BEIRUT // Abu Mahdi spends most of his day sitting in a plastic chair in front of a dilapidated concrete block shack on the outskirts of Beirut's southern suburbs puffing on a water pipe and pouring coffee for a steady stream of visitors and customers that have come to examine his inventory.
Two of his first customers on a cold winter morning are young fighters in their late teens from the militant Shiite movement Hizbollah who are enraptured with a selection of gleaming new 9mm handguns from Belgium, the United States and the Czech Republic.
But these young fighters make only about US$400 (Dh1,500) a month for their work in "The Resistance", putting the sleek automatic pistols, listed at $2,000 each, well outside their price range.
Although Hizbollah obviously issues military-grade weaponry to its fighters, the boys say only the highest-ranking members - leadership, undercover operatives, bodyguards and security teams - are given pistols, making them a critical, if expensive, status symbol among the youngest fighters, who have been known to take second jobs or save for years just to add private weapons to their inventory.
The group does not buy its weaponry on Lebanon's back market, according to people familiar with its acquisitions process, but from the international black market. Hizbollah's arms also come direct from Iran and Syria.
"Professional fighters or not, they're young Lebanese boys and all of them love guns," according to Abu Ibrahim, a colleague. "I bet the American army has the same situation; boys spend all day carrying their M4s around Iraq and Afghanistan and the minute they get home and have some money saved, they go buy other weapons just because they like them."
A few minutes after the Hizbollah gunmen arrive, a jeep from the Internal Security Forces, Lebanon's federal police force, pulls up outside the shack but neither Mr Mahdi nor his militant customers seem worried. The police officers have arrived to pick up two assault rifles that they ordered a few weeks earlier. They seem to know the fighters and all start happily chatting and playing with the dozens of weapons stuffed in the back of Mr Mahdi's truck.
It is a slightly surreal scene and Mr Mahdi suddenly worries that the two government employees and two Hizbollah fighters shopping for illegal weapons might feel uncomfortable with a foreign journalist quietly watching the tableau of illicit male bonding as he suggests scheduling another interview.
Almost two weeks later, he walks into a nearby home and collapses on a sofa and takes a sip of a Sprite soft drink.
"I am exhausted," he says, thanks to non-stop business demands. "I am making a lot of money but I have no time to sleep. Anyone who tells you that Lebanon is peaceful and stable is lying. Everyone is buying weapons; I can't keep up."
Officially, the only legal weapons in Lebanon are shotguns meant for hunting birds. And although much of the population was heavily armed during the 1975 to 1990 civil war, the various factions agreed to disarm their heavy weapons stockpiles, with the notable exception of Hizbollah.
Some tanks, mortars and rocket launchers were passed on to the reformed Lebanese army, but most, according to an international arms dealer, were immediately sold to various factions in the then nascent conflict in the former Yugoslavia. But little was done about light weapons - assault rifles, rocket-propelled grenade launchers and sniper rifles - which were often stuffed into storage in homes and villages around Lebanon. And ever since, the arms dealers have used an interesting metric for judging the stability of the country: the price of the ubiquitous AK-47 assault rifle.
"There were so many AKs in the country at the end of the war that it's almost pointless to import them, everyone just sells the same guns back and forth," Mr Mahdi says. "So I can tell you, according to the price of one gun, how Lebanon is looking. And things are not good."
Just before the death of the former prime minister Rafiq Hariri in 2005, whose assassination ushered in Lebanon's longest period of chaos since the end of the civil war, a new model AK-47 in very good condition could be bought for $300. A month after his death, the price had doubled to $600. By the outbreak of the July 2006 war between Hizbollah and Israel, it had tripled to $900 as people expected either an occupation by Israel or ongoing civil strife in the aftermath.
"The war was terrible for Lebanon but I made $10,000 profit in just a few weeks," Mr Mahdi admits. "But prices just kept rising."
He says the high point for the price of the AK-47 was in the period of major Sunni and Shiite sectarian tension that preceded the May 2008 clashes between Hizbollah and its allies against groups of Sunnis loyal to the government.
