Benjamin Netanyahu, the hawkish Likud leader, was tipped yesterday to become Israel's prime minister after Tzipi Livni, his rival, refused to join a right wing coalition, sparking concern about efforts to mediate a long-term truce between Hamas and Israel.
Shimon Peres, the president, asked Mr Netanyahu to form the new government following talks with the two rivals who fought a closely contested general election last month, in which Ms Livni's Kadima party edged out Likud by 28 seats in the Israeli parliament to 27.
The choice of Mr Netanyahu, however, had been widely expected after Avigdor Lieberman, who heads the hardline Yisrael Beiteinu party and has suggested revoking the citizenship of Israel's 1.2 million Arabs, on Thursday gave his backing to the Likud leader.
Mr Netanyahu's victory comes amid continuing violence in and around the Gaza Strip, with Palestinian militants and Israeli troops exchanging fire across Gaza's borders.
The Likud leader is known for his hardline attitude towards the Palestinian situation. He has called for Hamas to be removed from the coastal strip and said that Israel was too quick to halt its 22-day war in Gaza, in which 1,300 Palestinians were killed. Sporadic violence has continued since Israel ended its military assault on the beleaguered territory on Jan 18.
Egyptian mediators have since come close to arranging an 18-month ceasefire between Hamas and Israel, but their efforts have been blocked by intransigence over the Israeli soldier Gilad Shalit, who has been held in Gaza since June 2006.
Israel insists he must be freed before it agrees to lift a two-year blockade on Gaza, while Hamas says it wants to free Sgt Shalit as part of a separate prisoner exchange.
Ms Livni, the outgoing foreign minister, emerged from talks with Mr Peres saying she would have nothing to do with a right wing government.
"I will not be a pawn in a government that would be against our ideals," she said. "We need a government based on a two-state solution."
Still, some analysts did not expect Mr Netanyahu's appointment to change much on the ground, as because of his hardline politics, he would be scrutinised by the US administration much more than Ms Livni's Kadima party.
"It's not going to change much. Netanyahu is just the other side of the same coin of Kadima," said Jamil Rabah, the director of the Ramallah-based research group Near East Consulting.
"It's even possible that there could be change for good. Netanyahu is clear about what he wants, which makes him more susceptible to pressure from the Obama administration, whereas Livni and Kadima are perceived as being peace-lovers and can therefore act without accountability in the US.
"There will be many more watchful eyes on Netanyahu, who will also be forced to show goodwill and willingness to be positive if he is in a coalition with Lieberman, to balance him out. That is the irony of politics."
Mr Netanyahu has said that despite Ms Livni's objections, he still hopes to encourage her to join him in a broad coalition.
Some observers have dismissed her refusal to join such a coalition as posturing ahead of a period of intense behind-the-scenes bargaining.
Ms Livni has said she will not join a government unless she can be an equal partner, possibly through the sort of "rotation" agreement Israel has tried in the past in which an election's top two winners each get to be prime minister for half of the government's four-year term. Mr Netanyahu, however, has ruled out any such arrangement.
With Ms Livni out, Mr Netanyahu may have little choice but to forge a coalition with nationalist and religious parties opposed to peacemaking with the Palestinians and Israel's other Arab neighbours, which could set Israel on a collision course with the US, its top international patron, and its new president, who has vowed to make Middle East peace a top priority.
Such a coalition would include Mr Lieberman, whose Yisrael Beiteinu party finished in third place, effectively making an electoral kingmaker out of the Moldova-born former nightclub bouncer, whose campaign to require Israeli Arabs to swear allegiance to the Jewish state or lose their citizenship exposed him to charges of racism.
But while Mr Lieberman announced his support for Mr Netanyahu on Thursday, he also said he preferred a national unity government that included Ms Livni over a narrow hardline right wing coalition. "We need a wide government with the three big parties, Likud, Kadima and Yisrael Beiteinu," Mr Lieberman said. "Netanyahu will lead the government but it will be a government of Netanyahu and Livni together."
tspender@thenational.ae
* With additional reporting by agencies
A State of Passion
Directors: Carol Mansour and Muna Khalidi
Stars: Dr Ghassan Abu-Sittah
Rating: 4/5
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.”
Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
- Premier League-standard football pitch
- 400m Olympic running track
- NBA-spec basketball court with auditorium
- 600-seat auditorium
- Spaces for historical and cultural exploration
- An elevated football field that doubles as a helipad
- Specialist robotics and science laboratories
- AR and VR-enabled learning centres
- Disruption Lab and Research Centre for developing entrepreneurial skills
The bio
Who inspires you?
I am in awe of the remarkable women in the Arab region, both big and small, pushing boundaries and becoming role models for generations. Emily Nasrallah was a writer, journalist, teacher and women’s rights activist
How do you relax?
