AAB BAREEK, AFGHANISTAN // For all the billions of dollars in foreign aid that have poured into Afghanistan over the past 12 years, Sajeda sobs that the world has forgotten the poorest of the poor in the largely untroubled north of the country.
A deadly landslide last week exposed the extreme poverty in the remote mountainous area and also highlighted one of the paradoxes of western aid: the northern region which supported the US-led invasion of Afghanistan in 2001 has got significantly less help than the south and east, home of the Taliban militants.
Over the past decade, much of the US Agency for International Development (USAid) funding has been spent in the strongholds of the insurgents as part of Washington’s strategy to win the “hearts and minds” of the local population.
“We are the poorest and most unfortunate people of this country and no one pays attention to us. We are forgotten,” said Sajeda, who lost 12 members of her family in the landslide that killed hundreds in northern Badakhshan province.
Pointing to simple mud-brick homes that escaped the landslide in the village of Aab Bareek, the 33-year-old screams: “Look at those houses. Are those for the living?”
Time is running out for the mostly Tajik and Uzbek people of Badakhshan, home to the Northern Alliance which helped US forces drive the Taliban from power, to tap international aid. As western forces wind down operations in Afghanistan, foreign donors are also pulling back.
At the start of the year, US legislators halved civilian aid for Afghanistan, reflecting growing reluctance in Congress to continue generous aid levels there, concerns about waste and fraud, and frustration with the Afghan government itself. Other foreign donors are expected to make similar cuts.
Over the past decade, a disproportionate share of US aid, which makes about two-thirds of all development assistance in Afghanistan, has ended up in the southern provinces where it has been used to achieve political and military objectives.
A US official said that between 2009-14 more than 70 per cent of USAid spending, amounting to about US$4.7 billion (Dh17.25bn), went to the south and east.
An official from USAid said the agency’s Office of Foreign Disaster Assistance had committed more $30 million since the start of last year to address the needs of people in Badakhshan and other remote, flood-prone provinces.
“For much of the intervention, we know that aid was distorted by military priorities, that is pretty clear,” said Matt Waldman, an associate fellow at London think tank Chatham House. “The trouble is, that very often undermines its effectiveness.”
Lost aid
Despite the most expensive reconstruction effort ever undertaken in a single country, Afghanistan remains one of the world’s poorest states.
The poverty headcount varies significantly between the provinces, from as low as 10 per cent to more than 70 per cent. It is most severe in the north-east, central highlands and parts of the south-east.
Badakhshan is one of the poorest: more than 60 per cent of its population lives below the poverty line, according the UN Office for the Coordination of Humanitarians Affairs, using an index showing it costs Dh90 a month to buy enough food to survive.
“Nobody has given money to spend on developmental projects. We do not have resources to spend in our district, our province is a remote one and attracts less attention,” said Haji Abdul Wadod, governor of the Argo district that includes Aab Bareek.
“The government has done a lot, but the international community has paid less attention.”
Badakhshan, once a stopover point on the Silk Route, is one of the poorest places on earth. There is just one paved road, dotted with pot-holes, from the provincial capital Faizabad to Kunduz, a city three hours to the west that is connected to Kabul and other parts of the country. Most travel in the province is by horse or donkey.
Reconstruction and relief in Badakhshan has mostly fallen to Germany, along with a handful of small non-governmental organisations, which have built among other things small mini-hydro plants on the slopes of the towering Hindu Kush mountains.
“Not only our villagers but most villagers around Badakhshan are forgotten by the government,” says the village leader of Aab Bareek, Haji Azizullah. “We haven’t received enough to even buy a box of matches.”
Yet, this year the US contribution to the international relief and reconstruction, starting from 2002, will top $100bn, according to US auditors, known as the Special Inspector General for Afghanistan Reconstruction.
That figure is a fraction of the amount the United States has spent on its military campaign.
Most of the US money earmarked for relief and reconstruction since 2002 has actually gone to security, leaving just more than $26bn to governance and development, and nearly $3 billion for humanitarian aid.
A report by the US Senate Committee on Foreign Relations in 2011 said the United States was focused on short-term stabilisation projects in the south and east in a bid to win “hearts and minds” instead of tackling longer term development projects.
Once the most violent city in Afghanistan, the security of Kandahar, in the south, has improved significantly, and there have been noticeable improvements to roads, as well as new municipal buildings, schools and health clinics. However, millions of dollars have been skimmed by corrupt contractors and officials.
Multi-million-dollar power projects in Kandahar and Helmand, both funded by USAid and both strongholds of the Taliban, have been delayed for years because of issues with contractors.
The irony that most of Washington’s aid has ended up in the so-called “badlands” of the south and east is not lost on the village leader of Aab Bareek.
“They only invest in places where there are insurgents,” said Azizullah. “After something is built the militants then come back in a day, or month, and destroy it.”
