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Dubai And Doha Are Competing To Become The Hollywood Of The Middle East

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When you think of film outside the United States, a number of places stand out: Cannes, Bollywood, London.

Doha and Dubai would both like to be on that list.

Headlined by their own film festivals — the Doha Tribeca and the Dubai International — both cities are trying to fashion themselves into new meccas for the movie industry, but in slightly different ways.

Doha, the capital of Qatar, hopes to be a sort of wellspring for the artists of the Arab World. Vulture's Miranda Siegel has a report on the effort:

Doha is reverse engineering this process: They've started with a giant celebration of a movie culture that doesn't yet exist, hoping to inspire regional artists to spring up and fill it with films, eventually making Doha the New York of the Middle East. But until that happens, they'll happily pay big money to rent other countries' artists.

Such intentions are clear just starting with the name of the city's festival, the Doha Tribeca, which is taken from the Tribeca Film Festival in New York. (The Doha Tribeca is a partnership between the Doha Film Institute and Tribeca Enterprises.)

Comparatively, Dubai's hopes are slightly more commercial. The Dubai International Film Festival aims to both serve as a springboard for Arab film and attract foreign filmmakers and investors to Dubai.

Nothing shows this better than the festival's get this year: "Mission: Impossible — Ghost Protocol" will make its world debut as the opening film.

Partly filmed in Dubai, "Mission: Impossible" has the precise level of glitz and scale that the growing city seems to aspire to.

Whether one, or both, festivals can affect a significant Arab seachange in the U.S.- and Euro-centric film industry remains to be seen.

NOW CHECK OUT WHAT LIFE IS LIKE IN DOHA AND QATAR, THE RICHEST COUNTRY IN THE WORLD >

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The 17 Hottest Economies In The World

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red planet earth

With the sudden lower revision to U.S. GDP this morning, economists remain concerned that slow growth will continue to be a thematic element as the country progresses.

However, there are many other nations where GDP continues to swell at a blistering pace.

Using data culled from Bloomberg and the CIA World Factbook, we compiled a list of 17 countries with annualized growth above 6%.

The countries that made the list hail mostly from Eastern Europe, Asia and Africa.

Singapore

GDP Growth: 6.1%

GDP: $222.7 billion

Key Industries: Electronics, chemicals, financial services, oil drilling equipment, petroleum refining.

 

Source: Bloomberg, CIA The World Factbook



Indonesia

GDP Growth: 6.5%

GDP: $706.56 billion

Key Industries: Oil and gas, mining, textiles, chemical fertilizers, plywood, rubber.

 

Source: Bloomberg, CIA The World Factbook



Lithuania

GDP Growth: 6.6%

GDP: $36 billion

Key Industries: Durable goods manufacturing, petroleum refinery, textiles.

 

Source: Bloomberg, CIA The World Factbook



See the rest of the story at Business Insider

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This Daughter Of Qatari Royalty Is The Most Powerful Person In The Art World

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The tiny country of Qatar has quietly become an art powerhouse, amassing an enormous collection and promoting the arts vigorously.

Now, Sheikha Al-Mayassa bint Hamad bin Khalifa Al-Thani, daughter of the Emir of Qatar and chair of the board of the Qatar Museums Authority, has been named the most powerful person in the art world by Art & Auction magazine, according to Bloomberg.

Bloomberg reports:

In June 2011, Edward J. Dolman quit his job as chairman of Christie’s International to join the [Qatar Museum Authority]’s board. In February 2012, the group will present Takashi Murakami’s first solo exhibition in the Middle East.

“Sheikha Al-Mayassa has the resources of an entire country at her disposal,” said Benjamin Genocchio, a vice president at Louise Blouin Media and editor in chief of Art & Auction. “They have hired Ed Dolman to be their personal shopper. And the budget has no limit.”

The only artist to make the top ten list was Chinese artist Ai Weiwei, whom ArtReview recently called the most powerful person in art.

Now see how Qatar quietly became the world's biggest modern art buyer >

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The 11 Best Performing Stock Markets Of The Year

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pole vault

Most investors in the world are licking their wounds from a tough 2011.

However, the S&P 500 just turned positive for the year on Friday.  The Dow Jones Industrial Average is up a healthy 6%. And a couple of overseas markets rocketed even higher.

We calculated yearly returns for some 100 global exchanges to see how indexes compared to each other.

What we found: less than 15% of markets are in positive territory.

