Iraqi forces and Kurdish Peshmerga fighters are working together against ISIS. AFP
Iraqi forces and Kurdish Peshmerga fighters are working together against ISIS. AFP
Iraqi forces and Kurdish Peshmerga fighters are working together against ISIS. AFP
Iraqi forces and Kurdish Peshmerga fighters are working together against ISIS. AFP

Iraqi army and Kurdish fighters team up to oust ISIS


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As a backhoe dug up the ground to build trenches, Iraqi soldiers scanned the vast farming tracts for militants; not far away, their Kurdish counterparts did the same.

The scene earlier this month in the small northern Iraqi farming village of Lheiban was a rare instance of co-ordination between the federal government and the semi-autonomous Kurdish region. The two sides were fortifying a joint position aimed at defending the village against attacks by ISIS.

Despite a long-standing territorial dispute, Baghdad and Iraq’s Kurds are taking steps to work together to prevent a resurgence of the Islamic State group.

Whether the fragile security partnership can hold is the big test in the next chapter of Iraq’s war with ISIS. Both sides say they need the Americans to help keep it together – and they say that is one reason why the US military presence in Iraq is not going away, even as its combat mission officially ends on December 31.

Iraq declared ISIS was defeated four years ago this month. But the rivalry between Baghdad and the Kurds opened up cracks through which the group crept back: a long, disputed zone snaking through four provinces, Nineveh, Kirkuk, Salaheddin and Diyala, where the forces of either side did not enter. In some places, the zone was up to 40 kilometres wide.

Lheiban lies in one part of the zone, and a recent flurry of ISIS attacks threatened to empty the area of its residents, mostly Kurds. So for the first time since 2014, Iraqi troops and peshmerga are setting up joint co-ordination centres around the zone to better police the gaps.

“Daesh took advantage,” said Capt Nakib Hajar, head of Kurdish peshmerga operations in the area, using the Arabic acronym for ISIS. Now, he said, “we are co-ordinating … It begins here, in this village”.

Night visions

Like all residents of Lheiban, Helmet Zahir is tired. In past months, the cement factory worker would spend all night on the roof of his humble home, his wife and children sleeping inside, holding his rifle and waiting.

Security personnel guarding a nearby oil company, the only ones in the area equipped with thermal night vision, would send the signal when they spotted ISIS militants making their way down the Qarachok Mountain range toward Lheiban.

It was up to Mr Zahir and other armed residents to fend them off.

“We were abandoned. The peshmerga was on one side, the Iraqi army on another and neither was intervening,” he said.

A recent uptick in attacks on the village, with three in the first week of December alone, prompted many of the village’s residents, who are mainly Kurds, to leave. Zahir moved his family to Debaga in the relative safety of the Kurdish-run north.

Once numbering 65 families, Lheiban now has only 12 left, said village mukhtar Yadgar Karim.

On December 7, peshmerga and Iraqi forces moved into the village with plans to replicate co-ordination elsewhere across the disputed territories. Kurdish officials hoped this would prompt villagers to return. Maintaining a Kurdish population in the area is key to their territorial claims.

Mr Zahir is not convinced. “I came to check on the situation only, I am too afraid to return,” he said.

The peshmerga have positions all along the ridge of the Qarachok mountains. But they don’t have orders to stop ISIS militants as they cross on attacks or to raid the group's positions because of wariness over entering disputed territory, explained Col Kahar Jawhar.

Moreover, the militants move at night, using tunnels and hiding in caves, and the peshmerga lack key equipment, including night vision.

“That is why IS are able to terrorise the residents, because we can’t see them,” Col Jawhar said.

Disputed land

  • Iraqi security forces are deployed after an attack by ISIS extremists, near Muqdadiya, in Iraq. Reuters
    Iraqi security forces are deployed after an attack by ISIS extremists, near Muqdadiya, in Iraq. Reuters
  • The extremists attacked Al Rashad village outside the city of Muqdadiya in Diyala, officials said.
    The extremists attacked Al Rashad village outside the city of Muqdadiya in Diyala, officials said.
  • At least 11 civilians were killed and at least 25 civilians were wounded. The number of deaths is expected to rise.
    At least 11 civilians were killed and at least 25 civilians were wounded. The number of deaths is expected to rise.
  • Security forces and government-sanctioned paramilitary troops were sent to the area. Iraqi President Barham Salih denounced the 'cowardly terrorist' attack and called for increasing efforts to chase down ISIS cells.
    Security forces and government-sanctioned paramilitary troops were sent to the area. Iraqi President Barham Salih denounced the 'cowardly terrorist' attack and called for increasing efforts to chase down ISIS cells.

