Iranian president Mahmoud Ahmadinejad, right, talks with a colleague as the mayor of Tehran, Mohammad Qalibaf, left, looks on.
Iranian president Mahmoud Ahmadinejad, right, talks with a colleague as the mayor of Tehran, Mohammad Qalibaf, left, looks on.

Tehran's powerful mayor banned from travelling to US



TEHRAN // Iran's foreign ministry has barred Tehran's mayor, Mohammed Bagher Qalibaf, from attending a US non-governmental organisation's awards ceremony in Washington, a move critics say might be an attempt to prevent a rival to the Iranian president from basking in the spotlight.

Along with the mayors of Guangzhou, China; Lima, Peru; Nantes, France; and Leon, Mexico, Mr Qalibaf was picked by the Washington-based Institute for Transportation and Development Policy to receive one of its 2011 sustainable transportation awards. He was chosen for overseeing Tehran's Bus Rapid Transit (BRT) and subway system.

Mr Qalibaf is a former Revolutionary Guards air force commander and was chief of the Tehran police during reformist Mohammad Khatami's presidency. He ran unsuccessfully against Mahmoud Ahmadinejad in presidential elections of 2005 and was later elected mayor of Tehran by its city council.

Five BRT lines extending more than 100 kilometres transport 1.8 million passengers a day while the city's subway system, with its 75 stations and 125km of rail, caters to the needs of two million.

Much of the construction and development has taken place during the nearly six years of Mr Qalibaf's tenure as mayor of the capital.

Alireza Dabir, a member of Tehran's City Council, was scheduled to participate in the awards ceremony yesterday evening on behalf of Mr Qalibaf, city officials said on Sunday.

Speaking to reporters after news agencies revealed the foreign ministry's ban on Saturday, Mr Qalibaf chose to downplay the incident.

"Whether I attend the ceremony or not after being invited and the reason [my participation] was opposed doesn't affect the original matter [of being nominated for the award]. I am not for making it a personal issue and [only] want the city of Tehran to achieve more honours," Mr Qalibaf told reporters at the inauguration Sunday of a new new metro line.

However, Tehran Emrouz, a newspaper that tends to support the mayor, strongly criticized the foreign ministry's decision and accused it of "sacrificing national interests at the foot of factional inclinations and political grudges".

Mr Qalibaf has been in a particularly bitter fight in the past year with President Mahmoud Ahmadinejad over the metro's development budget, which is supposed to be supplied by the municipality and the national government in equal amounts.

Some analysts believe the hardline faction led by Mr Ahmadinejad is concerned about the prospects of Mr Qalibaf putting up a tough challenge to their candidate, possibly chief of staff Esfandiar Rahim Mashie, in the 2013 presidential elections. The Washington visit could have bolstered the mayor's popularity and provided favorable publicity for him, they say.

Ali Afshari, an Iranian political activist living in the US told Radio Farda: "They want to block Qalibaf and prevent his nomination and success."

Despite parliament legislation authorising it do so nearly a year ago, the Ahmadinejad administration has so far refused to spend an extra US$1 billion on municipal transportation in Tehran from the country's oil reserve fund. The legislation is to expire in two months.

Last week, the minister of economic affairs and finance, Shamseddin Hosseini, claimed the fund had dried up and there was no money to give to the municipality, but many legislators said this was an excuse.

A conservative politician, Ali Mottahar, hinted last week at the possibility of grilling the president in the parliament about his administration's refusal to pay the money.

Mr Qalibaf said on Sunday that if the money is paid, Tehran's metro could increase to 4.5 million passengers a day from about 2 million now, with the construction of new rail lines, additional cars and more stations.

'Worse than a prison sentence'

Marie Byrne, a counsellor who volunteers at the UAE government's mental health crisis helpline, said the ordeal the crew had been through would take time to overcome.

“It was worse than a prison sentence, where at least someone can deal with a set amount of time incarcerated," she said.

“They were living in perpetual mystery as to how their futures would pan out, and what that would be.

“Because of coronavirus, the world is very different now to the one they left, that will also have an impact.

“It will not fully register until they are on dry land. Some have not seen their young children grow up while others will have to rebuild relationships.

“It will be a challenge mentally, and to find other work to support their families as they have been out of circulation for so long. Hopefully they will get the care they need when they get home.”

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Artist: Coldplay

Label: Parlophone/Atlantic

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How Apple's credit card works

The Apple Card looks different from a traditional credit card — there's no number on the front and the users' name is etched in metal. The card expands the company's digital Apple Pay services, marrying the physical card to a virtual one and integrating both with the iPhone. Its attributes include quick sign-up, elimination of most fees, strong security protections and cash back.

What does it cost?

Apple says there are no fees associated with the card. That means no late fee, no annual fee, no international fee and no over-the-limit fees. It also said it aims to have among the lowest interest rates in the industry. Users must have an iPhone to use the card, which comes at a cost. But they will earn cash back on their purchases — 3 per cent on Apple purchases, 2 per cent on those with the virtual card and 1 per cent with the physical card. Apple says it is the only card to provide those rewards in real time, so that cash earned can be used immediately.

What will the interest rate be?

The card doesn't come out until summer but Apple has said that as of March, the variable annual percentage rate on the card could be anywhere from 13.24 per cent to 24.24 per cent based on creditworthiness. That's in line with the rest of the market, according to analysts

What about security? 

The physical card has no numbers so purchases are made with the embedded chip and the digital version lives in your Apple Wallet on your phone, where it's protected by fingerprints or facial recognition. That means that even if someone steals your phone, they won't be able to use the card to buy things.

Is it easy to use?

Apple says users will be able to sign up for the card in the Wallet app on their iPhone and begin using it almost immediately. It also tracks spending on the phone in a more user-friendly format, eliminating some of the gibberish that fills a traditional credit card statement. Plus it includes some budgeting tools, such as tracking spending and providing estimates of how much interest could be charged on a purchase to help people make an informed decision. 

* Associated Press 

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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.”

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Name: Hassan Mohsen Elhais

Position: legal consultant with Al Rowaad Advocates and Legal Consultants.

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