DAMASCUS // Syria could scarcely have dreamed of a better outcome to the recent historical visit by the Russian president, Dmitry Medvedev.
In the first leaders' summit between the two nations in almost 100 years, the policy positions of Moscow and Damascus were aligned with uncanny precision.
Mr Medvedev criticised US inaction regarding Middle East peace and promised a greater regional role for Moscow, before promptly calling for Hamas, the Palestinian resistance movement, to be included in peace talks; deals were finalised to supply Syria with advanced Russian jet fighters and anti-aircraft defences; economic and business tie-ups were signed.
If that were not enough, the Kremlin chief also opened the door to nuclear co-operation with Syria, which is seeking to build a civilian power station, a project that would certainly require outside sponsorship.
The resurrection of Moscow's relationship with Damascus - so strong during the Cold War but substantially weakened after the collapse of the Soviet Union in 1991 - has irritated both Israel and the United States.
Israel remains at war with Syria while Washington, its ally, sees Damascus as a persistent troublemaker that refuses to fall into line.
News of the Russian arms sales prompted a rebuke from the Israeli foreign minister, Avigdor Lieberman, as did the call for recognition of Hamas - considered a terrorist group by Israel and the United States, despite winning elections in the Gaza Strip in 2006.
A US State Department spokesman, Philip Crowley, expressed his government's dissatisfaction over the potential nuclear deal, noting that Damascus is under investigation by the United Nation's atomic watchdog over an alleged secret nuclear programme.
With the United States still moving at a snail's pace in its own rapprochement with Syria - one heavily burdened by fundamental policy differences - Damascus could be forgiven for thinking that, following the Russia summit, it is successfully outmanoeuvring Washington and holding an increasingly strong hand.
Last month Syria was under pressure from the United States and Israel over alleged Scud missile transfers to Hizbollah, the Lebanese militant movement and, once more, talk of war was in the air. The Obama administration then announced renewed economic sanctions against Syria, justifying it on the grounds that Damascus was seeking to acquire weapons of mass destruction and supporting "terrorists".
Syria was, yet again, being pushed into a corner. Russia then stepped in, however, and helped it find a convenient exit.
Although the United States had issued warnings about missile transfers and continued its efforts to suffocate Syria's reforming economy, a cheerful Mr Medvedev offered Damascus new Russian weapons, business opportunities and Moscow's help in making Syria a nuclear nation.
The US remains the single most influential actor on the regional stage but, with each new diplomatic opening it crafts, Damascus finds itself with a little more breathing space, a little more money and a little more time. And, with Russia now on side, it has a powerful international ally capable of helping it punch above its weight.
Russia is a member of the Quartet for Middle East peace, together with the European Union, United Nations and US. In its support for Israel, it is Washington that increasingly looks at odds with the other members, who are appear to be taking a more impartial line on the Arab/Israeli conflict.
Similarly, with the Europeans and Russia looking to deepen trade links with Damascus, it is the US that appears out of step with the economic sanctions that have done little to harm the Syrian elite but which do hamstring market reforms and hinder inquisitive young Syrians in accessing internet technology. Many US companies do not allow access to their sites or downloads from Syria.
Syria counts Turkey and Iran among its close allies, and continues to open business links across the region and wider world. While still facing serious problems, including severe economic difficulties and an ailing domestic political reform programme, Damascus feels increasingly confident in its abilities to stand up to the US and Israel, and to stand against their regional agenda.
Now that Russia is once again weighing in as one of its supporters, that sense of confidence has an even stronger foundation.
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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
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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.”
BUNDESLIGA FIXTURES
Friday Hertha Berlin v Union Berlin (11.30pm)
Saturday Freiburg v Borussia Monchengladbach, Eintracht Frankfurt v Borussia Dortmund, Cologne v Wolfsburg, Arminia Bielefeld v Mainz (6.30pm) Bayern Munich v RB Leipzig (9.30pm)
Sunday Werder Bremen v Stuttgart (6.30pm), Schalke v Bayer Leverkusen (9pm)
Monday Hoffenheim v Augsburg (11.30pm)
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India will also cut automotive tariffs to 10% under a quota from over 100% currently.
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ICC Women's T20 World Cup Asia Qualifier 2025, Thailand
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May 9, v Malaysia
May 10, v Qatar
May 13, v Malaysia
May 15, v Qatar
May 18 and 19, semi-finals
May 20, final
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- Carbon sink: Seagrass sequesters carbon up to 35X faster than tropical rainforests
- Marine nursery: Crucial habitat for juvenile fish, crustations, and invertebrates
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Favourite holiday destination: Thailand. I go every year and I’m obsessed with the fitness camps there.
Favourite book: Born to Run by Christopher McDougall. It’s an amazing story about barefoot running.
Favourite film: A League of their Own. I used to love watching it in my granny’s house when I was seven.
Personal motto: Believe it and you can achieve it.
Company: Instabug
Founded: 2013
Based: Egypt, Cairo
Sector: IT
Employees: 100
Stage: Series A
Investors: Flat6Labs, Accel, Y Combinator and angel investors
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Stars: 3
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- Disruption Lab and Research Centre for developing entrepreneurial skills
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RESULT
Fifth ODI, at Headingley
England 351/9
Pakistan 297
England win by 54 runs (win series 4-0)
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