We pulled the ones that have performed the best this year. You might be surprised who made the list.

Iceland ICEX, Up 2.6%



Philippines Stock Exchange, Up 3.8%



U.S. Dow Jones Industrial Average, Up 6.3%



See the rest of the story at Business Insider

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Police In Qatar Have A Gigantic Fleet Of Porsches

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Qatar's recent National Day parade was like that in many other countries: it featured military and police vehicles.

Unlike those other countries, Qatar has cash to burn and a sultan's taste for the good life. The vehicles of choice? Porsche Cayennes and Panameras.

It's not unusual to hear about police departments that have a supercar as a showpiece or a special-duty vehicle, but a fleet of them is well outside the norm. Of course, the same is also true about Qatar.

To say that the Connecticut-sized desert peninsula has some extra change in the sofa cushions is a bit of an understatement: Qatar essentially floats on oil and natural gas, and has the highest per-capita GDP on Earth.

There may be more rational choices for police duty than the super-luxe Porsche's (like the Toyota Land Cruisers tucked further back in line in the video below), and Qatar is hardly infested with criminals in the first place, but a bit of extra high-speed pursuit capability never hurts.

The government-controlled Qatar Holdings investment authority also holds a good quantity of Porsche and Volkswagen AG shares, so why not?

As impressive as a cop-car Panamera is, though, we have to think that the air conditioner probably isn't as good as the one in a Crown Vic.

This post originally appeared at Jalopnik.

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Spain's No. 4 Airline Has Gone Bust

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Spanair, a Spanish aircraft carrier, announced Friday that it was ceasing all operations after the government of northeastern Catalonia announced that it could no longer fund the airline, the AP reports.

In a statement, the airline said its “last commercial flight" will land at 10 p.m. (2100 GMT) on January 27.

Qatar Airways Ltd., the second-biggest Gulf carrier, had been in negotiations to buy Barcelona-based Spanair, but early on Friday, the company pulled out of talks, according to Businessweek.

The Catalan government, which had been bankrolling the airline since it was acquired from SAS Scandinavian Airlines System International in 2008, cited the “current economic climate” and “European legislation concerning competition” as the reasons for lack of financial resources to keep the company afloat.

The airline, which flew both domestic and international routes, advised passengers who had booked flights with it to consult its website for more information. However, at the time of writing, their website was unavailable.

Spanair’s financial woes were exacerbated by a 2008 crash -- Spain's worst aviation disaster in 25 years -- that killed 154 people. Only 18 people survived.

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Would You Pay $250 Million For This Painting?

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cezanne

Over the past several years, the tiny nation of Qatar has embarked on a buying and building spree to become the world's most powerful collector of modern art.

Now the country has topped off its collection with the purchase of the Paul Cézanne painting, The Card Players, for which it paid more than $250 million, according to a new report in Vanity Fair. The price is more than double the previous auction record for a painting, and makes the work by far the most expensive piece of art ever sold.

The painting, which "father of modern art" Cézanne completed at the turn of the century, is one of five in a series. The rest are in museums and major collections including the Museum of Modern Art, Vanity Fair's Alexandra Peers writes.

The acquisition was actually made in 2011, but under a veil of secrecy, as so many art purchases are made in Qatar. Details have emerged as art world insiders head to Doha for the opening of a major Takashi Murakami exhibit, according to VF.

The Cézanne previously belonged to Greek shipping magnate George Embiricos, who died late last year. Before his death, two art dealers—William Acquavella and another, rumored to be Larry Gagosian—offered around $220 million for the painting, but were beat out by the Qataris, VF reported.

The purchase, while remarkable, is just the latest in a string of headlines about Qatar's penchant for art. In November, Sheikha Al-Mayassa bint Hamad bin Khalifa Al-Thani, daughter of the Emir of Qatar and chair of the board of the Qatar Museums Authority, was named the most powerful person in the art world by Art & Auction magazine.

Now read about how Qatar quietly became the world's biggest modern art buyer >

 

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This Tiny Arab Kingdom Has Emerged As The World's Leading Modern Art Collector

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The art world is buzzing today with news that the country of Qatar recently spent more than $250 million to acquire Paul Cézanne's The Card Players.

The price absolutely smashes previous records for expensive works of art. But it's no huge surprise that the record-breaking purchase should have been made by oil-rich Qatar, which, in the past few years, has quietly become the world's biggest buyer of modern art.