"In the days before the action, I knew that something was going to happen because prices jumped to $1,300 per AK," he said. "It's come down just a little but business is too much for this peace to last. Everyone is walking the streets acting all good, but they're lying."
This prediction is based on several factors, according to Mr Mahdi. The first is a widespread concern by Hizbollah that al Qa'eda-style groups, who cannot resist having their biggest enemies - the Shiite and Israel - in such close proximity, will target Lebanon. The second problem is a lack of faith in Lebanon's government.
"There is no government, those people are useless," says Mr Mahdi. "No one trusts them to keep the peace, so everyone buys weapons to protect their homes and families. Normally I sell about 30 to 40 machine guns a month but right now, it's double that. And the price is $1,200 for a gun in good condition, almost as high as May 2008."
"But I know there is a real problem on the streets right now not just because of the machine guns but because I am selling so many RPG (rocket-propelled grenade) launchers. People only buy grenades when they think war is coming. An RPG isn't really a weapon you use to protect your house, but everyone is buying them anyway. Not good."
@Email:mprothero@thenational.ae
Ms Yang's top tips for parents new to the UAE
- Join parent networks
- Look beyond school fees
- Keep an open mind
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
In numbers
1,000 tonnes of waste collected daily:
- 800 tonnes converted into alternative fuel
- 150 tonnes to landfill
- 50 tonnes sold as scrap metal
800 tonnes of RDF replaces 500 tonnes of coal
Two conveyor lines treat more than 350,000 tonnes of waste per year
25 staff on site
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 banned).
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.
How it works
Each player begins with one of the great empires of history, from Julius Caesar's Rome to Ramses of Egypt, spread over Europe and the Middle East.
Round by round, the player expands their empire. The more land they have, the more money they can take from their coffers for each go.
As unruled land and soldiers are acquired, players must feed them. When a player comes up against land held by another army, they can choose to battle for supremacy.
A dice-based battle system is used and players can get the edge on their enemy with by deploying a renowned hero on the battlefield.
Players that lose battles and land will find their coffers dwindle and troops go hungry. The end goal? Global domination of course.
Most%20polluted%20cities%20in%20the%20Middle%20East
%3Cp%3E1.%20Baghdad%2C%20Iraq%3Cbr%3E2.%20Manama%2C%20Bahrain%3Cbr%3E3.%20Dhahran%2C%20Saudi%20Arabia%3Cbr%3E4.%20Kuwait%20City%2C%20Kuwait%3Cbr%3E5.%20Ras%20Al%20Khaimah%2C%20UAE%3Cbr%3E6.%20Ash%20Shihaniyah%2C%20Qatar%3Cbr%3E7.%20Abu%20Dhabi%2C%20UAE%3Cbr%3E8.%20Cairo%2C%20Egypt%3Cbr%3E9.%20Riyadh%2C%20Saudi%20Arabia%3Cbr%3E10.%20Dubai%2C%20UAE%3C%2Fp%3E%0A%3Cp%3E%3Cem%3ESource%3A%202022%20World%20Air%20Quality%20Report%3C%2Fem%3E%3C%2Fp%3E%0A
MOST%20POLLUTED%20COUNTRIES%20IN%20THE%20WORLD
%3Cp%3E1.%20Chad%3Cbr%3E2.%20Iraq%3Cbr%3E3.%20Pakistan%3Cbr%3E4.%20Bahrain%3Cbr%3E5.%20Bangladesh%3Cbr%3E6.%20Burkina%20Faso%3Cbr%3E7.%20Kuwait%3Cbr%3E8.%20India%3Cbr%3E9.%20Egypt%3Cbr%3E10.%20Tajikistan%3Cbr%3E%3Cbr%3E%3Cem%3ESource%3A%202022%20World%20Air%20Quality%20Report%3C%2Fem%3E%3C%2Fp%3E%0A
Formula Middle East Calendar (Formula Regional and Formula 4)
Round 1: January 17-19, Yas Marina Circuit – Abu Dhabi
Round 2: January 22-23, Yas Marina Circuit – Abu Dhabi
Round 3: February 7-9, Dubai Autodrome – Dubai
Round 4: February 14-16, Yas Marina Circuit – Abu Dhabi
Round 5: February 25-27, Jeddah Corniche Circuit – Saudi Arabia
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.”
