Pervez Musharraf is regarded by the US as one of the world's most committed partners in the 'war against terrorism'.
Pervez Musharraf is regarded by the US as one of the world's most committed partners in the 'war against terrorism'.
Pervez Musharraf is regarded by the US as one of the world's most committed partners in the 'war against terrorism'.
Pervez Musharraf is regarded by the US as one of the world's most committed partners in the 'war against terrorism'.

US pledges to support new government


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WASHINGTON // Condoleezza Rice, the US secretary of state, effectively bade farewell yesterday to a critical ally in the US war on terrorism, Pervez Musharraf, and pledged US support to the new government in Pakistan and to bolstering the country's democratic reforms. Ms Rice called Mr Musharraf, who resigned rather than fight impeachment proceedings even though he denied the charges against him, "one of the world's most committed partners in the war against terrorism and extremism" and said he had made the "critical choice" to join the US fight against al Qa'eda and the Taliban. "We will continue to work with the Pakistani government and political leaders and urge them to redouble their focus on Pakistan's future and its most urgent needs, including stemming the growth of extremism, addressing food and energy shortages and improving economic stability," Ms Rice said in a statement. "The United States will help with these efforts to see Pakistan reach its goal of becoming a stable, prosperous, democratic, modern, Muslim nation." Some experts said Mr Musharraf's resignation, even while ushering in a period of uncertainty both in Pakistan and in Washington, provides the United States a new opening to forge stronger and more constructive ties with a strategic partner that despite Ms Rice's rhetoric has not always been the most reliable. "It needs to be seen as an opportunity," said Karin von Hippel, co-director of the Post-Conflict Reconstruction Project at the Washington-based Center for Strategic and International Studies. "We've played a very fundamental role in the transition away from Musharraf to the coalition government," she said, calling it a "quiet, behind the scenes" role. "This is a job we should be doing, and we should have done it the whole time. It's getting back to Diplomacy 101 - or it should be." Gone will be the personal bond between George W Bush and Mr Musharraf. But gone too will be the way that bond seemed at times to serve as a kind of shield against some of Mr Musharraf's shortcomings. Pakistan, which severed relations with the Taliban government in Afghanistan after September 11, arrested hundreds of members of the Taliban and al Qa'eda since then. It deployed troops to the mountainous tribal areas near the Afghan border and provided critical support for US and Nato forces. The United States, in return, delivered billions of dollars of military aid. But critics here have long said Pakistan has not done nearly enough to quash the groups and prevent suicide attacks, and they have questioned Mr Musharraf's allegiance to the US cause. In seeking to keep Mr Musharraf, who seized power in a 1999 coup, as an ally, they say, the United States has been too willing to overlook his deficiencies. Last month, things reached a breaking point of sorts when the United States alleged that Pakistan's Inter-Services Intelligence agency had aided in the planning of an attack against the Indian Embassy in Kabul. By late last week, the Bush administration seemed to be distancing itself from Mr Musharraf, saying Pakistan's leadership was an internal matter. Naeem Salik, a visiting scholar in South Asia studies at the Johns Hopkins' School for Advanced International Studies and a retired brigadier general in the Pakistani army, said there has been some "unease" in Washington in losing the seasoned Mr Musharraf as an ally - if a not altogether reliable one. But the two countries are on the path towards a continued strong alliance, Mr Salik said, even if under new leadership both in Pakistan and in the United States, which will also have a new president come January. Mr Bush and the Pakistani prime minister, Yousaf Raza Gilani, appeared together at the White House to say as much last month. The same day, a Senate panel approved a massive aid package worth US$7 billion (Dh26bn) over the next five years for non-military assistance, receipt of which will be linked to progress in internal reforms. John Kerry, a Massachusetts senator who was the Democratic Party's 2004 nominee for president, called the funding a "down payment" in the fight against radical extremism in Pakistan. Ms Von Hippel, of the Center for Strategic and International Studies, does expect one change in the countries' relationship. She expects that the new government will try to avoid the criticism that was ultimately one of Mr Musharraf's downfalls: that he was too closely aligned with the United States. "I think the new leaders are trying to demonstrate their independence from America," she said, "because they really don't want to be seen as being controlled by America." Recent language from Mr Gilani bears that out. Writing in The Washington Post in April, he pledged that while the elimination of terrorism will be his government's top priority. "Pakistan must fight terrorism for Pakistan's sake." In other words: the war on terrorism must be Islamabad's, not Washington's. Some of that might just be rhetoric. Pakistan knows it needs US assistance, Ms von Hippel said, not just to fight extremism within its borders but also to build its economy and democratic institutions. "They know they need our help to make a lot of that happen," she said. "They'll still work very closely with us." @EMAIL:eniedowski@thenational.ae

