Landmark event in shifting sands
July 19, 2021, 2:21 pm

Ian Black

On July 13, a landmark event took place at the Tel Aviv stock exchange, a 14-storey building in the heart of Israel’s commercial capital.

The occasion was the official opening of the embassy of the United Arab Emirates in the wake of the signing of the Abraham Accords between the UAE, Bahrain and Israel in September 2020.

The location, in Tel Aviv’s financial and business district, highlighted the central role economic cooperation has played since the UAE became only the third Arab country to recognise Israel – following Egypt in 1979 and Jordan in 1994. Both those treaties were based on strategic interests but each still remains what is often described as a “cold” peace.

“The embassy is not just a hub for diplomats, but a base to continue in our new partnership,” in the words of Emirati ambassador Mohammed al-Khaja. “It marks a new paradigm for peace and a model for a new collaborative approach for conflict resolution.” He added that as “the UAE and Israel are both innovative nations, we can harness this creativity to work towards a more prosperous and sustainable future for our countries and our region.”

Israel’s newly-appointed president, Isaac Herzog, responded with a call for last year’s “historic agreement” with the UAE to be “extended to other nations seeking peace with Israel”. The event followed the inauguration of Israel’s own embassy in Abu Dhabi and a consulate in Dubai, late last month. At the end of the ceremony, al-Khaja symbolically opened the day’s trading at the stock exchange.

Last August, when the deal was announced, it was clear that it served the interests of both parties. But the Emirati side had a motive it could use to justify the move to Arab critics: preventing unilateral Israeli annexation of a third of the occupied West Bank that Binyamin Netanyahu, then Israel’s prime minister, had promised to implement in the wake of President Donald Trump’s “deal of the century.”

Palestinians were outraged by this agreement, which broke with decades of Arab consensus that there should be no normalisation of ties without a comprehensive and lasting peace between Israel and the Palestinians, as outlined in the Saudi-authored Arab Peace Initiative of 2002. In the wake of the bilateral UAE deal, Israel also went on to normalise relations with Bahrain, Morocco and Sudan – all of which sparked Palestinian protests. Israel’s new government is hoping to also open embassies in Manama, Rabat and Khartoum in the coming months.

Israel and the UAE have both sought to emphasise the economic dividend offered by normalisation, rather than their common concerns (shared by Bahrain) about Iran’s expanding strategic ambitions across the Middle East. The new Israeli government’s foreign minister, Yair Lapid – who is due to replace Naftali Bennett as prime minister in two years - told Emirati media last month that bilateral trade has exceeded $675 million since the signing of the Abraham Accords.

The Palestinian Authority, under President Mahmoud Abbas, initially condemned the Trump-brokered deal – lambasting the “betrayal of Jerusalem, al-Aqsa Mosque and the Palestinians.” But after an angry backlash, the PA leadership halted public criticism of the Gulf states, plus Sudan and Morocco, over their respective peace agreements with Israel.
By contrast, both Hamas and Palestinian Islamic Jihad, in the Gaza Strip, condemned last week’s opening of the UAE embassy in Tel Aviv. Hamas located its objections squarely in the context of May’s 11-day war between “Zionist aggression.. and massacres against defenceless civilians” which was provoked by moves to evict Palestinian residents from the East Jerusalem neighbourhood of Sheikh Jarrah.

The larger question is whether the UAE- which is far wealthier than Bahrain – will be able to use its economic clout to influence Israel to make concessions to the PA in a way, and on a scale, that is sufficient to achieve self-determination and sovereign and independent Palestinian state?

Cooperation is already under way between universities, hospitals and researchers in Israel and the UAE, as well as on trade and investment, water, technology, air travel and agriculture. And despite the covid pandemic more than 200,000 Israeli tourists have travelled to the UAE, taking advantage of newly-available direct flights between the two countries.
In theory, Arab states that have forged relations with Israel now have leverage over it, since any deviation from reasonable steps towards the Palestinians could theoretically be met by retaliation including recalling ambassadors, severing relations and more. Still none of those measures were implemented in the latest violence in East Jerusalem and the Gaza Strip, just a few weeks ago, leading to the deaths of 256 Palestinians and 13 Israelis. It left the UAE in what one prominent Emirati academic described as “an awkward position,” which was clearly an understatement!