Not only is the country amassing art at a tremendous speed, it's also investing heavily in several major projects, including exhibitions by Jeff Koons and Takashi Murakami, The Art Newspaper reported.

The Arab emirate also pulled off a major coup last summer when it poached Christie's chairman Edward Dolman to oversee art acquisitions for the Qatar Museums Authority.

Qatar's royal family bought the "Rockefeller" Rothko for $72.8 million in 2007

Qatar's ruling al-Thani family famously purchased this Rothko painting, titled "White Center (Yellow, Pink and Lavender on Rose)" at a Sotheby's auction in May 2007.

At the time, the sale set the record for the highest price ever paid for a work of post-war art at auction.



This French agent has negotiated many private sales for Qatar

Philippe Ségalot, whose partnership Giraud, Pissarro, Ségalot, is based in Paris and New York, is believed to have negotiated many of the sales of modern art to Qatar, according to The Art Newspaper.

Perhaps the biggest of those sales was Qatar's purchase of the late filmmaker Claude Berri's collection in February after the emirate offered $71.7 million for the works, or nearly twice an estimate of their worth, Artinfo reported.



Including the purchase of around $400 million in art from the estate of a famed New York art dealer

Qatar was a major purchaser of art from the $900 million collection of New York art dealer Ileana Sonnabend, which included pieces by Andy Warhol and Jeff Koons, among other artists.

The deal was privately negotiated in 2007 and 2008 by Philippe Ségalot, according to The Art Newspaper.



See the rest of the story at Business Insider

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There's Just One Problem With Qatar's Quest To Become The Most Powerful Modern Art Collector In The World

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We've often written about how Qatar is on a campaign to become the world's most powerful collector of modern art.

The tiny Arab nation recently spent more than $250 million to acquire the most expensive painting of all time, and it has sponsored shows of high profile artists from Jeff Koons to Takashi Murakami.

It has built museums and even hired the chairman of Christie's to work for its Museums Authority, spending hundreds of millions of dollars along the way.

But one key thing has been overlooked: the people of Qatar themselves, who have been dismissed or suppressed by those leading the art charge, according to the New York Times' Rooksana Hossenally.

She writes:

Critics of the Qatar royal family say it is behaving as a facilitator of the international art scene while at the same time using it for self-promotion. And rather than letting the art scene in Qatar grow naturally according to the needs of its people to express themselves, these observers say, the country is handpicking artists who are politically neutral.

In such an atmosphere, most local artists do not stand much of a chance.

Freedom of expression is not a given in Qatar, and local artists are often fearful of speaking out and facing punishment from the royals, one artist told Hossenally.

Moreover, local Qatari press are rarely invited to cover high-profile events, and the locals don't even necessarily understand the art being displayed on their soil. One local told Hossenally: “We find it ugly. We don’t understand why so many people come to see this work.”

Now find out how Qatar quietly became the world's biggest modern art collector >

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WATCH: Magnolia Bakery Divulges Its Plans To Take Over The Cupcake Craze

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When Steve Abrams bought Magnolia in 2006, it was a small bakery in New York's West Village and now it's one of the major players in the city's cupcake craze. 

The company has expanded to eight locations in New York, Chicago, Los Angeles and Dubai, but it isn't planning on stopping there.

"L.A., which was our first store from afar, was very difficult for us to get our arms around. We didn't understand the culture as well as we thought we would," Abrams told us. "Finding the right managers and staying on top of them was difficult."

Magnolia is planning their expansion farther into the Middle East, Far East and South America. Within five years, Abrams' goal is to open around 200 locations internationally in "groups of stores."

Watch below as Abrams talk about how Magnolia faces challenges as it plans to expand the cupcake craze internationally.

 

Produced by Kamelia Angelova, Robert Libetti and Dan Goodman

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RUMOR: The Prime Minister Of Qatar Bought Huguette Clark's Apartments And Wants To Build A $56 Million Pad

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hamad bin jassim bin jaber al thani

We learned last week that all three Upper East Side apartments owned by the late heiress Huguette Clark had sold for $55 million, their combined asking price.

Now celebrity real estate blogger The Real Estalker says he knows the identity of the buyer of the two eighth floor apartments, which together sold for $31 million: Qatari Prime Minister Hamad bin Jassim bin Jaber Al Thani.

While he doesn't reveal his sources, The Real Estalker also says he also heard that the PM was considering buying another trio of apartments on the seventh floor of the building.

