Iran's role in Syria's war makes a quick conclusion unlikely



Syria's Bashar Al Assad is still in power, although he is hardly "president" of a country in anything besides name. The opposition forces have shown signs of fracturing and in some areas are losing ground as the regime fights back to regain territory. The international community grows more wary of intervention and is losing faith in both the military capabilities of the opposition fighters and in their true intentions.

Recent developments may have given the regime reasons to be optimistic, despite continued fighting in Aleppo and the assassination of top leaders. Opposition forces have been complicit in a number of atrocities and human-rights abuses, undermining their efforts to obtain further technical, military and financial support from outside Syria.

An array of disparate groups are now fighting the government's troops including, most worryingly, Islamist extremists who are taking control of the uprising. These extremists, who have been known to fly Al Qaeda's flag, also are among the most effective of opposition fighters, and probably will be prominent if and when the regime falls.

Last week, US Defense Secretary Leon Panetta accused Iran of helping to train and assist militia forces inside Syria, to relieve regime army units fighting the rebels. The claim followed reports that several officers of Iran's Revolutionary Guard were among the 48 hostages seized by rebel fighters in Damascus, and a recent claim by a senior Iranian commander that Iranian forces were active in Syria.

This is bad news for the opposition and its international backers, since Iranian military support will probably stiffen the regime's resolve and, at the least, prolong the conflict.

Active Iranian military advisers help the regime in two ways.

First, Iran can teach Syrians what few states know how to do effectively: defeat armed, non-state entities such as the ragtag groups now engaged in urban warfare. Iran knows all about such groups; it has created, trained and armed insurgent groups of this type for more than three decades - and with effect, as US and British forces found out in Iraq after the 2003 invasion. If anyone knows the tactics of such groups, Iran does.

The Syrian regime can also draw some confidence from recent events in Iraq, and Iran's role there. Many Shia militias, battle-hardened from fighting against US and British forces, were under the guidance of Tehran's military commanders. Some of these groups are still intact.

Shia militia leaders have claimed credit for forcing the British out of Basra in 2007, and the US out of Iraq in its entirety in December. Those claims are debatable, but the fact remains that these militias are still in Iraq, while the Americans and the British have gone.

The second role of Iranian-organised and -trained militia forces in Syria will be to have a chilling effect on potential foreign intervention, including a possible no-fly zone or humanitarian safe havens. If western powers believe that Iran is operating in Syria, they will be wary that an intervention could open a Pandora's box for regional stability and the possibility of a proxy conflict.

It is clear that a large-scale intervention now threatens to lead to a protracted war - that would require taking on the diehard elements of the Syrian army, which could be supported by Iranian-trained militias and, possibly, even Iranian forces. The recent hostage-taking of Iranian "pilgrims", who rebels claimed were Revolutionary Guard, indicates a growing likelihood that Iranian advisers will become directly involved.

If the Syrian regime does fall, a proxy war could turn into a protracted civil war, stoked and prolonged by outside forces. The claim by Iran is training a militia army makes a bloody sectarian civil war more probable, somewhat similar to what happened in Iraq between 2006 and 2007 - a conflict in which Iran played a significant part. In the absence of a commitment of western or Nato forces, the better comparison might be with Lebanon's civil war, which lasted more than 15 years and resulted in over 150,000 death.

Syria's opposition fighters, so far, have had a tactical advantage as a loose-knit, dispersed militia force that has stretched the regime's forces and depleted its resources over a year of conflict. However, the rebels may soon be fighting an enemy that is acquiring comparable military advantages, with the help of an experienced ally that knows this kind of warfare well. Iran has a well-organised military model and possesses sophisticated weaponry. It might substantially turn the tide in this civil war.

Ranj Alaaldin is a senior analyst with the Next Century Foundation, a conflict-resolution NGO based in London

On Twitter: @ranjalaaldin

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At a glance

Global events: Much of the UK’s economic woes were blamed on “increased global uncertainty”, which can be interpreted as the economic impact of the Ukraine war and the uncertainty over Donald Trump’s tariffs.

 

Growth forecasts: Cut for 2025 from 2 per cent to 1 per cent. The OBR watchdog also estimated inflation will average 3.2 per cent this year

 

Welfare: Universal credit health element cut by 50 per cent and frozen for new claimants, building on cuts to the disability and incapacity bill set out earlier this month

 

Spending cuts: Overall day-to day-spending across government cut by £6.1bn in 2029-30 

 

Tax evasion: Steps to crack down on tax evasion to raise “£6.5bn per year” for the public purse

 

Defence: New high-tech weaponry, upgrading HM Naval Base in Portsmouth

 

Housing: Housebuilding to reach its highest in 40 years, with planning reforms helping generate an extra £3.4bn for public finances

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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.

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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.”

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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A new relationship with the old country

Treaty of Friendship between the United Kingdom of Great Britain and Northern Ireland and the United Arab Emirates

The United kingdom of Great Britain and Northern Ireland and the United Arab Emirates; Considering that the United Arab Emirates has assumed full responsibility as a sovereign and independent State; Determined that the long-standing and traditional relations of close friendship and cooperation between their peoples shall continue; Desiring to give expression to this intention in the form of a Treaty Friendship; Have agreed as follows:

ARTICLE 1 The relations between the United Kingdom of Great Britain and Northern Ireland and the United Arab Emirates shall be governed by a spirit of close friendship. In recognition of this, the Contracting Parties, conscious of their common interest in the peace and stability of the region, shall: (a) consult together on matters of mutual concern in time of need; (b) settle all their disputes by peaceful means in conformity with the provisions of the Charter of the United Nations.

ARTICLE 2 The Contracting Parties shall encourage education, scientific and cultural cooperation between the two States in accordance with arrangements to be agreed. Such arrangements shall cover among other things: (a) the promotion of mutual understanding of their respective cultures, civilisations and languages, the promotion of contacts among professional bodies, universities and cultural institutions; (c) the encouragement of technical, scientific and cultural exchanges.

ARTICLE 3 The Contracting Parties shall maintain the close relationship already existing between them in the field of trade and commerce. Representatives of the Contracting Parties shall meet from time to time to consider means by which such relations can be further developed and strengthened, including the possibility of concluding treaties or agreements on matters of mutual concern.

ARTICLE 4 This Treaty shall enter into force on today’s date and shall remain in force for a period of ten years. Unless twelve months before the expiry of the said period of ten years either Contracting Party shall have given notice to the other of its intention to terminate the Treaty, this Treaty shall remain in force thereafter until the expiry of twelve months from the date on which notice of such intention is given.

IN WITNESS WHEREOF the undersigned have signed this Treaty.

DONE in duplicate at Dubai the second day of December 1971AD, corresponding to the fifteenth day of Shawwal 1391H, in the English and Arabic languages, both texts being equally authoritative.

Signed

Geoffrey Arthur  Sheikh Zayed

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