US hails progress at Negev Forum meeting amid talk of possible expansion


Joyce Karam
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A senior US official has hailed the progress made at the Negev Forum Steering Committee meeting held this week in Manama, Bahrain, and expressed hope that it could lead to a “regional framework”.

Representatives from the US, Israel, the UAE, Bahrain, Morocco and Egypt met on Monday in Manama to discuss the next steps for the forum after the first Negev Summit was held in March.

The aim of the Negev Forum is to forge stronger ties between Israel and the Arab states it has signed peace agreements with.

The Manama meeting “took some important steps forward towards building ... what we hope will be a new regional framework, one of co-operation and integration that's built on shared interest and addressing shared challenges”, the senior US official said in a briefing with reporters on Tuesday.

The official described the discussions as “really positive”, “very, very constructive” and in line with President Joe Biden’s coming Middle East visit.

“It fits in very much with what is going to be a focus of the president's trip in just a few weeks [to Israel and Saudi Arabia], which is regional co-operation and integration.”

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Through its six working groups — clean energy, education and coexistence, food and water security, health, regional security, and tourism — the forum is aiming to provide US advice and assistance to address recent challenges including the war in Ukraine, climate change and various security threats.

The final statement from Manama made four mentions of the Palestinian-Israeli conflict, stressing the need for a two-state solution and laying the groundwork for “initiatives that strengthen the Palestinian economy and improve the quality of life of Palestinians”.

“Our efforts to deepen normalisation agreements and enhance regional co-operation are not a substitute for progress between Israelis and Palestinians or for progress towards a two-state solution,” the official said.

Experts saw the Manama meeting as another successful benchmark for the Abraham Accords and said the forum could expand to include countries such as Jordan or Sudan in the future.

Daniel Shapiro, a distinguished fellow at the Atlantic Council and former US ambassador to Israel, said the Negev Forum is in line with Washington’s interest in developing a coalition of like-minded partners on critical issues.

“Together [the members] tend to their own security and development needs with the US as a key partner, but not always having to lead the effort,” Mr Shapiro, who until recently served in the State Department, told The National.

He said such co-operation offers the US a “sustainable engagement and presence in the Middle East by being a partner to regional players who are leading their own initiatives”.

Mr Shapiro saw Jordan, which signed a peace deal with Israel in 1994, as a natural future member of the forum or at least a participant in future gatherings.

“I understand that the Jordanians do see themselves as a likely future participant in these meetings,” he said.

As for the Palestinians, with the absence of any traction on the peace talks as Israel heads into another election, Mr Shapiro said the Negev Forum can offer support to the Palestinian Authority.

“The one potential source of positive energy for the Israeli-Palestinian file is, in fact, the Abraham Accords,” he said. “By inviting and encouraging the participation of Palestinians in those initiatives, it contributes to regional progress.”

Mr Biden will visit Bethlehem and meet Palestinian President Mahmoud Abbas on July 14.

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Robert Satloff, executive director of the Washington Institute for Near East Policy, saw the Negev Forum framework as historic.

“I am old enough to remember the regional component of the original Middle East peace process, after the Oslo Accords [in 1993] when the Casablanca conference was held on economics and water and regional security, and that fell apart,” he said.

With its second meeting concluding in Manama, Mr Satloff told The National that the Negev forum offers “a more practical, hopeful and sustainable basis for regional integration that we shouldn't take for granted”.

The expert saw US participation and chaperoning the meetings as an opportunity for Washington to “inject a positive regional identity in the Middle East”.

“It's not just a guy sitting out in the middle of the desert blocking Iranians and killing ISIS commanders. This is a positive American advanced agenda on all these important issues,” Mr Satloff added.

He saw Jordan as a natural potential member for the forum given its interests and co-operation with the group's members, but said that Amman has to take into account its relations with the Palestinian Authority before formally entering into such a framework.

Another forum steering committee meeting is expected to be held in Israel in a few months, followed by a ministerial gathering, the State Department said.

French business

France has organised a delegation of leading businesses to travel to Syria. The group was led by French shipping giant CMA CGM, which struck a 30-year contract in May with the Syrian government to develop and run Latakia port. Also present were water and waste management company Suez, defence multinational Thales, and Ellipse Group, which is currently looking into rehabilitating Syrian hospitals.

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Stars: Ajay Devgn, Kareena Kapoor Khan, Ranveer Singh, Akshay Kumar, Tiger Shroff, Deepika Padukone

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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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The drill

Recharge as needed, says Mat Dryden: “We try to make it a rule that every two to three months, even if it’s for four days, we get away, get some time together, recharge, refresh.” The couple take an hour a day to check into their businesses and that’s it.

Stick to the schedule, says Mike Addo: “We have an entire wall known as ‘The Lab,’ covered with colour-coded Post-it notes dedicated to our joint weekly planner, content board, marketing strategy, trends, ideas and upcoming meetings.”

Be a team, suggests Addo: “When training together, you have to trust in each other’s abilities. Otherwise working out together very quickly becomes one person training the other.”

Pull your weight, says Thuymi Do: “To do what we do, there definitely can be no lazy member of the team.” 

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Cast: Sunny Singh, Maanvi Gagroo, Grusha Kapoor, Saurabh Shukla

Rating: 3.5 /5 stars

Updated: June 29, 2022, 6:31 PM