Could the billionaire ruler be scheming to build a mega-apartment with more than 40 rooms and 15,000 square feet of space?

It remains to be seen, but given the Qatari ruling family's penchant for buying up art, yachts, and even islands, we think this rumor could have some legs.

[via Curbed]

Now meet the most powerful foreigners in the Arab world >

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Qatari Prime Minister Told He Has 'Too Many Kids' To Buy Huguette Clark's $31 Million Spread

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hamad bin jassim bin jaber al thani

Yesterday we learned that Qatari Prime Minister Hamad bin Jassim bin Jaber Al Thani hoped to buy two of late heiress Huguette Clark's apartments on Fifth Avenue for $31 million, and that he was even considering buying an additional three apartments in the building to create a 40-room mega-pad.

But today, the New York Post puts the kibosh on those rumors. The Prime Minister's bid for the apartments was rejected, largely because of his 15 children, two wives and large staff, the Post reported.

But the kids weren't the only thing that made the building's co-op board squeamish.

Writes the Post's Jennifer Gould Keil:

In addition to the kid factor, the uptight co-op board put the kibosh on Hamad’s bid — which had been backed by Clark’s estate — because it was jittery about where his money was coming from, sources said.

Board members were also concerned because, as a foreign head of state, the 52-year-old sheik couldn’t be held accountable for anything that might happen there, they said.

Looks like we'll have to wait and see who the new tenants are.

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The Qatari Prime Minister Has Actually Been Turned Away From 3 Of New York's Most Exclusive Buildings

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hamad bin jassim bin jaber al thaniQatari Prime Minister Hamad bin Jassim bin Jaber Al Thani can't catch a break.

Earlier this week we learned the super-wealthy ruler had been rejected by the co-op board after making a $31.5 million bid for two of late heiress Huguette Clark's apartments.

The reason? He apparently had too many kids and bodyguards, the New York Post said at the time.

But now the Post's Jennifer Gould Keil reveals that this isn't the first time the sheikh has been turned away by a New York co-op board.

He also triedand failedto buy a $65 million co-op from Denise Rich, as well as Courtney Sale Ross's $60 million co-op at 740 Park Avenue (it later sold for $52 million). In both cases he was told to look elsewhere, sources told Keil.

He may be a sheikh, but that doesn't mean he can get by Manhattan's notoriously stringent co-op boards.

Now tour the $65 million co-op that got away >

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REVEALED: The Real Reason They Refuse To Hold The Olympics In The Middle East

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qatar world cup cloud

The International Olympic Committee rejected Qatar's bid for the 2020 Olympics yesterday. Here's why:

  • Athletes would burst into flames because it's 100+ degrees there
  • The Games would have to be held in October to avoid the 110-degree summer heat, which would kill TV ratings worldwide
  • The space-age artificial cloud that the country promised to invent are imaginary
  • It would cost significantly more money than the record $42 BILLION it cost China to stage the Games

Okay, we're paraphrasing, but that's the gist of a 90-page report that the IOC published in support of their decision.

Why does this matter?

Well, last year, FIFA awarded the 2022 World Cup to Qatar in controversial fashion — widespread allegations of bribery are still coming out.

Basically, FIFA ignored a bunch of real issues, and now the IOC is making them look dumb by publishing a 90-page report detailing exactly why it's ridiculous to stage such a big event in Qatar.

Qatar (technically Doha and Baku) was one of five semi-finalists to host the Games. But 12 members of the committee rejected the proposal, and now only the bids from Madrid, Tokyo, and Istanbul remain.

DON'T MISS: The 30 Hottest Athletes Going Into The Summer Olympics >

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Tour The Wild Hotel That Just Opened In Qatar's Massive 'Torch' Tower

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torch hotel doha

A tower in Doha, Qatar that was built to house the torch during the 2006 Asian Games has been converted into a futuristic hotel and is officially open for business.

Appropriately named The Torch Doha, the iconic hotel has already attracted international attention from high-profile sports names. European soccer teams FC Schalke 04 and Paris Saint-Germain stayed at the hotel during their training camps in Doha and The Torch will be hosting The International Sports Security Conference in March 2013.

Since many of you aren't planning to travel to Qatar any time soon, we've compiled some photos to make you feel like you're actually there.

If you are, single rooms start at $210 a night.

