An agreement between world powers and Iran to restore the 2015 nuclear deal is expected within days, US officials and experts say, barring any last-minute miscalculations from either side.
“We can and should reach an understanding on a mutual return to full implementation of the JCPOA in the coming days,” a US State Department official told The National, referring to the deal's official name of Joint Comprehensive Plan of Action.
An agreement, or an agreement in principle, would cap 11 months of negotiations that President Joe Biden's administration pursued indirectly with Iran, in a bid to revive the major deal that former president Donald Trump withdrew from in 2018.
The US official stressed the urgency of reaching an agreement, saying that the pace of Iran’s nuclear advances leaves “very little time” before Tehran reaches “breakout” capability to build a nuclear weapon.
US officials have put that time window at matter of “weeks” and not months.
Washington has also intensified regional diplomacy in anticipation of a deal.
The White House co-ordinator for the Middle East and North Africa, Brett McGurk, recently returned from a trip to the Gulf in which he discussed Iran with regional leaders.
US Secretary of State Antony Blinken has held calls with his Qatari, Turkish, Emirati and Saudi counterparts in the last two weeks and is planning a trip to the region following an agreement, The National confirmed.
An important hurdle was cleared this week as Russia stepped back from its opposition, following US guarantees that Moscow's nuclear projects with Iran will not be subject to sanctions imposed after its invasion of Ukraine.
“We would of course not sanction Russian participation in nuclear projects that are part of resuming full implementation of the JCPOA,” State Department spokesman Ned Price said.
Russia was one of the original signatories to the Iran deal, along with the US, UK, France, China and Germany.
In another sign of progress, Tehran on Wednesday freed two British Iranians from years of detention after the UK government confirmed it had paid a long-standing debt over a cancelled defence contract.
At least five US citizens remain detained in Iran and the US official called for their immediate release.
“Securing their release is one of our utmost priorities. We call upon Iran to make urgent progress towards the release of wrongfully detained US citizens,” the State Department official said.
Ali Vaez, director of the Iran programme at the International Crisis Group, said negotiations are at a critical juncture, with several important issues still needing to be finalised.
“Each side is hoping that the other would blink on the remaining issues,” Mr Vaez, who travelled to Vienna in recent months to follow the talks, told The National.
The outstanding issues relate to the scope of sanctions relief and economic guarantees.
Mr Vaez predicted a deal would be done, saying it was “too big to fail”, but said that “both sides are also prone to miscalculation at the 11th hour".
Analyst Henry Rome of the Eurasia group said the remaining issues are unlikely to be deal-breakers.
“The remaining disputes are between Washington and Tehran and pertain mostly to sanctions-related issues, such as the final decision regarding whether the Islamic Revolutionary Guard Corps remains on the Foreign Terrorist Organisation list. But these are unlikely to prove insurmountable,” Mr Rome wrote.
“Both the US and Iran want a deal,” he added, putting the chances of reaching an agreement at 80 per cent.
Any agreement, however, would face criticism from Congress.
A bipartisan group of 21 House members, including 11 Democrats, sent a letter to Mr Biden voicing concerns about a potential deal.
“Without adequately addressing Iran’s role as the world’s leading state sponsor of terror — which was noticeably absent from the 2015 JCPOA — and simultaneously providing billions of dollars in sanctions relief, the United States would be providing a clear path for Iranian proxies to continue fuelling terrorism,” the letter said.
How Voiss turns words to speech
The device has a screen reader or software that monitors what happens on the screen
The screen reader sends the text to the speech synthesiser
This converts to audio whatever it receives from screen reader, so the person can hear what is happening on the screen
A VOISS computer costs between $200 and $250 depending on memory card capacity that ranges from 32GB to 128GB
The speech synthesisers VOISS develops are free
Subsequent computer versions will include improvements such as wireless keyboards
Arabic voice in affordable talking computer to be added next year to English, Portuguese, and Spanish synthesiser
Partnerships planned during Expo 2020 Dubai to add more languages
At least 2.2 billion people globally have a vision impairment or blindness
More than 90 per cent live in developing countries
The Long-term aim of VOISS to reach the technology to people in poor countries with workshops that teach them to build their own device
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.”
Honeymoonish
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WORLD CUP SEMI-FINALS
England v New Zealand (Saturday, 12pm)
Wales v South Africa (Sunday, 1pm)