DAMASCUS // A flurry of diplomacy in Damascus involving the Syrian president, Turkey's foreign minister, Iraq's election winner and an Iranian-schooled radical Iraqi cleric aimed to break through Baghdad's political deadlock this week and pave the way for a new governing alliance.
Ayad Allawi and Muqtada al Sadr - the two men who waged war on one another in 2004 - met in Damascus on Monday, after an 11th hour invitation was issued to Mr Allawi by the Syrian president, Bashar Assad. Until that point, it appeared unlikely that the former Iraqi prime minister would personally attend talks.
Mr Allawi, the leader of the Iraqiyya bloc that narrowly won Iraq's March elections, and Mr al Sadr, the head of the powerful grassroots Sadr movement agreed to a broad set of principles as a result of their discussions, according to Ahmed al Dulaimi, an Iraqiyya official.
Perhaps most critically, they united in refusing to allow Iraq's current prime minister, Nouri al Maliki, to stay in office for another term, Mr al Dulaimi said.
"They [Mr Allawi and Mr al Sadr] agreed there must be a peaceful hand-over of power and that authority would be divided up in a way that respected the election results," he said yesterday. "They also agreed to speed up efforts in forming a new government and that there must be no renewal for Nouri al Maliki as prime minister."
Such a deal could seriously undermine Mr al Maliki. His State of Law coalition has already entered into a grand alliance with Mr al Sadr's group, in conjunction with the Islamic Supreme Council of Iraq (ISCI), an effort designed to give him the largest parliamentary bloc and, therefore, the ability to form the next government despite coming second in the election.
That alliance, however, appears to have been fatally undermined by Mr al Maliki's insistence that he retain his position as premier. Attempts to nominate a compromise candidate have floundered.
It is against this backdrop that the Sadrists have turned towards Iraqiyya. If they were to join forces, together with ISCI, the three collectively have almost sufficient parliamentary seats to form a government, independently of Mr al Maliki.
The threat of being outflanked is one the incumbent prime minister seems to be well aware of. According to an Iraqi involved in Monday's Damascus talks, Mr al Maliki telephoned Mr Allawi immediately after the latter's meeting with Mr al Sadr and asked him to come to Baghdad immediately for "urgent" discussions - apparently intending to launch an outflanking manoeuvre of his own on the Sadrists.
That, in turn, suggests that Monday's Damascus talks, by adding to the pressure on Mr al Maliki, could open the door for a deal between his State of Law party and Iraqiyya - although he would have to agree to step down as prime minister for that to happen, something that seems unlikely.
Iraqiyya officials say they have pushed the idea of forming a simple two-bloc governing alliance with State of Law, a deal that would appear common sense given their converging nationalist and secular leaning agendas. It would also do away with the necessity of forming a complex multi-coalition government beholden to numerous minority interests.
However, Iraqiyya insists that as the senior partner it gets to choose who is prime minister, something Mr al Maliki has emphatically refused, they say, even turning down offers of an alternative top position in the administration.
The talks in Damascus represent a new drive by Syria, Turkey and Iran to break the logjam currently paralysing Baghdad politics. Mr al Sadr, while an outspoken Iraqi nationalist, is currently based in Iran and has close links with the Tehran authorities. Syria and Turkey also maintain strategic relationships with Iran.
Although a face-to-face meeting between Mr Allawi and Mr al Sadr marks a new departure in Iraq's post-election landscape, it seems unlikely that any breakthrough is imminent with major differences remaining.
A member of the Iraqiyya delegation said the talks had been "positive but inconclusive, like running on the spot".
The tensions afflicting Iraq's political factions, including prospective allies, was underlined at the Damascus talks. Mr al Sadr refused to have Saleh al Mutlaq, a senior Iraqiyya official who was barred from the election over Baathist links, present in meetings.
In turn, Mr Allawi declined to have a senior member of the Sadr delegation present; on the grounds he had headed a militia that attempted to assassinate Mr Allawi in 2005.
Separately from the Damascus talks, Iraqiyya yesterday announced it would table a claim at the United Nations on August 8 calling for international recognition of its right to form a new government.
@Email:psands@thenational.ae
Dust and sand storms compared
Sand storm
- Particle size: Larger, heavier sand grains
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- Duration: Short-lived, typically localised
- Travel distance: Limited
- Source: Open desert areas with strong winds
Dust storm
- Particle size: Much finer, lightweight particles
- Visibility: Hazy skies but less intense
- Duration: Can linger for days
- Travel distance: Long-range, up to thousands of kilometres
- Source: Can be carried from distant regions
The National's picks
4.35pm: Tilal Al Khalediah
5.10pm: Continous
5.45pm: Raging Torrent
6.20pm: West Acre
7pm: Flood Zone
7.40pm: Straight No Chaser
8.15pm: Romantic Warrior
8.50pm: Calandogan
9.30pm: Forever Young
What's in the deal?
Agreement aims to boost trade by £25.5bn a year in the long run, compared with a total of £42.6bn in 2024
India will slash levies on medical devices, machinery, cosmetics, soft drinks and lamb.
India will also cut automotive tariffs to 10% under a quota from over 100% currently.
Indian employees in the UK will receive three years exemption from social security payments
India expects 99% of exports to benefit from zero duty, raising opportunities for textiles, marine products, footwear and jewellery
The Gandhi Murder
- 71 - Years since the death of MK Gandhi, also christened India's Father of the Nation
- 34 - Nationalities featured in the film The Gandhi Murder
- 7 - million dollars, the film's budget
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
if you go
The flights
Air France offer flights from Dubai and Abu Dhabi to Cayenne, connecting in Paris from Dh7,300.
The tour
Cox & Kings (coxandkings.com) has a 14-night Hidden Guianas tour of Guyana, Suriname and French Guiana. It includes accommodation, domestic flights, transfers, a local tour manager and guided sightseeing. Contact for price.
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The five stages of early child’s play
From Dubai-based clinical psychologist Daniella Salazar:
1. Solitary Play: This is where Infants and toddlers start to play on their own without seeming to notice the people around them. This is the beginning of play.
2. Onlooker play: This occurs where the toddler enjoys watching other people play. There doesn’t necessarily need to be any effort to begin play. They are learning how to imitate behaviours from others. This type of play may also appear in children who are more shy and introverted.
3. Parallel Play: This generally starts when children begin playing side-by-side without any interaction. Even though they aren’t physically interacting they are paying attention to each other. This is the beginning of the desire to be with other children.
4. Associative Play: At around age four or five, children become more interested in each other than in toys and begin to interact more. In this stage children start asking questions and talking about the different activities they are engaging in. They realise they have similar goals in play such as building a tower or playing with cars.
5. Social Play: In this stage children are starting to socialise more. They begin to share ideas and follow certain rules in a game. They slowly learn the definition of teamwork. They get to engage in basic social skills and interests begin to lead social interactions.
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.”
Shubh Mangal Saavdhan
Directed by: RS Prasanna
Starring: Ayushmann Khurrana, Bhumi Pednekar
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