And last month, when Israel’s embassy was opened in Abu Dhabi, the UAE foreign minister Sheikh Abdullah bin Zayed made a perceptive comment to the popular Israel Walla news site, addressing the issue of the Jewish state’s own self-interest: "I believe that sooner or later Israel should resolve the Palestinian problem. This not only harms Israel's image, but is also liable to raise doubts as to its future. This is a big challenge for you."

by: IAN BLACK

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BENEFIT, the Kingdom’s innovator and leading company in Fintech and electronic financial transactions service, held its Annual General Meeting (AGM) at the company’s headquarters in the Seef District.
During the meeting, shareholders approved all items listed on the agenda, including the ratification of the minutes of the previous AGM held on 26 March 2024. The session reviewed and approved the Board’s Annual Report on the company’s activities and financial performance for the fiscal year ended 31 December 2024, and the shareholders expressed their satisfaction with the company’s operational and financial results during the reporting period.
The meeting also reviewed the Independent External Auditor’s Report on the company’s consolidated financial statements for the year ended 31 December 2024. Subsequently, the shareholders approved the audited financial statements for the fiscal year. Based on the Board’s recommendation, the shareholders approved the distribution of a cash dividend equivalent to 10% of the paid-up share capital.
Furthermore, the shareholders endorsed the allocation of a total amount of BD 172,500 as remuneration to the members of the Board for the year ended 31 December 2024, subject to prior clearance by related authorities.
The extension of the current composition of the Board was approved, which includes ten members and one CBB observer, for a further six-month term, expiring in September 2025, pending no objection from the CBB.
The meeting reviewed and approved the Corporate Governance Report for 2024, which affirmed the company’s full compliance with the corporate governance directives issued by the CBB and other applicable regulatory frameworks. The AGM absolved the Board Members of liability for any of their actions during the year ending on 31st December 2024, in accordance with the Commercial Companies Law.
In alignment with regulatory requirements, the session approved the reappointment of Ernst & Young (EY) as the company’s External Auditors for the fiscal year 2025, covering both the parent company and its subsidiaries—Sinnad and Bahrain FinTech Bay. The Board was authorised to determine the external auditors’ professional fees, subject to approval from the CBB, and the meeting concluded with a discussion of any additional issues as per Article (207) of the Commercial Companies Law.
Speaking on the company’s performance, Mr. Mohamed Al Bastaki, Chairman BENEFIT , stated: “In terms of the financial results for 2024, I am pleased to say that the year gone by has also been proved to be a success in delivering tangible results. Growth rate for 2024 was 19 per cent. Revenue for the year was BD 17 M (US$ 45.3 Million) and net profit was 2 Million ($ 5.3 Million).

Mr. Al Bastaki also announced that the Board had formally adopted a new three-year strategic roadmap to commence in 2025. The strategy encompasses a phased international expansion, optimisation of internal operations, enhanced revenue diversification, long-term sustainability initiatives, and the advancement of innovation and digital transformation initiatives across all service lines.
“I extend my sincere appreciation to the CBB for its continued support of BENEFIT and its pivotal role in fostering a stable and progressive regulatory environment for the Kingdom’s banking and financial sector—an environment that has significantly reinforced Bahrain’s standing as a leading financial hub in the region,” said Mr. Al Bastaki. “I would also like to thank our partner banks and valued customers for their trust, and our shareholders for their ongoing encouragement. The achievements of 2024 set a strong precedent, and I am confident they will serve as a foundation for yet another successful and impactful year ahead.”
Chief Executive of BENEFIT; Mr. Abdulwahed AlJanahi commented, “The year 2024 represented another pivotal chapter in BENEFIT ’s evolution. We achieved substantial progress in advancing our digital strategy across multiple sectors, while reinforcing our long-term commitment to the development of Bahrain’s financial services and payments landscape. Throughout the year, we remained firmly aligned with our objective of delivering measurable value to our shareholders, strategic partners, and customers. At the same time, we continued to play an active role in enabling Bahrain’s digital economy by introducing innovative solutions and service enhancements that directly address market needs and future opportunities.”
Mr. AlJanahi affirmed that BENEFIT has successfully developed a robust and well-integrated payment network that connects individuals and businesses across Bahrain, accelerating the adoption of emerging technologies in the banking and financial services sector and reinforcing Bahrain’s position as a growing fintech hub, and added, “Our achievements of the past year reflect a long-term vision to establish a resilient electronic payment infrastructure that supports the Kingdom’s digital economy. Key developments in 2024 included the implementation of central authentication for open banking via BENEFIT Pay”
Mr. AlJanahi concluded by thanking the Board for its strategic direction, the company’s staff for their continued dedication, and the Central Bank of Bahrain, member banks, and shareholders for their valuable partnership and confidence in the company’s long-term vision.