This 51-floor hotel features 167 rooms and suites, including single and deluxe rooms (one shown below), junior suites, executive suites and diplomatic suites.



The Torch's rooms house state-of-the-art technology, like interactive LED televisions and iPads with in-room service menus.



The executive suites are perfect for a traveling businessman. They even come with a butler.



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RUMOR: The Prime Minister Of Qatar Buys New York City's Most Expensive Home For $100 Million

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one57 extell

UPDATE (11:20 on July 3): We've heard from a spokesperson at Extell Development (which is behind One57) who tells us that the PM of Qatar did not buy the penthouse. Additionally, Gary Barnett, president of Extell, told the Wall Street Journal that the rumor is false. But as Morgan Brennan at Forbes points out, it's possible that parties involved in the sale signed non-disclosure agreements requiring them to keep mum about the buyer's identity, as is often the case in high-profile deals.

ORIGINAL: The billionaire Prime Minister of Qatar will pay $100 million for the most expensive apartment in New York City, the New York Post is reporting.

According to the Post, the Prime Minister, Sheik Hamad bin Jassim bin Jaber al-Thani, has agreed to buy the two-story penthouse atop the still-under-construction One57 condominium where news brok that the penthouse apartment had sold for a record-breaking $90 million in May.

The mega-apartment isn't the only property the PM is picking up at One57, either. According to the Post, he's also planning to buy four other full-floor apartments in the building, bringing his total spend to around $250 million.

The Sheik, who has two wives and 16 children, made waves in the New York real estate world when he tried to buy property here earlier this year. He reportedly went after the Fifth Avenue apartment of late heiress Huguette Clark, but was turned away for having "too many kids."

He met similar resistance when he tried to buy pricey pads in two of New York's other exclusive buildings.

one57 extell

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Even If They're Loaded, It Can Be Tough For Foreigners To Buy Homes In New York City

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Qatari prime minister Sheik Hamad bin Jassim bin Jaber al-Thani may be the buyer of a $100 million penthouse in New York City, but the real estate market isn't always friendly to foreign buyers.

Before purchasing the penthouse, as the New York Post reported yesterday, al-Thani was reportedly turned away three times by co-op boards of other exclusive New York City apartment buildings.

After hearing about al-Thani's trouble in the market, I spoke to real estate lawyer Edward Mermelstein of Rheem, Bell & Mermelstein about the obstacles foreign buyers face when purchasing property in New York City.

Apparently, co-opscorporation-owned apartment buildings in which tenants own stockare bad news if you are a foreign buyer.

Mermelstein's firm has represented hundreds of foreign buyers looking for a pad in NYC. He told me co-op boards' decisions on residents are completely subjective.

Basically, a board can deny anybody they don't want as their neighbor.

"There is no reason (for denial) typically other than the people that make these decisions pick and choose who they want to live with," Mermelstein said. "Most foreigners get scared away from even applying through co-ops."

Mermelstein did say that over 50 percent of NYC property is non-co-op, so foreign buyers tend to invest in property there, often purchasing condos—"real" properties that are purchased individually.

Buying real estate can also be complicated when a buyer purchases on partial or full credit, Mermelstein said. Luckily, most foreign buyers pay in all cash—a payment that streamlines the buying process.

With all the political and economic turmoil in Europe right now, the United States is an attractive destination for the foreign buyer. NYC is by far the number one real state market for buyers in America, followed by metro areas like Los Angeles, San Francisco and Miami.

"Between the political and economic instability, the United States is looking quite attractive (for buyers). We are the beneficiaries," Mermelstein said.

One57, the condominium building where al-Thani supposedly purchased the penthouse, is especially appealing. Mermelstein said over 50 percent of residents there are from a foreign country, because of amenities like housekeeping, laundry and dry cleaning services. One57's staff is even multilingual.

Now, check out the most expensive homes for sale in New York City >

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Meet The Billionaire Qatari Sheikh Who May Have Just Bought A $100 Million Home In New York City

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Hamad Bin Jassim Qatar

For the past few years, Qatari Prime Minister and Foreign Minister Hamad bin Jassim bin Jaber Al Thani has been looking for a place to hang his hat.

Not just any place though. 

The head of the richest country in the world (according to the IMF's per capita GDP figures) has been scouring London and New York for some ultra-decadent digs capable of housing his two wives, 15 scions, and scores of bodyguards. 

