A major thrust is developing in southern Ukraine that has reportedly broken through Russia's main defensive lines. AFP
A major thrust is developing in southern Ukraine that has reportedly broken through Russia's main defensive lines. AFP
A major thrust is developing in southern Ukraine that has reportedly broken through Russia's main defensive lines. AFP
A major thrust is developing in southern Ukraine that has reportedly broken through Russia's main defensive lines. AFP

Ukraine launches armoured thrust to penetrate Russian lines


Thomas Harding
  • English
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Ukraine has launched a “major” armoured offensive that has penetrated Russia’s defences potentially heralding the start of its main offensive, several defences sources have said.

In what the Russian Defence Ministry claimed was a “massive assault”, geolocated footage and Pentagon officials confirmed Ukrainian troops advanced several kilometres around the town of Robotyne on Wednesday.

In a cryptic comment made during his nightly address, President Volodymyr Zelenskyy said “very good results” had been achieved and more would be disclosed later.

Up to three battalions, the equivalent to a brigade, alongside up 100 armoured vehicles, including Leopard 2 tanks and Bradley fighting vehicles, were used in the attack, launched south of the Ukraine-held town of Orikhiv in the Zaporizhzhia region.

Other estimates put the force at 40 armoured vehicles – with more accurate numbers likely to be later confirmed by satellite imagery that can identify heat emissions from tanks.

Kyiv is reportedly using experienced troops from its 10th Corps in the attack, the ultimate aim of which is to penetrate the 90 kilometres to the Sea of Azov, trapping Russian forces in the south-west Kherson region and sealing off Crimea.

Ukrainian artillery troops fire a howitzer towards Russian troops. Reuters
Ukrainian artillery troops fire a howitzer towards Russian troops. Reuters

A difficult issue for Moscow is that its defending troops from the 58th Combined Arms Army have been under constant attack since early last month.

The 58th’s morale has been sapped by the sacking earlier this month of its popular commander Maj Gen Ivan Popov after he complained to Moscow that his men lacked sufficient supplies and artillery cover.

The Institute for the Study of War, which monitors the conflict using open-source intelligence, suggested “Ukrainian forces may have been more successful than assessed by Russian commentators”.

Geolocating data showed the attack had advanced beyond Russian defensive fortifications “indicating that Ukrainian forces managed to penetrate and drive through tactically challenging defensive positions”.

While Moscow claimed the offensive had been largely repelled, Rybar, a pro-war Russian blogger, claimed “fierce battles are going on in this area” and Ukraine had penetrated the line in three places.

A Ukrainian serviceman inspects a destroyed Russian tank in the recently liberated village of Novodarivka in Zaporizhzhia region. Reuters
A Ukrainian serviceman inspects a destroyed Russian tank in the recently liberated village of Novodarivka in Zaporizhzhia region. Reuters

Earlier on Wednesday, western officials said that while progress had been slow, Ukraine was holding back its “second echelon” readying it for the main thrust.

“This is not over yet,” the official said in response to The National’s question on whether a breakthrough was feasible by the end of summer. “There is no reason why the Ukrainians cannot break through that first Russian main defensive line at the rate in which they continue to go.”

But the British Ministry of Defence on Thursday tweeted: “Ukrainian forces continue major offensive operations in Zaporizhzhia Oblast.”

The New York Times quoted two Pentagon officials who said the “main thrust” of the counter-offensive was now under way, with “thousands of reinforcements pouring into the grinding battle” that had been held in reserve.

Given that the Russians appear to have thrown all their forces into the front line, with very little left in reserve, the coming days will reveal whether the rear trenches have sufficient manning.

If not, then it opens up the real possibility that Ukraine could make a push on the town of Tokmak and from there to the key prize of Melitopol.

Taking that city would achieve the primary objective of cutting off Russian forces in the Kherson region but more importantly would seal off the main supply route to Crimea.

This will be a pivotal moment in the campaign that would put severe political pressure on Russian President Vladimir Putin, already weakened by the fallout from the Wagner mercenary mutiny last month.

Crimea is still a popular holiday destination for Russian tourists – who currently have limited places to visit – travelling there by military-used motorways along the Sea of Azov coast, including through Melitopol.

If thousands are trapped in the annexed peninsula, alongside their military compatriots, the Russian propaganda line that the war is going well would be questioned.

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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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Updated: July 27, 2023, 11:22 AM