Britain retains relevance as a strategic partner for African and Indo-Pacific countries that will now come under greater threat of extremist violence from terrorist groups emboldened by the Taliban’s rise to power in Afghanistan, the UK defence secretary has warned.
Ben Wallace said the UK military's capability to conduct counter-terrorism operations far beyond its borders following its significant investment in drones would be called on in future.
During a high-powered Policy Exchange think tank debate, Mr Wallace was backed by former Australian foreign minister Alexander Downer, who suggested that Britain was “back as a major power” on the world stage.
The immediate result of the Taliban victory in Afghanistan was a raised terrorist threat, said Mr Wallace, a former soldier. “The ripples from Afghanistan will be felt by Al Shabab in Somalia and of course Al Shabab pose a threat to British interests in Kenya and our friends in Kenya. The ripples of another superpower being portrayed as defeated by Islamic terrorism will be felt across the world.”
Following heavy reliance on Uzbekistan and Pakistan during the August evacuation of Afghanistan, he admitted that Britain had neglected forming closer ties with “others we haven't always in the past paid a great deal of attention to”.
Afghanistan also demonstrated that “some of our international relations are not as good and we need to invest in those,” he told the Conservative Party conference fringe event. “I think for many decades people have taken for granted the comfort they live in.”
With growing “Great Power” rivalry, particularly with China’s ascendancy, it is now more important than ever for the West to unite “because alliances matter”, he said.
“What do our adversaries not have? What do China and Russia not have? Friends.” Then in reference to the Kremlin’s alliances with the Belarus regime, Mr Wallace said: “If you define your friend as Belarus then you are in a pretty lonely place.”
Two UK diplomats travelled to Afghanistan on Monday to hold direct talks with the Taliban, including on preventing a resurgent terror threat from the country.
The two diplomats were Sir Simon Gass, a special envoy for Afghanistan, and Martin Longden, the UK's top emissary to the Taliban's Doha office.
As well as the terror threat, they discussed the treatment of women and girls and safe passage for people seeking to flee Afghanistan, the UK government said.
It marks the first time the UK has sent officials to the country to hold talks with the Taliban leaders since the mass evacuation of Kabul in August.
Mr Wallace suggested that following the Taliban's power grab in Afghanistan the West would be confronted by emboldened foes.
“We have values that matter and it's definitely time that we stand up for those values, because the one thing that we are going to be tested on is our resolve.”
The problem in Afghanistan will “live with us for a long time” but Britain would be robust in dealing with terrorism, he said, referring to drone strikes.
“We have capabilities now that can allow us to reach from outside-in to take whatever action we have to in accordance with international law to protect ourselves. It's never as good as being on the ground alongside partners, but we have those capabilities and we will use them as necessary.”
He was joined by Mr Downer, a long-serving Australian foreign minister, who argued that the new Aukus agreement between his country, the UK and US meant that Britain was reconnecting with the world.
“The UK is a leading country with fundamental liberal democratic values and this world would be a more stable place if those values prevail,” he said. “The signs are there that the UK is back as a major player, and the UK is making a contribution … and it's been very exciting to see this transformation of British foreign and security policy.”
Alicia Kearns, an MP on the UK Parliament's Foreign Affairs Committee, argued that a key lesson from the Afghanistan debacle was the need for Western resilience.
“We cannot run away from enduring conflicts, from forever wars we don't want,” she said. “Remaining strong and steadfast behind our allies is a sign of confidence and guts. It is not a weakness, it is not a failure, it's a recognition that stability takes time and you have to build from the ground up.”
Former Canadian prime minister Stephen Harper said that America’s decision to withdraw from Afghanistan was a “return to isolationism”.
“It's the United States moving away from what has been considered its global leadership role and this, in my judgment, is as true under Joe Biden as it was under Donald Trump,” Mr Harper told the event, titled The UK’s Integrated Review in the Wake of Afghanistan.
The National's picks
4.35pm: Tilal Al Khalediah
5.10pm: Continous
5.45pm: Raging Torrent
6.20pm: West Acre
7pm: Flood Zone
7.40pm: Straight No Chaser
8.15pm: Romantic Warrior
8.50pm: Calandogan
9.30pm: Forever Young
Labour dispute
The insured employee may still file an ILOE claim even if a labour dispute is ongoing post termination, but the insurer may suspend or reject payment, until the courts resolve the dispute, especially if the reason for termination is contested. The outcome of the labour court proceedings can directly affect eligibility.
- Abdullah Ishnaneh, Partner, BSA Law
INFO
Everton 0
Arsenal 0
Man of the Match: Djibril Sidibe (Everton)
Men's football draw
Group A: UAE, Spain, South Africa, Jamaica
Group B: Bangladesh, Serbia, Korea
Group C: Bharat, Denmark, Kenya, USA
Group D: Oman, Austria, Rwanda
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
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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The biog
Prefers vegetables and fish to meat and would choose salad over pizza
Walks daily as part of regular exercise routine
France is her favourite country to visit
Has written books and manuals on women’s education, first aid and health for the family
Family: Husband, three sons and a daughter
Fathiya Nadhari's instructions to her children was to give back to the country
The children worked as young volunteers in social, education and health campaigns
Her motto is to never stop working for the country
Desert Warrior
Starring: Anthony Mackie, Aiysha Hart, Ben Kingsley
Director: Rupert Wyatt
Rating: 3/5
UAE currency: the story behind the money in your pockets
The bio
Favourite book: Peter Rabbit. I used to read it to my three children and still read it myself. If I am feeling down it brings back good memories.
Best thing about your job: Getting to help people. My mum always told me never to pass up an opportunity to do a good deed.
Best part of life in the UAE: The weather. The constant sunshine is amazing and there is always something to do, you have so many options when it comes to how to spend your day.
Favourite holiday destination: Malaysia. I went there for my honeymoon and ended up volunteering to teach local children for a few hours each day. It is such a special place and I plan to retire there one day.