• Members of the Lebanese Internal Security Forces lay flowers in front of a memorial to the victims of the explosion in Beirut's port last year.
    Members of the Lebanese Internal Security Forces lay flowers in front of a memorial to the victims of the explosion in Beirut's port last year.
  • Portraits of victims of last year's Beirut port blast.
    Portraits of victims of last year's Beirut port blast.
  • A man, right, hangs a giant Lebanese flag on a building that was damaged in last year's blast.
    A man, right, hangs a giant Lebanese flag on a building that was damaged in last year's blast.
  • France's President Emmanuel Macron remotely attends a Lebanon donors' conference one year after the Beirut port blast.
    France's President Emmanuel Macron remotely attends a Lebanon donors' conference one year after the Beirut port blast.
  • Police hold flowers to mark the anniversary of Beirut's 2020 port blast on August 5.
    Police hold flowers to mark the anniversary of Beirut's 2020 port blast on August 5.
  • Police hold flowers to mark the anniversary of Beirut's massive 2020 port blast.
    Police hold flowers to mark the anniversary of Beirut's massive 2020 port blast.
  • Police hold flowers to mark the anniversary of the Beirut port explosion.
    Police hold flowers to mark the anniversary of the Beirut port explosion.
  • Banners reading 'Here starts your end and our beginning' and 'Hostages of a murderous state' hang on a building damaged in last August's port blast, as Lebanon marks a year since a the cataclysmic explosion devastated Lebanon's capital.
    Banners reading 'Here starts your end and our beginning' and 'Hostages of a murderous state' hang on a building damaged in last August's port blast, as Lebanon marks a year since a the cataclysmic explosion devastated Lebanon's capital.
  • A gavel monument symbolising justice can be seen in front of the damaged grain silos at Beirut port, as Lebanon marks a year since an explosion ravaged the country's capital.
    A gavel monument symbolising justice can be seen in front of the damaged grain silos at Beirut port, as Lebanon marks a year since an explosion ravaged the country's capital.
  • Supporters of Lebanon's Free Patriotic Movement release white balloons to mark one year since the huge explosion in Beirut's port. At least 200 people were killed, and more than 6,000 injured in the blast on August 4, 2020.
    Supporters of Lebanon's Free Patriotic Movement release white balloons to mark one year since the huge explosion in Beirut's port. At least 200 people were killed, and more than 6,000 injured in the blast on August 4, 2020.
  • Supporters of the Free Patriotic Movement release paper lanterns to mark one year since a huge explosion in Beirut's port.
    Supporters of the Free Patriotic Movement release paper lanterns to mark one year since a huge explosion in Beirut's port.
  • A man in a wheelchair flies a Lebanese flag during a protest demanding justice for the victims of last year's Beirut port blast.
    A man in a wheelchair flies a Lebanese flag during a protest demanding justice for the victims of last year's Beirut port blast.
  • Demonstrators gather outside Beirut port on the anniversary of the blast that ravaged the city last August. Hundreds of Lebanese marched on August 4 to mark the explosion, protesting against impunity over the country's worst peacetime disaster at a time when its economy was already in tatters.
    Demonstrators gather outside Beirut port on the anniversary of the blast that ravaged the city last August. Hundreds of Lebanese marched on August 4 to mark the explosion, protesting against impunity over the country's worst peacetime disaster at a time when its economy was already in tatters.
  • Relatives of Beirut port blast victims arrive for a remembrance ceremony at the site of the explosion on the first anniversary of the disaster.
    Relatives of Beirut port blast victims arrive for a remembrance ceremony at the site of the explosion on the first anniversary of the disaster.
