Afghanistan never seems to get a seat at the discussion table



KABUL // When the leaders of Pakistan and Great Britain meet in the UK today, the fate of a third country that has long been a victim of their nations' geopolitical ambitions will be high on the agenda. The scheduled talks between the prime minister David Cameron and the president Asif Ali Zardari will bring together the heads of Afghanistan's two major historical enemies. Both have waged war here directly and indirectly throughout the years, leaving a legacy of suspicion and resentment that dates back long before the current conflict.

Although issues including the Taliban, al Qa'eda and regional peace efforts will be up for discussion, many people in Kabul will be sceptical of what is said by both men. Instead they will look on as their destiny is again being shaped by powers outside of their control. The stated reasons for intervention in Afghanistan may be different now - fighting extremism and terrorism, rather than gaining territory and political control - but history cannot be forgotten. The UK's long involvement in a land known as "the Graveyard of Empires" is lost on no one here. It is taught in schools and even carved in stone at a cemetery in the capital, where the names of British soldiers killed more than a century ago rest alongside others who died in recent months.

The first Anglo-Afghan war occurred between 1839 and 1842. After installing a puppet ruler, UK forces eventually fled for their lives. Only a handful of the 16,000-odd troops and camp followers who began the retreat survived it and the main foreign diplomatic section of Kabul still carries the name of the man who led the uprising, Wazir Akbar Khan. Two more wars followed as Britain's colonial rivalry with Russia, the so-called Great Game, was played out in Afghanistan. The second of those conflicts included another pivotal moment in this country's history of resisting invaders. At the battle of Maiwand on July 27 1880, British soldiers were slaughtered when a local woman, Malalai, used her veil to usher tribesmen into battle against them, ensuring she would be forever remembered as a national hero.

Even when it was not fighting here, Britain was shaping the region's future and laying some of the groundwork for the bloodshed we see now. In 1893 it drew the boundary between Afghanistan and what was India, splitting ethnic Pashtuns and ultimately creating a frontier in Pakistan that has become a base for the Taliban and al Qa'eda and a permanent headache for much of the world. Islamabad's influence over its neighbour is more recent, but no less important. Thanks to the help of London and Washington, during the 1980s it armed, trained and sheltered Islamic insurgents who fought the Soviet occupation.

Arab militants, whose ranks included Osama bin Laden and his mentor, Abdullah Azzam, were encouraged. Afghan mujahideen factions also received substantial support, with the greatest backing given to the most hardline among them: Hizb-e-Islami, led by Gulbuddin Hekmatyar. He went on to play a key role in the civil war that devastated Kabul in the early and mid-1990s before the Taliban emerged as Pakistan's new favoured clients, under the rule of Mr Zardari's late wife who was then prime minister, Benazir Bhutto. Both groups are now fighting US and Nato forces.

None of this is likely to be mentioned at today's summit, but it all remains deeply relevant to the ongoing conflict, which has killed about 330 British troops and spilt into Pakistan, where thousands of civilians and soldiers have died. Since becoming the UK prime minister in the spring, Mr Cameron and members of his cabinet have spoken about Afghanistan a number of times, sending out the same mixed signals as his predecessors and suggesting an ignorance of past events.

He has said British troops may start to withdraw next year. However, they continue to be deployed in one of Afghanistan's most dangerous provinces, in large part because the military has admitted it does not want to lose face by handing over its role in Helmand to US forces. Rather, they remain stationed in an area where stories about old British atrocities have long been shared from generation to generation.

Recent comments by the UK defence secretary, Liam Fox, which described Afghanistan as "a broken 13th-century country" also caused anger here and indicated that London is unaware of or unwilling to acknowledge that it is heavily implicated in slowing this nation's development via a history of war and political meddling. Pakistan has been just as silent about its guilt - denying claims by Mr Cameron that it promotes "the export of terror", even when all the evidence suggests it is still supporting militant groups, most notably the Taliban.

Islamabad clearly wants to have a say in Afghanistan's destiny and is readying itself for a role in any political deal that is struck between Kabul and the insurgency. The international community, including Britain, have also grown increasingly aware of Pakistan's importance if the Taliban are to eventually be brought to the negotiating table. That the two traditional enemies should again be moulding this country's future is a source of undoubted concern for ordinary Afghans who have learned to distrust them.

Britain's historical and cultural links with Pakistan mean the actions of both are often regarded as one and the same, despite their occasional diplomatic rows. From the north of Afghanistan where anti-Taliban sentiment is strong, to the south where support for the rebels is widespread, there is suspicion of their motives. Mr Cameron and Mr Zardari have a long way to go if they are to calm these anxieties. Today's meeting is unlikely to change that. If anything it may simply add to the sense among Afghans that they are, once again, just pawns in a modern version of the Great Game.

csands@thenational.ae

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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.”