A nurse prepares to administer Pfizer-BioNTech Covid-19 vaccine at a hospital in Krakow, southern Poland.
A nurse prepares to administer Pfizer-BioNTech Covid-19 vaccine at a hospital in Krakow, southern Poland.
A nurse prepares to administer Pfizer-BioNTech Covid-19 vaccine at a hospital in Krakow, southern Poland.
A nurse prepares to administer Pfizer-BioNTech Covid-19 vaccine at a hospital in Krakow, southern Poland.

Pfizer and BioNTech vow to limit vaccine delays after Europe backlash


Nicky Harley
  • English
  • Arabic

Pfizer and BioNTech said on Saturday they will limit the delays of their vaccine deliveries to just one week, after fears in Europe that shipments of the jabs could be slowed for up to a month.

The US drugmaker and its German partner "have developed a plan that will allow the scale-up of manufacturing capacities in Europe and deliver significantly more doses in the second quarter," they said in a joint statement.

"As a result, our facility in Puurs, Belgium will experience a temporary reduction in the number of doses delivered in the coming week.

"To accomplish this, certain modifications of production processes are required now."

Pfizer and BioNTech pledged that deliveries would be back to the original schedule to the European Union from the week of January 25, with increased delivery from the week of February 15.

It comes after six nations called the situation "unacceptable" and warned it "decreases the credibility of the vaccination process".

Sweden, Denmark, Finland, Lithuania, Latvia and Estonia have urged the EU to apply pressure on the firms.

Pfizer had said on Friday it would delay shipments of the jabs over the next three to four weeks due to works at its key plant in Belgium.

It said the modifications at the Puurs factory were necessary in order to ramp up its production capacity from mid-February.

In hard-hit Europe, the statement raised concerns that the delays could further slow a vaccine roll-out that has already faced heavy criticism.

Six EU health ministers signed a letter to the European Commission on Friday to express "severe concern" over the delivery delays.

The Pfizer-BioNTech vaccine, which was developed at record-breaking speed, became the first to be approved for general use by a Western country on December 2 when Britain gave it the go-ahead.

The company has said its production upgrades would have a "short-term impact" on the delivery of vaccines to the UK.

However, the UK government said it still planned to hit its target of vaccinating all priority groups by mid-February.

EU Commission President Ursula von der Leyen said Pfizer's chief executive has assured her that all orders guaranteed for delivery in the first quarter of the year would arrive.

Pfizer is due to supply the EU with 600 million doses.

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UAE currency: the story behind the money in your pockets
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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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