  • Relatives of Beirut port blast victims arrive for a remembrance ceremony at the site of the explosion on the first anniversary of the disaster.
    Relatives of Beirut port blast victims arrive for a remembrance ceremony at the site of the explosion on the first anniversary of the disaster.
  • Demonstrators gather by the statue of 'The Lebanese Emigrant' near Beirut port on the first anniversary of the blast that ravaged the port and the city.
    Demonstrators gather by the statue of 'The Lebanese Emigrant' near Beirut port on the first anniversary of the blast that ravaged the port and the city.
  • A demonstrator marches with a sign showing one of the young victims of the 2020 Beirut blast.
    A demonstrator marches with a sign showing one of the young victims of the 2020 Beirut blast.
  • People carry flags and banners as they march to mark the anniversary of Beirut's port blast.
    People carry flags and banners as they march to mark the anniversary of Beirut's port blast.
  • Priests pray near the remains of Beirut port on the first anniversary of the blast that ravaged the port and the city.
    Priests pray near the remains of Beirut port on the first anniversary of the blast that ravaged the port and the city.
  • Demonstrators in Lebanon's capital march past a statue symbolising "Beirut rising from destruction" on their way towards the port on the first anniversary of the blast that ravaged the city.
    Demonstrators in Lebanon's capital march past a statue symbolising "Beirut rising from destruction" on their way towards the port on the first anniversary of the blast that ravaged the city.
  • France's President Emmanuel Macron talks to his Lebanese counterpart Michel Aoun during a remote international conference to raise aid for the country. France has pledged about €100 million ($118.3m) in emergency aid as well as 500,000 Covid-19 vaccine doses for Lebanon.
    France's President Emmanuel Macron talks to his Lebanese counterpart Michel Aoun during a remote international conference to raise aid for the country. France has pledged about €100 million ($118.3m) in emergency aid as well as 500,000 Covid-19 vaccine doses for Lebanon.
  • Nuns pray during a mass organised at the Beirut port with the relatives of last year's blast victims.
    Nuns pray during a mass organised at the Beirut port with the relatives of last year's blast victims.
  • A priest comforts the relative of a blast victim at a Mass organised in Beirut.
    A priest comforts the relative of a blast victim at a Mass organised in Beirut.
  • Families and relatives of people killed in the blast carried portraits of their loved ones to the commemoration Mass in Beirut.
    Families and relatives of people killed in the blast carried portraits of their loved ones to the commemoration Mass in Beirut.
  • Families and relatives of victims of the explosion at Beirut port attend a Mass held to commemorate the anniversary.
    Families and relatives of victims of the explosion at Beirut port attend a Mass held to commemorate the anniversary.
  • Lebanese Maronite Patriarch Bechara Boutros Al-Rai arrives to lead a Mass in memory of people who died in the explosion.
    Lebanese Maronite Patriarch Bechara Boutros Al-Rai arrives to lead a Mass in memory of people who died in the explosion.
  • Relatives of people who died in the 2020 Beirut blast attend a Maronite Christian Mass at the city’s port.
    Relatives of people who died in the 2020 Beirut blast attend a Maronite Christian Mass at the city’s port.
  • A relative of a victim of the blast weeps as she attends the Mass.
    A relative of a victim of the blast weeps as she attends the Mass.
  • A fire engine carrying portraits of blast victims is driven during a remembrance ceremony at the port of Lebanon’s capital.
    A fire engine carrying portraits of blast victims is driven during a remembrance ceremony at the port of Lebanon’s capital.
  • Relatives of the Beirut port blast victims arrive for a remembrance ceremony at the Lebanese capital’s port.
    Relatives of the Beirut port blast victims arrive for a remembrance ceremony at the Lebanese capital’s port.