Yoga relaxes me and helps me relieve tension, especially now when we’re practically chained to laptops and desks. I enjoy learning more about music and the history of famous music bands and genres.
What is favourite book?
The Perks of Being a Wallflower - I think I've read it more than 7 times
What is your favourite Arabic film?
Hala2 Lawen (Translation: Where Do We Go Now?) by Nadine Labaki
What is favourite English film?
Mamma Mia
Best piece of advice to someone looking for a career at Google?
If you’re interested in a career at Google, deep dive into the different career paths and pinpoint the space you want to join. When you know your space, you’re likely to identify the skills you need to develop.
The specs
Engine: 3.0-litre six-cylinder turbo
Power: 398hp from 5,250rpm
Torque: 580Nm at 1,900-4,800rpm
Transmission: Eight-speed auto
Fuel economy, combined: 6.5L/100km
On sale: December
Price: From Dh330,000 (estimate)
MATCH INFO
Wales 1 (Bale 45 3')
Croatia 1 (Vlasic 09')
Emergency
Director: Kangana Ranaut
Stars: Kangana Ranaut, Anupam Kher, Shreyas Talpade, Milind Soman, Mahima Chaudhry
Rating: 2/5
Our legal consultant
Name: Hassan Mohsen Elhais
Position: legal consultant with Al Rowaad Advocates and Legal Consultants.
DUBAI WORLD CUP CARNIVAL CARD
6.30pm Handicap US$135,000 (Turf) 2,410m
7.05pm UAE 1000 Guineas Listed $250,000 (Dirt) 1,600m
7.40pm Dubai Dash Listed $175,000 (T) 1,000m
8.15pm Al Bastakiya Trial Conditions $100,000 (D) 1.900m
8.50pm Al Fahidi Fort Group Two $250,000 (T) 1,400m
9.25pm Handicap $135,000 (D) 2,000m
The National selections
6.30pm: Gifts Of Gold
7.05pm Final Song
7.40pm Equilateral
8.15pm Dark Of Night
8.50pm Mythical Magic
9.25pm Franz Kafka
2025 Fifa Club World Cup groups
Group A: Palmeiras, Porto, Al Ahly, Inter Miami.
Group B: Paris Saint-Germain, Atletico Madrid, Botafogo, Seattle.
Group C: Bayern Munich, Auckland City, Boca Juniors, Benfica.
Group D: Flamengo, ES Tunis, Chelsea, Leon.
Group E: River Plate, Urawa, Monterrey, Inter Milan.
Group F: Fluminense, Borussia Dortmund, Ulsan, Mamelodi Sundowns.
Group G: Manchester City, Wydad, Al Ain, Juventus.
Group H: Real Madrid, Al Hilal, Pachuca, Salzburg.
Specs
Engine: Electric motor generating 54.2kWh (Cooper SE and Aceman SE), 64.6kW (Countryman All4 SE)
Power: 218hp (Cooper and Aceman), 313hp (Countryman)
Torque: 330Nm (Cooper and Aceman), 494Nm (Countryman)
On sale: Now
Price: From Dh158,000 (Cooper), Dh168,000 (Aceman), Dh132,000 (Countryman)
The Facility’s Versatility
Between the start of the 2020 IPL on September 20, and the end of the Pakistan Super League this coming Thursday, the Zayed Cricket Stadium has had an unprecedented amount of traffic.
Never before has a ground in this country – or perhaps anywhere in the world – had such a volume of major-match cricket.
And yet scoring has remained high, and Abu Dhabi has seen some classic encounters in every format of the game.
October 18, IPL, Kolkata Knight Riders tied with Sunrisers Hyderabad
The two playoff-chasing sides put on 163 apiece, before Kolkata went on to win the Super Over
January 8, ODI, UAE beat Ireland by six wickets
A century by CP Rizwan underpinned one of UAE’s greatest ever wins, as they chased 270 to win with an over to spare
February 6, T10, Northern Warriors beat Delhi Bulls by eight wickets
The final of the T10 was chiefly memorable for a ferocious over of fast bowling from Fidel Edwards to Nicholas Pooran
March 14, Test, Afghanistan beat Zimbabwe by six wickets
Eleven wickets for Rashid Khan, 1,305 runs scored in five days, and a last session finish
June 17, PSL, Islamabad United beat Peshawar Zalmi by 15 runs
Usman Khawaja scored a hundred as Islamabad posted the highest score ever by a Pakistan team in T20 cricket
Best Foreign Language Film nominees
Capernaum (Lebanon)
Cold War (Poland)
Never Look Away (Germany)
Roma (Mexico)
Shoplifters (Japan)
The National in Davos
We are bringing you the inside story from the World Economic Forum's Annual Meeting in Davos, a gathering of hundreds of world leaders, top executives and billionaires.