The talks to re-establish joint co-ordination centres between the Iraqi army and peshmerga began over two years ago, but fell apart because of deep mistrust and differences over how to carve out lines of control.

Under current Prime Minister Mustafa Al Kadhimi, talks were rekindled, paving the way for an agreement to set up six joint co-ordination centres in Baghdad, Irbil, and across the disputed zone.

Mr Al Kadhimi also agreed to establish two joint brigades to conduct anti-ISIS operations. But this is awaiting budget approval from Baghdad’s Finance Ministry, said Hajar Ismail, peshmerga head of relations with the coalition.

Between 2009-2014, Iraqi and Kurdish forces conducted joint security in the northern provinces of Ninevah, Kirkuk and Diyala. But the collapse of the Iraqi army during the ISIS onslaught of 2014 ended the arrangement.

Kurdish authorities managed to solidify control over Kirkuk and other disputed areas during this time, even developing oil fields and conducting an independent export policy, to the ire of the federal government.

After Iraq declared victory over ISIS in 2017, Baghdad turned its sights to these areas, launching a military operation in October 2017 to retake them. Relations soured, with Baghdad cutting off budget allocations to the Kurdish region, rendering it unable to pay public sector workers and debts to oil companies.

Baghdad was long reluctant to resume security talks partly due to political optics in the capital, with many dominant Shiite parties deeply mistrustful of Kurdish intentions, according to federal officials.

The Popular Mobilisation Forces, made up largely of Shiite militia groups close to Iran, has opposed joint patrols with the peshmerga. The PMF also has a powerful presence in many areas in the disputed zone.

So far, the PMF has been surprisingly quiet about the new joint arrangement, as it copes with a devastating loss in federal elections earlier this year.

But “at some point they will speak out against it,” Zmkan Ali, a senior researcher at the Institute of Regional and International Studies, a research centre in Sulaymaniyah.

Common friend

US soldiers are seen during a handover ceremony of Taji military base from US-led coalition troops to Iraqi security forces, in August. Reuters
US soldiers are seen during a handover ceremony of Taji military base from US-led coalition troops to Iraqi security forces, in August. Reuters

The road to better co-ordination has often involved a common friend: The US.

Iraqi and Kurdish officials said the US-led coalition’s mediation and support were key in bringing parties to the table.

“They played an important role, coordinating with us and the Iraqi side,” said Col Jawhar, the peshmerga based in Qarachok. “Without them we wouldn’t speak — they wouldn’t come here, and we wouldn’t go there.”

Both sides say they still need the Americans to play that role.

US troops quietly stopped direct involvement in combat against ISIS months ago and have since been advising and training troops. That role will continue when the combat mission formally ends on December 31.

The US presence is also crucial in other ways. The Americans pay the salaries of many peshmerga fighters, amid ongoing budget disputes with Baghdad. Some $240 million in US funding covers the salaries of around 45,000 peshmerga personnel, according to Mr Ismail.

“Thankfully, this will continue in 2022,” he said.

What went into the film

25 visual effects (VFX) studios

2,150 VFX shots in a film with 2,500 shots

1,000 VFX artists

3,000 technicians

10 Concept artists, 25 3D designers

New sound technology, named 4D SRL

 

Thanksgiving meals to try

World Cut Steakhouse, Habtoor Palace Hotel, Dubai. On Thursday evening, head chef Diego Solis will be serving a high-end sounding four-course meal that features chestnut veloute with smoked duck breast, turkey roulade accompanied by winter vegetables and foie gras and pecan pie, cranberry compote and popcorn ice cream.

Jones the Grocer, various locations across the UAE. Jones’s take-home holiday menu delivers on the favourites: whole roast turkeys, an array of accompaniments (duck fat roast potatoes, sausages wrapped in beef bacon, honey-glazed parsnips and carrots) and more, as  well as festive food platters, canapes and both apple and pumpkin pies.

Ruth’s Chris Steakhouse, The Address Hotel, Dubai. This New Orleans-style restaurant is keen to take the stress out of entertaining, so until December 25 you can order a full seasonal meal from its Takeaway Turkey Feast menu, which features turkey, homemade gravy and a selection of sides – think green beans with almond flakes, roasted Brussels sprouts, sweet potato casserole and bread stuffing – to pick up and eat at home.

