Live updates: Follow the latest news on Israel-Gaza
The establishment of a Palestinian state is the best way to ensure Israel's security, EU foreign policy chief Josep Borrell said on Monday.
After touring the Middle East for talks on Israel's war with Hamas, Mr Borrell held a video meeting with foreign ministers from the EU's 27 countries.
Mr Borrell said that he had drawn “a fundamental political conclusion” from his discussions across the region.
“I think that the best guarantee for Israel's security is the creation of a Palestinian state,” he said in a written summary of the EU meeting.
Mr Borrell has insisted Israel should not occupy Gaza after the current conflict ends and that control of the territory should be handed over to the Palestinian Authority.
“Despite the huge challenges, we have to advance our reflections on the stabilisation of Gaza and the future Palestinian state,” he said.
Latest from Israel-Gaza conflict – in pictures
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Smoke ammunition fired by Israeli troops near the border with the Gaza Strip, in southern Israel. AFP -

Israeli soldiers react during the funeral of Capt Liron Snir at the Mount Herzl military cemetery, Jerusalem. Reuters -

Egyptian paramedics transport a Palestinian child arriving from Gaza to an ambulance at the Rafah border crossing. AFP -

An Israeli tank appears through a soldier's night vision scope near the Gaza Strip in southern Israel. Getty Images -

A Palestinian mother holds her newborn in a maternity hospital in Rafah, after he was evacuated from Al Shifa Hospital in Gaza city. Reuters -

Israeli artillery train its guns towards the Gaza Strip in Southern Israel. Getty Images -

A family watch news updates on the Israeli hostages and Palestinian prisoners swap deal, near Hebron in the Israeli-occupied West Bank. Reuters -

People demonstrate outside the Kyria defence complex as the political cabinet hold a meeting in Tel Aviv, Israel. Getty Images -

A wounded Palestinian child is carried into Nasser Hospital following an Israeli bombardment on Khan Younis refugee camp, southern Gaza Strip. AP -

An Israeli soldier takes position behind a wall in Gaza, as Israel's war against Hamas continues. Reuters -

Palestinians mourn their relatives killed in the Israeli bombardment of the Gaza Strip, at a hospital in Khan Younis. AP -

People receive bags of flour at a distribution centre of the UN agency for Palestinian refugees (UNRWA), in the Rafah refugee camp. AFP -

Israel's military transports Palestinian detainees from the Gaza Strip, near Israel's border with Gaza, in southern Israel. Reuters -

Palestinians amongst the rubble of a building destroyed by an Israeli air strike in Khan Younis, Gaza. Bloomberg -

Thomas Hand, father of Emily Hand, during a press conference by family members of hostages in Gaza, at the Israeli embassy, London. Getty Images -

A man consoles a young Palestinian girl at Nasser Medical Hospital, Khan Yunis, Gaza. Getty Images -

A mother covers her daughter as a siren signals incoming rockets launched from the Gaza Strip towards Israel, in Tel Aviv. Reuters -

Palestinian medics care for babies evacuated from Al Shifa Hospital to the Emirates Hospital in Rafah in the southern Gaza Strip. AFP -

A child collects firewood in a camp provided by the UN for displaced Palestinians who lost their homes in Israeli raids, in Khan Yunis. EPA -

Personal items recovered from the Supernova music festival on display for family and relatives to collect in Caesarea, Israel. Getty Images -

Palestinians flee the Zeitoun district, southern Gaza Strip, as battles between Israel and Hamas continue. AFP -

Thousands gathered at the State Library for the weekly protest in support of Palestinians in Melbourne, Australia. Paul Stafford / The National -

Palestinian rescuers evacuate an injured woman following an Israeli air strike in Khan Younis refugee camp. AP -

A rally to call for a ceasefire held at Dorchester Square in Montreal, Quebec, Canada. AFP -

Palestinians flee to the southern Gaza Strip along Salah al-Din Street, during the ongoing Israeli bombardment. AP -

Palestinians check taxis that were hit by the Israeli military along Salah al-Din Street, on the outskirts of Gaza city. AP -

Thousands of Palestinians flee to the southern Gaza Strip along Salah al-Din Street. AP -

Israeli soldiers in the Gaza Strip amid the continuing ground operation against Hamas. Reuters -

Palestinians search for survivors in the rubble of a building following Israeli bombardment in Khan Yunis. AFP -

Palestinians injured in air strikes arrive at Nasser Medical Hospital in Khan Younis, Gaza. Getty Images -

Palestinians collect books from the rubble of a cultural centre following an Israeli strike in Rafah. AFP -

Notices dropped by the Israeli military over Rafah in the southern Gaza Strip calling for those remaining to leave the area. AFP -
A man walks among debris at the site of an Israeli strike in Khan Younis, amid the ongoing conflict between Israel and Hamas. Reuters -

Israeli flags on the top of destroyed buildings in the Gaza Strip. AP -

Palestinians line to collect water in Rafah on Saturday, November 18. AP
In the short term, Mr Borrell said after visiting a string of Arab states, there was a “sense of urgency” over the desperate humanitarian situation in Gaza.
“The UN Security Council resolution calling for immediate humanitarian pauses is a big step forward, but we must ensure its rapid implementation,” the EU official said.
Another major fear was the possibility of the conflict further inflaming volatile situation in the West Bank and dragging in other actors in the Middle East.
“In light of increased extremists and settlers' violence against Palestinians there is a real risk that the situation could escalate,” Mr Borrell said.
“Reports of a ship hijacked by the Houthis are another worrying signal of a risk of the regional spill over.”
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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.
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“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.”
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