The smuggler
Eldarir had arrived at JFK in January 2020 with three suitcases, containing goods he valued at $300, when he was directed to a search area.
Officers found 41 gold artefacts among the bags, including amulets from a funerary set which prepared the deceased for the afterlife.
Also found was a cartouche of a Ptolemaic king on a relief that was originally part of a royal building or temple.
The largest single group of items found in Eldarir’s cases were 400 shabtis, or figurines.
Khouli conviction
Khouli smuggled items into the US by making false declarations to customs about the country of origin and value of the items.
According to Immigration and Customs Enforcement, he provided “false provenances which stated that [two] Egyptian antiquities were part of a collection assembled by Khouli's father in Israel in the 1960s” when in fact “Khouli acquired the Egyptian antiquities from other dealers”.
He was sentenced to one year of probation, six months of home confinement and 200 hours of community service in 2012 after admitting buying and smuggling Egyptian antiquities, including coffins, funerary boats and limestone figures.
For sale
A number of other items said to come from the collection of Ezeldeen Taha Eldarir are currently or recently for sale.
Their provenance is described in near identical terms as the British Museum shabti: bought from Salahaddin Sirmali, "authenticated and appraised" by Hossen Rashed, then imported to the US in 1948.
- An Egyptian Mummy mask dating from 700BC-30BC, is on offer for £11,807 ($15,275) online by a seller in Mexico
- A coffin lid dating back to 664BC-332BC was offered for sale by a Colorado-based art dealer, with a starting price of $65,000
- A shabti that was on sale through a Chicago-based coin dealer, dating from 1567BC-1085BC, is up for $1,950
The specs
AT4 Ultimate, as tested
Engine: 6.2-litre V8
Power: 420hp
Torque: 623Nm
Transmission: 10-speed automatic
Price: From Dh330,800 (Elevation: Dh236,400; AT4: Dh286,800; Denali: Dh345,800)
On sale: Now
The specs
Engine: four-litre V6 and 3.5-litre V6 twin-turbo
Transmission: six-speed and 10-speed
Power: 271 and 409 horsepower
Torque: 385 and 650Nm
Price: from Dh229,900 to Dh355,000
More coverage from the Future Forum
The%C2%A0specs%20
%3Cp%3E%0D%3Cstrong%3EEngine%3A%20%3C%2Fstrong%3E6-cylinder%2C%204.8-litre%20%0D%3Cbr%3E%3Cstrong%3ETransmission%3A%20%3C%2Fstrong%3E5-speed%20automatic%20and%20manual%0D%3Cbr%3E%3Cstrong%3EPower%3A%20%3C%2Fstrong%3E280%20brake%20horsepower%20%0D%3Cbr%3E%3Cstrong%3ETorque%3A%20%3C%2Fstrong%3E451Nm%20%0D%3Cbr%3E%3Cstrong%3EPrice%3A%20%3C%2Fstrong%3Efrom%20Dh153%2C00%0D%3Cbr%3E%3Cstrong%3EOn%20sale%3A%20%3C%2Fstrong%3Enow%3C%2Fp%3E%0A
In numbers: PKK’s money network in Europe
Germany: PKK collectors typically bring in $18 million in cash a year – amount has trebled since 2010
Revolutionary tax: Investigators say about $2 million a year raised from ‘tax collection’ around Marseille
Extortion: Gunman convicted in 2023 of demanding $10,000 from Kurdish businessman in Stockholm
Drug trade: PKK income claimed by Turkish anti-drugs force in 2024 to be as high as $500 million a year
Denmark: PKK one of two terrorist groups along with Iranian separatists ASMLA to raise “two-digit million amounts”
Contributions: Hundreds of euros expected from typical Kurdish families and thousands from business owners
TV channel: Kurdish Roj TV accounts frozen and went bankrupt after Denmark fined it more than $1 million over PKK links in 2013