The Mattar Farm Kitchen, Dubai. From now until Christmas, Hattem Mattar and his team will be producing game- changing smoked turkeys that you can enjoy at home over the festive period.

Nolu’s, The Galleria Mall, Maryah Island Abu Dhabi. With much of the menu focused on a California inspired “farm to table” approach (with Afghani influence), it only seems right that Nolu’s will be serving their take on the Thanksgiving spread, with a brunch at the Downtown location from 12pm to 4pm on Friday.

The schedule

December 5 - 23: Shooting competition, Al Dhafra Shooting Club

December 9 - 24: Handicrafts competition, from 4pm until 10pm, Heritage Souq

December 11 - 20: Dates competition, from 4pm

December 12 - 20: Sour milk competition

December 13: Falcon beauty competition

December 14 and 20: Saluki races

December 15: Arabian horse races, from 4pm

December 16 - 19: Falconry competition

December 18: Camel milk competition, from 7.30 - 9.30 am

December 20 and 21: Sheep beauty competition, from 10am

December 22: The best herd of 30 camels

Profile of Hala Insurance

Date Started: September 2018

Founders: Walid and Karim Dib

Based: Abu Dhabi

Employees: Nine

Amount raised: $1.2 million

Funders: Oman Technology Fund, AB Accelerator, 500 Startups, private backers

 

Tips to keep your car cool
  • Place a sun reflector in your windshield when not driving
  • Park in shaded or covered areas
  • Add tint to windows
  • Wrap your car to change the exterior colour
  • Pick light interiors - choose colours such as beige and cream for seats and dashboard furniture
  • Avoid leather interiors as these absorb more heat

Film: Raid
Dir: Rajkumar Gupta
Starring: Ajay Devgn, Ileana D'cruz and Saurabh Shukla

Verdict:  Three stars 

Teaching your child to save

Pre-school (three - five years)

You can’t yet talk about investing or borrowing, but introduce a “classic” money bank and start putting gifts and allowances away. When the child wants a specific toy, have them save for it and help them track their progress.

Early childhood (six - eight years)

Replace the money bank with three jars labelled ‘saving’, ‘spending’ and ‘sharing’. Have the child divide their allowance into the three jars each week and explain their choices in splitting their pocket money. A guide could be 25 per cent saving, 50 per cent spending, 25 per cent for charity and gift-giving.

Middle childhood (nine - 11 years)

Open a bank savings account and help your child establish a budget and set a savings goal. Introduce the notion of ‘paying yourself first’ by putting away savings as soon as your allowance is paid.

Young teens (12 - 14 years)

Change your child’s allowance from weekly to monthly and help them pinpoint long-range goals such as a trip, so they can start longer-term saving and find new ways to increase their saving.

Teenage (15 - 18 years)

Discuss mutual expectations about university costs and identify what they can help fund and set goals. Don’t pay for everything, so they can experience the pride of contributing.

Young adulthood (19 - 22 years)

Discuss post-graduation plans and future life goals, quantify expenses such as first apartment, work wardrobe, holidays and help them continue to save towards these goals.

* JP Morgan Private Bank 

Ten tax points to be aware of in 2026

1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

5. Greater emphasis on statutory audit

There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

6. Further transfer pricing enforcement

Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

8. Pillar 2 implementation 

Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

9. Reduced compliance obligations for imported goods and services

Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations. 

10. Substance and CbC reporting focus

Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity. 

Contributed by Thomas Vanhee and Hend Rashwan, Aurifer

Labour dispute

The insured employee may still file an ILOE claim even if a labour dispute is ongoing post termination, but the insurer may suspend or reject payment, until the courts resolve the dispute, especially if the reason for termination is contested. The outcome of the labour court proceedings can directly affect eligibility.


- Abdullah Ishnaneh, Partner, BSA Law 

Long read

Mageed Yahia, director of WFP in UAE: Coronavirus knows no borders, and neither should the response

The specs

Engine: 3.5-litre twin-turbo V6

Power: 380hp at 5,800rpm

Torque: 530Nm at 1,300-4,500rpm

Transmission: Eight-speed auto

Price: From Dh299,000 ($81,415)

On sale: Now

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.”

Updated: December 17, 2021, 8:04 AM