JERUSALEM // The British parliament’s vote to recognise a Palestinian state reflects shifting public sentiment against Israel in the UK and around the world, Britain’s ambassador to Israel said on Tuesday.
British legislators on Monday voted 274-12 in support of a motion calling on the government to “recognise the state of Palestine alongside the state of Israel”.
Nabil Abu Rudineh, spokesman for Palestinian president Mahmoud Abbas, said the British vote was “a step in the right direction” and that “the two-state solution is the solution of the international community”.
While the parliament’s vote will not change British government policy, it is “significant” because it reveals attitudes toward Israel after the latest war in Gaza, said Ambassador Matthew Gould.
Mr Gould told Israel Radio that although it was only symbolic, Israel should take note of the vote.
“I think it is right to be concerned about what it signifies in terms of the direction of public opinion,” Mr Gould said.
The 50-day violence ended with a truce but killed more than 2,100 Palestinians, most of them civilians, according to the United Nations. On the Israeli side, 72 people died, most of them soldiers.
The British House of Commons’ vote Monday came nearly 100 years after Britain issued its famous Balfour Declaration in 1917, which affirmed its support for establishing a home for the Jewish people in Palestine. Israel was founded in 1948.
Israel’s recent settlement activity such as the move to approve more Jewish housing in east Jerusalem has “a very corrosive effect on international opinion”, the British envoy said.
Israel’s foreign ministry said the vote in Britain undermines chances for peace because Palestinian statehood should come about only as a result of negotiations with Israel.
“Premature international recognition sends a troubling message to the Palestinian leadership that they can evade the tough choices that both sides have to make,” the ministry said.
Prime minister David Cameron and other government leaders abstained, and more than half of the 650 House of Commons members did not participate in the vote. But the motion had support from both government and opposition MPs, who said it could help revive the stalled peace process.
In 2012, the UN General Assembly voted to recognise a state of Palestine on territories captured by Israel in 1967. The United States and many European countries have not followed suit.
But earlier this month, Sweden’s new prime minister Stefan Lofven said his government would recognise the state of Palestine, an announcement that drew praise from Palestinian officials and criticism from Israel.
In a further symbol of international support for the Palestinians, UN chief Ban Ki-moon arrived in the Gaza Strip on Tuesday and was scheduled to participate in a meeting of the new Palestinian government.
Mr Ban was driven through the ruins of Gaza City’s Shujaieh neighbourhood and the Jabaliya refugee camp – the scenes of some of the heaviest Israeli shelling in this summer’s conflict.
He said the devastation he saw was far worse than that caused in the previous Israel-Gaza conflict of winter 2008-2009.
“The destruction which I have seen while coming to here is beyond description. This is a much more serious destruction than what I saw in 2009,” Mr Ban said.
“I’d like to take this opportunity to express my deepest condolences to people who lost their lives and also to families who lost their loved ones.”
Israel has denounced the Palestinian government because it is backed by the militant group Hamas, but Western governments have signalled a willingness to work with it.
* Associated Press, with additional reporting from Agence France-Presse
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Killing of Qassem Suleimani
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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.”
Killing of Qassem Suleimani
The National Archives, Abu Dhabi
Founded over 50 years ago, the National Archives collects valuable historical material relating to the UAE, and is the oldest and richest archive relating to the Arabian Gulf.
Much of the material can be viewed on line at the Arabian Gulf Digital Archive - https://www.agda.ae/en
UAE currency: the story behind the money in your pockets
Killing of Qassem Suleimani
Formula Middle East Calendar (Formula Regional and Formula 4)
Round 1: January 17-19, Yas Marina Circuit – Abu Dhabi
Round 2: January 22-23, Yas Marina Circuit – Abu Dhabi
Round 3: February 7-9, Dubai Autodrome – Dubai
Round 4: February 14-16, Yas Marina Circuit – Abu Dhabi
Round 5: February 25-27, Jeddah Corniche Circuit – Saudi Arabia