the protection of Hizbollah's security forces, meaning any attempt to arrest the former general would possibly spark a violent showdown between the Lebanese authorities and the Shiite militant group that many have called "state within a state".

As Mr Hariri arrived home, a key member of his coalition once again used the local media to denounce Mr Sayyed. In a press conference, Okab Saqr, a member of parliament, accused Mr Sayyed of leaking information from the Special Tribunal for Lebanon to antagonise Hizbollah into believing the group faced possible indictment for the murder. Since the publication of that possibility last year, Hizbollah's leadership has embarked on an overt campaign to discredit the tribunal and has thrown its support behind Mr Sayyed's claims that someone - most likely supporters of Mr Hariri - paid witnesses to implicate Syria and its allies for killing Rafik Hariri.

"What was published ? was fabricated by Jamil Sayyed," Mr Saqr said. "We don't want an apology from Hizbollah but we want the Lebanese to know ? who spread the rumour," he added. Repeating his claim from last week that Mr Sayyed had demanded US$15 million (Dh55m) from the Hariri family in compensation - a charge he has denied - Mr Saqr suggested that Hizbollah pay half that amount to end this standoff, a wry suggestion that appears to have infuriated Mr Sayyed and his supporters. But Mr Saqr also took the extraordinary step of warning Hizbollah not to reject Mr Hariri's appeals to end the matter.

"We hope that Hizbollah meets [Mr Hariri's] extended hand because one blow will be met with 10 this time," Mr Saqr said. Mr Sayyed responded by calling Mr Saqr a "grasshopper" and that his issue was with Mr Hariri, who should return his supporters like Mr Saqr to "their cages" at Hariri's residence. But in addition to the personal attacks, which exceed in tone anything Lebanese politics have seen in years, Lebanese security forces remain furious that Hizbollah used its military wing to protect Mr Sayyed from arrest. They maintain that the protection is a violation of what they claim is a promise by the group to never use its weapons against the Lebanese after its violent takeover of Beirut to expel militias loyal to Mr Hariri in 2008.

Gen Asraf Rifi, the head of Lebanon's Internal Security Forces, criticised both Hizbollah and Mr Sayyed's conduct and repeated claims that Mr Sayyed was in part responsible for Rafik Hariri's assassination. @Email:mprothero@thenational.ae

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.”

Explainer: Tanween Design Programme

Non-profit arts studio Tashkeel launched this annual initiative with the intention of supporting budding designers in the UAE. This year, three talents were chosen from hundreds of applicants to be a part of the sixth creative development programme. These are architect Abdulla Al Mulla, interior designer Lana El Samman and graphic designer Yara Habib.

The trio have been guided by experts from the industry over the course of nine months, as they developed their own products that merge their unique styles with traditional elements of Emirati design. This includes laboratory sessions, experimental and collaborative practice, investigation of new business models and evaluation.

It is led by British contemporary design project specialist Helen Voce and mentor Kevin Badni, and offers participants access to experts from across the world, including the likes of UK designer Gareth Neal and multidisciplinary designer and entrepreneur, Sheikh Salem Al Qassimi.

The final pieces are being revealed in a worldwide limited-edition release on the first day of Downtown Designs at Dubai Design Week 2019. Tashkeel will be at stand E31 at the exhibition.

Lisa Ball-Lechgar, deputy director of Tashkeel, said: “The diversity and calibre of the applicants this year … is reflective of the dynamic change that the UAE art and design industry is witnessing, with young creators resolute in making their bold design ideas a reality.”

Hurricanes 31-31 Lions

Wellington Hurricanes: 
Tries: Gibbins, Laumape, Goosen, Fifita tries, Barrett
Conversions: Barrett (4)
Penalties: Barrett

British & Irish Lions:
Tries: Seymour (2), North
Conversions: Biggar (2)
Penalties: Biggar (4)

UK’s AI plan
  • AI ambassadors such as MIT economist Simon Johnson, Monzo cofounder Tom Blomfield and Google DeepMind’s Raia Hadsell
  • £10bn AI growth zone in South Wales to create 5,000 jobs
  • £100m of government support for startups building AI hardware products
  • £250m to train new AI models