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UN Secretary General Antonio Guterres on Tuesday called on Sudan’s warring parties to “silence the guns”.
“The fighting must stop immediately … It’s incumbent on Sudanese leaders to put the interests of their people front and centre,” he told the UN Security Council in an emergency meeting.
The North African country was plunged into chaos about two weeks ago when street battles erupted between the military and the paramilitary Rapid Support Forces.
More than 450 people have been killed while 4,000 have been wounded, UN figures show.
Mr Guterres said the power struggle was “lighting a fuse” that could detonate across borders, apart from putting Sudan’s future at risk.
He urged UN member states and regional organisations with “influence” to press the warring parties to de-escalate tension and return to the negotiating table “immediately”.
Volker Perthes, the Secretary General's special representative for Sudan, told council members that the 72-hour ceasefire brokered by the US and Saudi Arabia on Tuesday appeared to be holding in some areas.
However, an unequivocal sign that the Sudanese Armed Forces or the RSF are ready to “seriously negotiate” has yet to be seen, he said.
This suggests “that both think that securing a military victory over the other is possible”, Mr Perthes said.
The special representative warned that this was a miscalculation, as Sudan could become “increasingly fragmented”, leading to a devastating impact on the region.
He accused both sides of having a “disregard for the laws and norms of war”, and committing abuses that “may amount to war crimes or crimes against humanity”.
Al-Harith Idris Al Harith, Sudan's ambassador to the UN, expressed gratitude following international efforts to try to resolve the situation but said his country would find its own way through the crisis.
“We express our appreciation for the efforts of brotherly and friendly countries and regional organisations to help calm the situation,” he said.
“This matter is an internal matter that should be left to the Sudanese to find the required solutions amongst themselves”.
Lana Nusseibeh, the UAE's ambassador to the UN, announced that the Emirates would be contributing $50 million in emergency humanitarian aid for Sudan.
She said evacuation efforts would prioritise “the most vulnerable, including women and children, the sick and the elderly during the evacuations”.
“The UAE will continue providing care and accommodation assistance to the evacuees who come to our country,” she said.
“We also remain actively involved in efforts to de escalate the situation on the ground.”
Linda Thomas-Greenfield, US ambassador to the UN, said there would be “accountability for anyone”, including military political actors, who attempt to undermine or delay Sudan's democratic progress.
“The same is true for anyone who is responsible for violations of international humanitarian law and violations or abuses of human rights,” she said.
Washington's UN envoy also called “direct and indirect fire” on its diplomatic convoy and embassy “reckless and irresponsible”.
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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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Skewed figures
In the village of Mevagissey in southwest England the housing stock has doubled in the last century while the number of residents is half the historic high. The village's Neighbourhood Development Plan states that 26% of homes are holiday retreats. Prices are high, averaging around £300,000, £50,000 more than the Cornish average of £250,000. The local average wage is £15,458.