An activist distributes election leaflets in support of presidential candidate Vladimir Putin on a street in downtown Moscow on March 16, 2018. Yuri Kadobnov / AFP Photo
An activist distributes election leaflets in support of presidential candidate Vladimir Putin on a street in downtown Moscow on March 16, 2018. Yuri Kadobnov / AFP Photo

Putin set for re-election in Russia on Sunday



Russia is on Sunday set to elect President Vladimir Putin to a historic fourth Kremlin term, with pollsters predicting a landslide win despite a lacklustre campaign.

In the run-up to the election, he and a compliant state media have sought to reinforce Mr Putin's image as that of the man who restored stability and national pride after the humiliating collapse of the USSR.

Mr Putin, who has ruled Russia for almost two decades, has also sought to emphasise Russia's role as a world power, recently boasting of its "invincible" new weapons and displaying Moscow's support for the Syrian regime in its civil war.

Re-election would extend Mr Putin's term to 2024. The vote comes as Russia faces increasing isolation over the poisoning of a suspected spy in Britain and a new round of US sanctions over alleged election meddling.

The poisoning of former double agent Sergei Skripal in Britain, which the West has blamed on Russia, has put the country at loggerheads with the rest of the world.

"In America and Europe, they are trying to make us bend over and kneel, but we're still standing," Sergei Babayev, a 55-year-old transport manager, told AFP in central Moscow.

"They promised us a crisis and we stuck it out. That's Putin's main quality – he is at the core of our state."

Mr Putin, who has run under the slogan "a strong president – a strong Russia", has declined to take part in televised debates and produced no new material for his own campaign advertisements. Analysts have put his support at about 70 per cent, ahead of the vote.

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He is standing against seven other candidates, including millionaire communist Pavel Grudinin and former reality TV host Ksenia Sobchak, but none are polling more than 8 per cent.

One of the more memorable moments from the campaign came during a debate when Miss Sobchak threw a glass of water over the ranting ultra-nationalist candidate Vladimir Zhirinovsky, prompting him to call her a "prostitute" and a "mad fool".

Mr Putin's most vocal opponent, the anti-corruption campaigner Alexei Navalny, has been barred from standing for legal reasons and has called on followers to boycott the election, which he claims is a sham.

Authorities, however, are seeking a high turnout to add greater legitimacy to a new term for Mr Putin, who is already Russia's second-longest serving leader since Joseph Stalin.

"These are not quite the elections we see in western countries," Stepan Goncharov of the independent Levada Center pollster said.

"People are put in a situation where they have no one to choose from," he said.

"If they want to express their disapproval, then they don't turn out. They think of it as a vote of confidence [in Mr Putin]."

There has been a particular focus on the youth vote, with prizes offered for the best selfies taken at polling stations and a sexually charged online campaign that brands the election as "for adults only".

Meanwhile, students in several cities have been warned they may face problems in examinations or even expulsion if they do not turn out to vote, according to liberal newspaper Novaya Gazeta.

Heads of schools and state enterprises have put pressure on their employees to vote, as in previous elections, in some cases telling workers they should bring in a list of names of friends or relatives who were also going to the polls.

Early voting has already taken place in some remote areas, where local election commissions bring ballot boxes by helicopter and snowmobile.

Polls open in Russia's far east at 2000 GMT on Saturday and close in Kaliningrad, the country's exclave in Europe, at 1800 GMT on Sunday. Overall turnout is expected to be between 63 and 67 per cent, according to official pollsters.

The run-up to Russia's last presidential election in 2012 was marked by protests across the country against Mr Putin's return as head of state after four years as prime minister.

But those demonstrations were quashed. Oonce he was back in the Kremlin a clampdown followed with activists arrested, the Pussy Riot rock band jailed and draconian new laws criminalising popular protest passed.

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.”

COMPANY PROFILE
Name: Kumulus Water
 
Started: 2021
 
Founders: Iheb Triki and Mohamed Ali Abid
 
Based: Tunisia 
 
Sector: Water technology 
 
Number of staff: 22 
 
Investment raised: $4 million