Healthy plans for immigration policy



Migrant labour is at the heart of the UAE's economic development. From the oil sector to childcare, it really matters who comes into this country and on what terms. This simple fact moves immigration policy and practice high up the list of priorities for national policymakers.

The latest regulations that will be implemented on October 1 will require would-be immigrants to take certain medical tests in their countries of origin before they are cleared to come here. It's a necessary step and a sensible one, but it will need some extra effort to avoid new problems.

Indonesians and Sri Lankans will have to be cleared of some communicable diseases, cancer and kidney failure, among other conditions; eight more Asian and African countries will be added later.

Behind the move is an alarming trend: in Dubai alone, 722 visa applicants tested positive for tuberculosis last year, up from 122 in 2008. There is no sense in letting people with such ailments come here. At best they are sent home; at worst they unknowingly infect others before they leave. In a country with a relatively transient population, public health concerns about communicable diseases should be a top priority.

It is no surprise, then, that embassies in the UAE have welcomed the change in policy, which should reduce their workload, simplify the lives of people who fail the medical tests and assure the people of the UAE that those who do arrive are not a danger to public health.

But the requirement may create new problems if poorly implemented.

First comes cost. Current medical tests in the UAE are normally paid for by the newcomer's employer; expecting workers to pay the cost would amount to a daunting new exit tax in their homelands.

Second is efficiency. The paperwork burden on immigrants, already considerable, should be increased as little as possible.

But there is also an opportunity in this new procedure. As it is being introduced, authorities could consider shouldering aside unscrupulous recruitment agencies that take advantage of would-be immigrants. Too many people, promised good jobs at adequate wages, find themselves making far less in poor conditions.

The UAE's increased "upstream" presence in the immigration process can help to ensure a healthier deal for everybody involved.

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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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Stars: Jaideep Ahlawat, Ishwak Singh, Lc Sekhose, Merenla Imsong

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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
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1,000 tonnes of waste collected daily:

  • 800 tonnes converted into alternative fuel
  • 150 tonnes to landfill
  • 50 tonnes sold as scrap metal

800 tonnes of RDF replaces 500 tonnes of coal

Two conveyor lines treat more than 350,000 tonnes of waste per year

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Investing success often hinges on discipline and perspective. As markets fluctuate, remember these guiding principles:
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Engine: 6.2-litre V8

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Torque: 623Nm

Transmission: 10-speed automatic

Price: From Dh330,800 (Elevation: Dh236,400; AT4: Dh286,800; Denali: Dh345,800)

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Fixtures

Sunday, December 8, Sharjah Cricket Stadium – UAE v USA

Monday, December 9, Sharjah Cricket Stadium – USA v Scotland

Wednesday, December 11, Sharjah Cricket Stadium – UAE v Scotland

Thursday, December 12, ICC Academy, Dubai – UAE v USA

Saturday, December 14, ICC Academy, Dubai – USA v Scotland

Sunday, December 15, ICC Academy, Dubai – UAE v Scotland

Note: All matches start at 10am, admission is free

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How to protect yourself when air quality drops

Install an air filter in your home.

Close your windows and turn on the AC.

Shower or bath after being outside.

Wear a face mask.

Stay indoors when conditions are particularly poor.

If driving, turn your engine off when stationary.

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