F1 drivers' standings

1. Lewis Hamilton, Mercedes 281

2. Sebastian Vettel, Ferrari 247

3. Valtteri Bottas, Mercedes 222

4. Daniel Ricciardo, Red Bull 177

5. Kimi Raikkonen, Ferrari 138

6. Max Verstappen, Red Bull 93

7. Sergio Perez, Force India 86

8. Esteban Ocon, Force India 56

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 Sky is Everywhere'

Director:Josephine Decker

Stars:Grace Kaufman, Pico Alexander, Jacques Colimon

Rating:2/5

TOUCH RULES

Touch is derived from rugby league. Teams consist of up to 14 players with a maximum of six on the field at any time.

Teams can make as many substitutions as they want during the 40 minute matches.

Similar to rugby league, the attacking team has six attempts - or touches - before possession changes over.

A touch is any contact between the player with the ball and a defender, and must be with minimum force.

After a touch the player performs a “roll-ball” - similar to the play-the-ball in league - stepping over or rolling the ball between the feet.

At the roll-ball, the defenders have to retreat a minimum of five metres.

A touchdown is scored when an attacking player places the ball on or over the score-line.

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German intelligence warnings
  • 2002: "Hezbollah supporters feared becoming a target of security services because of the effects of [9/11] ... discussions on Hezbollah policy moved from mosques into smaller circles in private homes." Supporters in Germany: 800
  • 2013: "Financial and logistical support from Germany for Hezbollah in Lebanon supports the armed struggle against Israel ... Hezbollah supporters in Germany hold back from actions that would gain publicity." Supporters in Germany: 950
  • 2023: "It must be reckoned with that Hezbollah will continue to plan terrorist actions outside the Middle East against Israel or Israeli interests." Supporters in Germany: 1,250 

Source: Federal Office for the Protection of the Constitution

GAC GS8 Specs

Engine: 2.0-litre 4cyl turbo

Power: 248hp at 5,200rpm

Torque: 400Nm at 1,750-4,000rpm

Transmission: 8-speed auto

Fuel consumption: 9.1L/100km

On sale: Now

Price: From Dh149,900

The burning issue

The internal combustion engine is facing a watershed moment – major manufacturer Volvo is to stop producing petroleum-powered vehicles by 2021 and countries in Europe, including the UK, have vowed to ban their sale before 2040. The National takes a look at the story of one of the most successful technologies of the last 100 years and how it has impacted life in the UAE. 

Read part four: an affection for classic cars lives on

Read part three: the age of the electric vehicle begins

Read part two: how climate change drove the race for an alternative 

THE LIGHT

Director: Tom Tykwer

Starring: Tala Al Deen, Nicolette Krebitz, Lars Eidinger

Rating: 3/5

The Lowdown

Us

Director: Jordan Peele

Starring: Lupita Nyong'o, Winston Duke, Shahadi Wright Joseqph, Evan Alex and Elisabeth Moss

Rating: 4/5

Iftar programme at the Sheikh Mohammed Centre for Cultural Understanding

Established in 1998, the Sheikh Mohammed Centre for Cultural Understanding was created with a vision to teach residents about the traditions and customs of the UAE. Its motto is ‘open doors, open minds’. All year-round, visitors can sign up for a traditional Emirati breakfast, lunch or dinner meal, as well as a range of walking tours, including ones to sites such as the Jumeirah Mosque or Al Fahidi Historical Neighbourhood.

Every year during Ramadan, an iftar programme is rolled out. This allows guests to break their fast with the centre’s presenters, visit a nearby mosque and observe their guides while they pray. These events last for about two hours and are open to the public, or can be booked for a private event.

Until the end of Ramadan, the iftar events take place from 7pm until 9pm, from Saturday to Thursday. Advanced booking is required.

For more details, email openminds@cultures.ae or visit www.cultures.ae

 

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Disturbing%20facts%20and%20figures
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The%20specs
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NBA Finals so far

(Toronto lead 3-1 in best-of-seven series_

Game 1 Raptors 118 Warriors 109

Game 2 Raptors 104 Warriors 109

Game 3 Warriors 109 Raptors 123

Game 4 Warriors 92 Raptors 105

The specs

Engine: 4 liquid-cooled permanent magnet synchronous electric motors placed at each wheel

Battery: Rimac 120kWh Lithium Nickel Manganese Cobalt Oxide (LiNiMnCoO2) chemistry

Power: 1877bhp

Torque: 2300Nm

Price: Dh7,500,00

On sale: Now