Qatar's ties with the Muslim Brotherhood affect entire region



The alliance between the Muslim Brotherhood and Qatar is becoming a noticeable factor in the reshaping of the Middle East. There are several striking aspects to this evolving and deepening relationship.

First, note that the Brotherhood is barely involved in Qatari domestic affairs. The arrangement is akin to the one between Qatar and Al Jazeera, the biggest Arab television channel, which is based in Doha. The station covers news throughout the Arab world but refrains from covering controversial events in Qatar.

As a formal organisation, the Muslim Brotherhood in Qatar dissolved itself in 1999. Jasim Sultan - a former member of the Qatari Brotherhood - has explained in a television interview that this decision was justified because the state was carrying out its religious duties.

Mr Sultan supervises the Al Nahdah (Awakening) Project, which involves training, publishing and lecturing about public activism. Last August, he wrote an article asking Egyptian Islamists to change their discourse and move towards "partnership thought" instead of concentrating on "infiltrating the society to control it". Mr Sultan is active in training Islamists in Egypt and other countries on how to function within the institutions of democracy.

The second point of interest about Qatar and the Brotherhood is that the relationship was formed and is maintained largely through personal ties, which play a vital role. Doha has hosted individual activists, providing them with refuge and employment.

Yusif Al Qaradawi, a Qatari national and resident of Egyptian origin, is a good example. He is the head of the International Union of Muslim Scholars, and his television programme on Islamic laws and principles has made him a star on Al Jazeera. His current relationship with the Muslim Brotherhood is not clear, but he has been a leading member, and is highly respected by its members around the world.

One striking example of his influence is a recent photograph of him with Ismail Haniyeh, the prime minster of Hamas in Gaza. (Hamas is an arm of the Palestinian Muslim Brotherhood.) In the image, Mr Haniyeh, during a recent visit to Qatar, is bowing and kissing Mr Al Qaradawi's hand in a show of respect.

To better understand the role of Qatari-Islamist harmony in the Arab revolutions, consider the Academy of Change, headed by Hisham Mursi, an Egyptian paediatrician and British national living in Doha. News reports identify him as the son-in-law of Mr Al Qaradawi.

Mr Mursi has been active in Egypt's revolution from the very beginning. When he was arrested in the early days of the protests, Muslim Brotherhood websites campaigned for his release. His organisation takes a special interest in non-violent protest tactics; he has written manuals on the subject. He acknowledges, on the Academy of Change's website, that he benefits from the cooperation of Mr Sultan.

Another example of personal ties involves Rafiq Abdulsalaam, Tunisia's foreign minister. He is the son-in-law of Rashid Al Ghanouchi, the head of Ennahda, Tunisia's Muslim Brotherhood party. Mr Abdulasalaam was formerly the head of the Research and Studies Division in the Al Jazeera Centre in Doha.

An example from Libya is Ali Sallabi, described last December by The Washington Post as the "chief architect of Libya's most likely next government". Mr Sallabi has lived in Qatar for several years.

A third point to understand is what Qatar provides for the Brotherhood. There are strong indications of media help, political training and financial support. The role of people like those named above offers circumstantial evidence of such support. Further, key staff members of Al Jazeera have had - and maintain - close connections to the Muslim Brotherhood. These include the previous general manager, Waddah Khanfar, the head of the Amman office, Yasser Abu Hillaleh, and the Egyptian TV presenter, Ahmad Mansur.

Last August, Nevin Mus'ad, a politics professor at Cairo University, told the Egyptian daily Al Shorouq that she was surprised to notice that the university was offering a training course on democracy and human rights, organised by the National Human Rights Committee of Qatar. She said bearded men wearing the jilbab (Islamist dress) were organising the entrance of participants, most of whom were wearing Islamist dress. The women were veiled.

In Libya, Mr Sallabi - who is known also for his connection to Mr Al Qaradawi - told reporters that he had asked the Qatari leadership for assistance during the early stages of the Libyan revolution.

Last year Al Akhbar, a Lebanese newspaper close to Hizbollah (Damascus's strong ally), said the rift between Qatar and the Syrian regime occurred when Doha attempted to convince Syrian President Bashar Al Assad to form an interim ruling council including Muslim Brotherhood representation.

The fourth factor helpful in understanding the Qatar-Brotherhood alliance involves what Qatar stands to gain.

First, the relationship ensures that Islamists will not criticise Qatari government policies or be active there. Second, as Islamists head towards power in several countries, Qataris are in position to expect special economic and political treatment in each. Third, Qatar will be well-positioned to mediate between Islamists and their rivals, and also between Islamists in general and the West. The Afghan Taliban, for example, are now expected to open an office in Qatar. Such developments offer Qatar greater international influence.

Dr Ahmad Jamil Azem is a visiting fellow at the University of Cambridge's faculty of Asian and Middle East studies

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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.”