Finally, the sheikh appears to have found suitable stomping grounds in New Yorkhe reportedly purchased the $100 million penthouse at a still-under-construction ultra-luxury apartment building on West 57th Street (though the developer denies he's the buyer).

Whether or nor the Prime Minister is officially coming to New York, his life is pretty awesome. Let's take a closer look.

Jaber al Thani's family has ruled Qatar since the mid-19th century. His cousin, Hamad bin Khalifa al Thani, is the country's Emir — a veritable head of state. Jaber has two wives (concurrently) and 15 children.

Sources: Royal Ark and the New York Post



Jaber al Thani has been looking for a place to hang his hat in New York City. Unfortunately, he's been rejected by three separate co-op boards there.

Source: The New York Post



The boards are reportedly wary of his 15 children and massive entourage. They're also concerned about the fact that he has diplomatic immunity, which would protect him from reproach if he were to damage the properties or skirt payments.

Source: New York Post



See the rest of the story at Business Insider

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How Qatar Is Taking On The World

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On Thursday evening Sheikh Hamad bin Jassim al-Thani, who combines the roles of Qatar's prime minister and foreign minister, stood with the Duke of York and mayor of London, Boris Johnson, to watch the inauguration of the Shard. As blue and green lasers, accompanied by the London Philharmonic Orchestra, lit up a London skyline now dominated by the 310m skyscraper, the performance was streamed live around the world.

If the opening of western Europe's tallest building – presided over by Hamad, whose country's sovereign wealth fund owns 95% of the development – was a demonstration of Qatar's rapidly growing global visibility and influence, a few days before, in an equally vast but older building, that influence was being exercised far more discreetly. The building was the UN's Palais des Nations in Geneva, where last Saturday Hamad met the US secretary of state, Hillary Clinton, and other foreign ministers to press his country's case for firmer international action over Syria.

Both scenes underline a phenomenon: the emergence on to the world stage as a considerable diplomatic, cultural and even military player of a tiny state whose huge ambitions to spread influence around the globe are fuelled by enormous wealth and devotion to a strict interpretation of the Qur'an. That ambition is being realised, from the sports stadiums and skyscraper penthouses of western capitals to the industrial centres of China and the battlefields of Syria and Libya.

A generation ago Qatar – whose people are the world's wealthiest by virtue of its oil and natural gas reserves – barely registered on the global radar. It is a former British protectorate ruled by the al-Thani family since the 19th century; its present emir, Sheikh Hamad bin Khalifa al-Thani, seized power in 1995 from his father in a bloodless palace coup. Today it is difficult to avoid its money and influence.

In London, the al-Thanis' investment arm, Qatar Holdings and the Qatar Investment Authority, have been on a long shopping spree, spending more than £13bn in recent years on purchasing Chelsea Barracks, Harrods and the Olympic Village. Qatar is the largest shareholder in Barclays Bank. Its global investment strategy most recently has seen the statelet aggressively pursue new openings in China.

The Qatar Foundation sponsors Barcelona football club, a reminder that in 10 years' time it will play host to the World Cup. Then there is the Doha-based al-Jazeera television, considered the most important Arab news TV channel, owned by Qatar through the Qatar Media Corporation – which last week claimed that it had evidence that the late Palestinian leader Yasser Arafat was poisoned with polonium.

The emirate also hosts the Taliban and Hamas regional offices, as well as a host of international organisations – Georgetown University, the British Royal United Services Institute for Defence and Security Studies – creating a space where the west rubs shoulders with the Islamic world. Indeed, until 2009 Qatar even hosted an Israeli trade centre, which closed its doors after the Israeli incursion into Gaza.

Since the Arab spring, Qatar has attempted to position itself at the forefront of the transformation of the region, giving military support to the opposition to Colonel Muammar Gaddafi in Libya as well as backing key players in the country's fractured post-revolutionary politics through tactics – some diplomats have alleged – that have included weapons shipments.

More recently, it has been accused of funnelling arms to Syria's opposition groups – a claim the prime minister denies, despite the fact that Qatar vocally supports the arming of that country's opposition.

All of which leads to questions: what does Qatar want from a foreign policy that combines the deployment of both soft and – increasingly – hard power, and how did such a small country get to be so important?

That – as the Economist pointed out last year in a profile of "the pygmy with the punch of a giant" – was precisely the question that was asked by Egypt's former autocrat, Hosni Mubarak, when he paid a visit to al-Jazeera's headquarters in Doha in 2001. He reportedly grumbled: "All that noise from this little matchbox?"