* Reuters
Bugatti Chiron Super Sport - the specs:
Engine: 8.0-litre quad-turbo W16
Transmission: 7-speed DSG auto
Power: 1,600hp
Torque: 1,600Nm
0-100kph in 2.4seconds
0-200kph in 5.8 seconds
0-300kph in 12.1 seconds
Top speed: 440kph
Price: Dh13,200,000
Bugatti Chiron Pur Sport - the specs:
Engine: 8.0-litre quad-turbo W16
Transmission: 7-speed DSG auto
Power: 1,500hp
Torque: 1,600Nm
0-100kph in 2.3 seconds
0-200kph in 5.5 seconds
0-300kph in 11.8 seconds
Top speed: 350kph
Price: Dh13,600,000
Jetour T1 specs
Engine: 2-litre turbocharged
Power: 254hp
Torque: 390Nm
Price: From Dh126,000
Available: Now
GCC-UK%20Growth
%3Cp%3EAn%20FTA%20with%20the%20GCC%20would%20be%20very%20significant%20for%20the%20UK.%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20%20My%20Department%20has%20forecast%20that%20it%20could%20generate%20an%20additional%20%C2%A31.6%20billion%20a%20year%20for%20our%20economy.%3Cbr%3EWith%20consumer%20demand%20across%20the%20GCC%20predicted%20to%20increase%20to%20%C2%A3800%20billion%20by%202035%20this%20deal%20could%20act%20as%20a%20launchpad%20from%20which%20our%20firms%20can%20boost%20their%20market%20share.%3C%2Fp%3E%0A
Super heroes
Iron Man
Reduced risk of dementia
Alcohol consumption could be an issue
Hulk
Cardiac disease, stroke and dementia from high heart rate
Spider-Man
Agility reduces risk of falls
Increased risk of obesity and mental health issues
Black Panther
Vegetarian diet reduces obesity
Unknown risks of potion drinking
Black Widow
Childhood traumas increase risk of mental illnesses
Thor
He's a god
THE BIO
Favourite author - Paulo Coelho
Favourite holiday destination - Cuba
New York Times or Jordan Times? NYT is a school and JT was my practice field
Role model - My Grandfather
Dream interviewee - Che Guevara
About Takalam
Date started: early 2020
Founders: Khawla Hammad and Inas Abu Shashieh
Based: Abu Dhabi
Sector: HealthTech and wellness
Number of staff: 4
Funding to date: Bootstrapped
Leading all-time NBA scorers
Kareem Abdul-Jabbar 38,387
Karl Malone 36,928
Kobe Bryant 33,643
Michael Jordan 32,292
LeBron James 31,425
Wilt Chamberlain 31,419
More from Rashmee Roshan Lall
The National selections
Al Ain
5pm: Bolereau
5.30pm: Rich And Famous
6pm: Duc De Faust
6.30pm: Al Thoura
7pm: AF Arrab
7.30pm: Al Jazi
8pm: Futoon
Jebel Ali
1.45pm: AF Kal Noor
2.15pm: Galaxy Road
2.45pm: Dark Thunder
3.15pm: Inverleigh
3.45pm: Bawaasil
4.15pm: Initial
4.45pm: Tafaakhor
Voy!%20Voy!%20Voy!
%3Cp%3E%3Cstrong%3EDirector%3A%3C%2Fstrong%3E%20Omar%20Hilal%3Cbr%3E%3Cstrong%3EStars%3A%3C%2Fstrong%3E%20Muhammad%20Farrag%2C%20Bayoumi%20Fouad%2C%20Nelly%20Karim%3Cbr%3E%3Cstrong%3ERating%3A%3C%2Fstrong%3E%204%2F5%3C%2Fp%3E%0A
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.”
How to help
Call the hotline on 0502955999 or send "thenational" to the following numbers:
2289 - Dh10
2252 - Dh50
6025 - Dh20
6027 - Dh100
6026 - Dh200
Specs
Engine: 51.5kW electric motor
Range: 400km
Power: 134bhp
Torque: 175Nm
Price: From Dh98,800
Available: Now
The specs: 2018 Mitsubishi Eclipse Cross
Price, base / as tested: Dh101,140 / Dh113,800
Engine: Turbocharged 1.5-litre four-cylinder
Power: 148hp @ 5,500rpm
Torque: 250Nm @ 2,000rpm
Transmission: Eight-speed CVT
Fuel consumption, combined: 7.0L / 100km
The Brutalist
Director: Brady Corbet
Stars: Adrien Brody, Felicity Jones, Guy Pearce, Joe Alwyn
Rating: 3.5/5
Anghami
Started: December 2011
Co-founders: Elie Habib, Eddy Maroun
Based: Beirut and Dubai
Sector: Entertainment
Size: 85 employees
Stage: Series C
Investors: MEVP, du, Mobily, MBC, Samena Capital
UAE-based players
Goodlands Riders: Jamshaid Butt, Ali Abid, JD Mahesh, Vibhor Shahi, Faizan Asif, Nadeem Rahim
Rose Hill Warriors: Faraz Sheikh, Ashok Kumar, Thabreez Ali, Janaka Chathuranga, Muzammil Afridi, Ameer Hamza
PROFILE OF INVYGO
Started: 2018
Founders: Eslam Hussein and Pulkit Ganjoo
Based: Dubai
Sector: Transport
Size: 9 employees
Investment: $1,275,000
Investors: Class 5 Global, Equitrust, Gulf Islamic Investments, Kairos K50 and William Zeqiri
Who's who in Yemen conflict
Houthis: Iran-backed rebels who occupy Sanaa and run unrecognised government
Yemeni government: Exiled government in Aden led by eight-member Presidential Leadership Council
Southern Transitional Council: Faction in Yemeni government that seeks autonomy for the south
Habrish 'rebels': Tribal-backed forces feuding with STC over control of oil in government territory
GIANT REVIEW
Starring: Amir El-Masry, Pierce Brosnan
Director: Athale
Rating: 4/5
UAE currency: the story behind the money in your pockets
UAE currency: the story behind the money in your pockets
Coal Black Mornings
Brett Anderson
Little Brown Book Group