RIYADH // A fatwa by Saudi Arabia's top religious leadership explicitly denouncing the financing of terrorist acts has drawn a range of reactions, including praise from a US general to derision from critics who say it is a tardy restatement of something already long agreed upon by most Islamic scholars.
"Terror financing amounts to helping acts of terrorism and supporting the existence and spread of terror," said the fatwa dated April 12 and made public in early May. Therefore it is "unlawful and a crime that should be punished legally. The crime also includes participating in any manner in the collection of funds". The religious ruling from the state-appointed Council of Senior Islamic Scholars was requested by King Abdullah bin Abdel Aziz, who added his own condemnation of terror financing soon after the fatwa was published.
"This reprehensible crime is not only as bad as terrorist deeds but also sustains terror, attempts to sabotage our land, destabilises our security and destroys our resources and our moderate approach," the king said in a message to Grand Mufti Sheikh Abdul Aziz al Asheikh. The mufti is chairman of the 20-member council. The fatwa was praised by Gen David H Petraeus, the head of US Central Command, in a May 21 statement from his Florida headquarters.
Calling it a "courageous decision", Gen Petraeus said the "ruling makes clear that the struggle against terrorist financing is not just an American or western concern, but a global threat". He added that the ruling "buttresses with its interpretation of Islamic law the international legal provisions on financing of terrorism" and "will bolster the existing counter-terrorist efforts with our Saudi partners and with other partners throughout the Muslim world".
But Ibrahim al Buleihi, a progressive writer and Shura Council member, was critical of the ruling for being "late". "This is very wrong, it must be earlier," Mr al Buleihi said in an interview, comparing it to "when a doctor comes after the patient has died". No official came forward to explain the timing of the fatwa, so Saudis were left wondering why it was issued now, seven years after al Qa'eda extremists shocked the kingdom with suicide attacks on three residential compounds in Riyadh.
The fatwa may have been intended to give a legal basis for trials of persons arrested for allegedly sympathising with and collecting funds for al Qa'eda, one Saudi speculated. Indeed, the Saudi Gazette reported that the president of the Supreme Judicial Council, Saleh bin Humaid, has sent a circular to judges across the country requesting them to use the fatwa as a basis for Sharia rulings on persons involved in financing terrorism. "That includes persons who provide or raise money or participate in the activity in any way whatsoever," the circular added.
Some Saudi officials were perplexed by the fatwa, noting that there are laws on the books already that make funding terrorism a crime. But they noted that the fatwa made no distinction between terrorism and the violence that is widely regarded as legitimate and usually called "resistance". For example, some Muslims regard attacks on US occupation troops in Iraq, or on Israeli soldiers in the occupied territories as acceptable under Islamic law.
"Terror is a crime that sabotages security," the fatwa said. "It is crime against people and private and public property. It manifests in bombing houses, schools, hospitals, factories and bridges; in hijacking and blowing up airplanes. It also destroys government resources, such as oil and gas pipelines. Such acts of destruction are prohibited under Sharia." In a May 23 interview with Asharq al Awsat, the secretary general of the Council of Senior Islamic Scholars, Fahd al Majid, sought to clarify some of these questions. Rejecting the criticism that the council had come late to the issue, Mr al Majid said that it had "played a pioneering role in warning and cautioning against [terrorism] before it turned into an international and domestic phenomenon". He cited a 1988 ruling in which "the council noted the emergence of criminal activities that strike at the group and destabilise the security of communities".
Mr al Majid said that what distinguished the recent fatwa was its specific focus "on the issue of prohibiting and criminalising the financing of terrorism in any form and on any level and in any way". While the fatwa encountered disparagement on extremist internet forums, the Saudi columnist Abdul Rahman al Rashid supported what he called an "historical" ruling, and thought that it wasn't receiving its due attention.
"As this is a fatwa that deals with international security, not just security in Saudi Arabia and the Islamic world, we expected that this would be circulated and broadcast everywhere, however I only succeeded in finding news of this fatwa with difficulty, and the majority of what was reported was just general information," al Rashid wrote in a May 17 column in Asharq al Awsat. "Without publicity this fatwa remains as nothing more than a mere piece of paper, and terrorists will continue to benefit with regards to financing, recruitment, and winning public sympathy," he added
"It was expected that this fatwa would be promoted and publicised by those religious figures who are employed by the state, such as imams, preachers, and scholars, and for them to explain and defend this fatwa in their mosques and from their minbars. "This is the way to activate this fatwa and defeat the extremist ideology that has invaded Islamic societies." @Email:cmurphy@thenational.ae
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Name: Almnssa
Started: August 2020
Founder: Areej Selmi
Based: Gaza
Sectors: Internet, e-commerce
Investments: Grants/private funding
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Los Angeles Galaxy 2 Manchester United 5
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The specs
Engine: 3-litre twin-turbo V6
Power: 400hp
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Formula Middle East Calendar (Formula Regional and Formula 4)
Round 1: January 17-19, Yas Marina Circuit – Abu Dhabi
Round 2: January 22-23, Yas Marina Circuit – Abu Dhabi
Round 3: February 7-9, Dubai Autodrome – Dubai
Round 4: February 14-16, Yas Marina Circuit – Abu Dhabi
Round 5: February 25-27, Jeddah Corniche Circuit – Saudi Arabia
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Stars: Jaideep Ahlawat, Ishwak Singh, Lc Sekhose, Merenla Imsong
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1.45pm: Maiden Dh75,000 1,200m
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3.45pm: Handicap Dh80,000 1,400m
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COMPANY PROFILE
Name: HyperSpace
Started: 2020
Founders: Alexander Heller, Rama Allen and Desi Gonzalez
Based: Dubai, UAE
Sector: Entertainment
Number of staff: 210
Investment raised: $75 million from investors including Galaxy Interactive, Riyadh Season, Sega Ventures and Apis Venture Partners
The%20specs
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Ordinary Virtues: Moral Order in a Divided World by Michael Ignatieff
Harvard University Press
COMPANY%20PROFILE
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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.”
The biog
Favourite films: Casablanca and Lawrence of Arabia
Favourite books: Start with Why by Simon Sinek and Good to be Great by Jim Collins
Favourite dish: Grilled fish
Inspiration: Sheikh Zayed's visionary leadership taught me to embrace new challenges.
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Director: Kangana Ranaut
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