It is a question that has been framed in so many words by everyone from Arab leaders to western diplomats struggling to understand not only the complex combination of considerations driving Qatari foreign policy but also its trajectory.

In some respects, say analysts who have studied that policy, the diplomacy of the al-Thani family is interpreted through the very personal filter of the emir, his prime minister and Sandhurst-educated crown prince Tamim, the head of its tiny military.

With a population of fewer than two million – of whom fewer than one in seven is native-born – Qatar sits on a flat peninsula that juts out from the coastline of Saudi Arabia, facing Iran across the Gulf. When it ceased being a British protectorate in 1971 it elected not to join the United Emirates.

While Qatar was a founding member of the Gulf Co-operation Council in 1981, which guarantees its sovereignty, its foreign policy has long been focused on forging friendships and alliances to guarantee its independence and security, not least through its hosting of US Central Command since 2002.

"You only have to look at Qatar's location on the map to see that it is in a rather heavy neighbourhood," says Jane Kinninmont, a Gulf expert at the Chatham House thinktank. "There is a feeling that it needs a lot of allies. So Qatar pursues alliances both with larger countries and smaller ones that it can rely on in places like the UN general assembly."

It is precisely this, believes Shadi Hamid, director of research at the Brookings Doha Centre, that has driven a "creative" foreign policy that has long required Qatar to cultivate friendships.

That, however, is not enough to explain Qatar's emergence as an international player punching far above its weight. Instead, the reality is that it has benefited from a complex combination of events bound together by the powerful personalities of the emir and his prime minister built on the foundation that Qatar should "matter".

It is precisely over this issue of self-validation that the dots between the Shard and the Olympic village and Qatar's increasingly assertive diplomacy are joined.

"Fifteen years ago no one had really heard of Qatar," says Kinninmont. "Now we know about it not only because of its trophy investments in places like London but because of its foreign policies. It is very brand-conscious and in part that is because it seeks to define and brand itself through what it is involved in." That is as applicable to notable buildings as its support for revolution in the Arab world. Qatar's strategy was for a long time similar to that of Turkey's, a "zero problems" foreign policy that focused on increasing its influence by acting as both a crisis mediator and through winning friends. But in the middle of the Arab spring, which saw other leaders forced to look inwards, Qatar, with its relative stability, seized its opportunity to take on a more active role.

Speaking three years ago, Qatar's prime minister insisted: "Our sources of power are our belief in God, our self-confidence and the emir's clear perception, in which there is no competition with anyone. We want to compete with no one. Our country is small and I repeat this a hundred times."

While few would argue with Qatar's declaration of "self-confidence", it is the last statement that many are increasingly sceptical about, not least since March last year when the emirate dispatched six Mirage jets to join Nato operations over Libya and military advisers and anti-tank missiles to the rebels.

It was this moment, as David Roberts, deputy director of the Royal United Services Institute, argued in a piece for Foreign Affairs last year, that marked the "qualitative change" in Qatar's foreign policy from an "activist" but militarily "unthreatening" stance to active intervention.

Roberts's explanation for the emergence of Qatar as a key regional actor is intriguing. He argues that, following his coup in 1995, the emir was anxious to develop "a positive and liberal image ... with a single goal – to consolidate his regime in a hostile environment where supporters of the old regime inside the ruling family and outside the monarchy [Saudi Arabia] cherished hopes for restoration."

It was a policy that a year later would see the launch of al-Jazeera.

It has been more recent events, however, that have defined Qatar. Despite being an absolute monarchy – although it will hold elections next year for a royal advisory body – the state has seen no contradiction in throwing its weight behind popular movements fighting long-standing autocrats, a position viewed by some in the region with deep scepticism.

"The Arab spring changed everything," says Hamid. "Among Arab leaders, Qatar was the only one that was ahead of the curve in the Arab spring and willing to take risks."

Ironically, he argues, it was the small and wealthy population and the lack of pressure for democracy, that allowed it to feel less "existentially" challenged by what was happening around it than its bigger neighbours, not least Saudi Arabia and Iran.

"It saw what was happening," says Kinninmont, "and has been aligning itself with the Muslim Brotherhood and brotherhood-based movements everywhere. It has sided with what it sees as the rising trend." That support for parties with their roots in the brotherhood – including Tunisia's Ennahda party, whose recent victory Qatar financed, comes despite the fact that the emirate itself embraces the Wahhabi tradition of Islam and has also hosted radicals from that school. This has led to suspicions in some parts that its agenda is religiously driven, although others argue that it is less ideological and more opportunistic. But if Qatar has long learned to be pragmatic – managing to host a huge American base while still conducting military exercises with its neighbour, Iran – its approach, says Kinninmont, has also been driven by very personal factors, not least in the friction with Syria's president, Bashar al-Assad. "The emir spent a lot of time cultivating Assad as an ally. The feeling was that they could explain and he would listen. But Assad didn't want to listen."

The change of tack in Qatar's policy from acting as mediator in a series of crises, including between Yemen's government and Houthi rebels and in Darfur, to a more interventionist stance has not been without its risks.

In the immediate aftermath of the revolution in Libya, western diplomats in Tripoli complained bitterly about Qatari interference. Qatar's activism on behalf of Syria's opposition and the suspicion that it has been involved in channelling arms to its members has drawn criticism both public and private.

It has led some to speculate that Qatar will not be able to sustain its influence. It has been remarked that, while it has benefited from the distraction of neighbours like Saudi Arabia at the start of the Arab spring, the long-term consequence of Qatar's actions in the last year and a half – not least its support for Sunni Islamist movements – may be drawing it closer to Riyadh in the increasingly apparent sectarian divisions thrown up by the Arab spring, not least the conflict in Syria.

Equally challenging for Qatar is that its newly assertive policies may be in danger of undermining the careful network of friendships it has worked so long and hard to develop, making new enemies.

Even among Libya's revolutionaries who benefited from Qatari military assistance there has been grumbling. Among those who have spoken out is General Khalifa Hiftar, who while welcoming Qatari "aid [that] comes through the front door… if it comes through the window to certain people [and] bypassing official channels, we don't want Qatar".

Hamid admits: "Everything comes at a price. Opposition to Qatar has risen. There is the risk of blowback for the emirate. But they know that that goes with the territory."

Then small Qatar might well discover, as others have before, that the realities of hard power trump the expensive and subtle business of soft power – laser light shows and gleaming towers included.

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Here's How Qatar Is Investing Its $85 Billion Sovereign Wealth Fund

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When it was announced that Qatar would host the 2022 World Cup, many in the international community were taken aback. To them, Qatar and its capital Doha still represented an economically backward desert area incapable of keeping up with booming growth centers like Rio de Janeiro or Shanghai. 

Doha, it turns out, is on par with these metropolises, even surpassing them in certain ranks. Today, Qatar has the highest per capita income in the world, according to the CIA.

Its preeminent economic status is largely due to the fact that it also has the third largest gas reserves and is the leading liquid natural gas exporter in the world, according to the New York Review of Books. The result is that today, one-tenth of the Qatari populace (29,000 people) are millionaires. 

Deft Qatari investments must not be understated, however. The country's sovereign wealth fund — the Qatar Investment Authority (QIA) — is the 12th largest in the world with $85 billion in assets. Through holding and property subsidiaries, Qatar has gobbled up billions of dollars in real estate, retail, sporting, financial, and cultural investments. This year, according to Bloomberg, the QIA intends to spend $30 billion.

The Qatari royal family owns a media empire

Qatar's ultra-powerful emir, Khalifa al Thani, was worth $2 billion as of 2008. In 1996, he helped found Arab media empire Al Jazeera with a $140 million grant.

Today the station is owned by the Qatar Media Corporation — who have reportedly poured more than $1 billion into the channel, which boasts over 200 million viewers worldwide. 

Sources: Forbes, The New York Review of Books, and Forbes



The Qatar Investment Authority is heavily invested in Barclays

The QIA is largest shareholder in Barclays. In 2009, Qatar Holding—a subsidiary of the QIA—sold 35 million shares of the British bank, reducing its share to around 5.8 percent from a little over 6 percent.

Recently, Qatar signed a joint-venture with Barclays to investment $250 million into the bank's natural resource fund. The partnership is very much still alive.

Source: The Guardian, SWF Institute, and The Wall Street Journal



It's also heavily invested in Credit Suisse, including the bank's headquarters

The QIA currently has a 6.17 percent stake in Credit Suisse. This year, its real estate arm—Qatari Diar —purchased the Swiss bank's 546,000 square foot London headquarters at Canary Wharf for $517 million with a lease back agreement in place. 

Source: Reuters



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