MENA

Lebanon

International community pledges $370 million for Lebanon on Beirut blast anniversary

Emmanuel Macron blames Lebanese political leaders for severe economic crisis

Elias Sakr
Elias Sakr

August 04, 2021

  • English
  • Arabic

The international community pledged $370 million in humanitarian aid for crisis-hit Lebanon at a donor conference on Wednesday marking the anniversary of the Beirut port blast.

French President Emmanuel Macron pledged $120 million and called on Lebanese leaders to enact reforms. US President Joe Biden announced $100 million in aid.

“Today I am announcing nearly $100 million dollars in new humanitarian assistance. That’s on top of $560 million of humanitarian aid that the United States provided to Lebanon,” Mr Biden said in a pre-recorded message to the virtual conference hosted by France.

But he said that “no amount of outside assistance will ever be enough if Lebanon's leaders do not commit to do the hard but necessary work of reforming the economy".

“That’s essential and has to start now. There is no time to waste, you all know it,” Mr Biden said.

Germany, Kuwait, Canada and Sweden pledged $50 million, $30 million, $20 million and $14 million, respectively.

The total of $370 million in donations was in line with what France said it was seeking from the international community to support Lebanon.

Mr Macron, who has visited Lebanon twice since the blast, blamed the country’s political leaders for the severe economic crisis, and said aid would be channelled directly to non-governmental organisations in the fields of education, food, agriculture and healthcare. The French president also pledged more than 500,000 Covid-19 vaccine doses.

The crisis, Mr Macron said, was the result of the individual and collective failures of Lebanon’s ruling class and its unwillingness to prioritise people’s interests over their own.

“The crisis that Lebanon is going through is neither fated nor inevitable. It is the fruit of individual and collective failures and an unjustifiable dysfunction. The ruling class in its entirety has aggravated the crisis by prioritising their individual and partisan interests over those of the Lebanon people,” Mr Macron said.

Mr Biden, Egypt's President Abdel Fattah El Sisi and Lebanon's President Michel Aoun were among participants from about 40 countries and organisations, including Saudi Arabia, Qatar and the International Monetary Fund.

The French leader addressed President Aoun and the country’s political class before threatening political leaders with sanctions if they failed to take action.

  • These images show various sites in Beirut on August 5, the day after the blast, and how they look now, one year on. This building has only been partially repaired.
    These images show various sites in Beirut on August 5, the day after the blast, and how they look now, one year on. This building has only been partially repaired.
  • The damage to this house in Beirut has been partially covered.
    The damage to this house in Beirut has been partially covered.
  • Cars were destroyed next to this church in the blast area.
    Cars were destroyed next to this church in the blast area.
  • Damage near the site of the explosion and how it looks now.
    Damage near the site of the explosion and how it looks now.
  • A restaurant damaged by the explosion has been largely repaired and restored.
    A restaurant damaged by the explosion has been largely repaired and restored.
  • A view of the port on the day of the explosion and how it looks today.
    A view of the port on the day of the explosion and how it looks today.
  • A petrol station and buildings in Al Rmeil area in Beirut.
    A petrol station and buildings in Al Rmeil area in Beirut.
  • The damage to Beirut Souks in the downtown area of the city has been repaired.
    The damage to Beirut Souks in the downtown area of the city has been repaired.
  • The grain silo at Beirut Port the day after the blast and how it looks now.
    The grain silo at Beirut Port the day after the blast and how it looks now.
  • A street in Beirut the day after the blast and how it looks now.
    A street in Beirut the day after the blast and how it looks now.
  • A street in Beirut the day after the blast and how it looks now.
    A street in Beirut the day after the blast and how it looks now.

He said the EU had established a sanctions regime and members of the international community, including France, had taken restrictive measures against figures involved in corruption and blocking reforms.

“Lebanese leaders should not doubt for a second our determination,” he said, stopping short of naming any of the country's politicians.

He urged officials to quickly form a government and seek justice in the probe into the explosion that killed more than 200 people and injured thousands.

Mr Macron said that since 2018 the international community had offered $11 billion in financial support for Lebanon in exchange for reforms, but “none of the reforms have been delivered”.

Today’s aid is unconditional, the French president said, but “there won’t be any blank cheques to the benefit of Lebanon’s political system”.

The priority now is for the formation of a government that enacts reforms to receive international financial support, Mr Macron said.

IMF Managing Director Kristalina Georgieva said that Lebanon will have access to about $860 million in Special Drawing Rights (SDR) but added that the funds will not help the country tackle its woes without a government that enacts reforms.

Lebanon has been without a functioning Cabinet since the blast forced Hassan Diab’s government to resign.

Since then, political bickering has blocked the formation of a government amid a worsening crisis that plunged half the population into poverty.

Mr Aoun said Lebanon was in need of “every assistance and support”, urging the international community to provide aid.

The blast and coronavirus-related restrictions compounded the country’s problems, while the probe into the blast continues to stall as Parliament continues to deny the lead investigative authorisation to question senior politicians and security officials.

“There is still no progress on the formation of a government or the implementation of urgent reforms. Given the dramatic deterioration of the economy, this is irresponsible,” German Foreign Minister Heiko Maas said.

Mr Aoun said he was committed to serving justice and ensuring those responsible for the blast were held accountable.

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

Transgender report
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Essentials

The flights
Etihad and Emirates fly direct from the UAE to Delhi from about Dh950 return including taxes.
The hotels
Double rooms at Tijara Fort-Palace cost from 6,670 rupees (Dh377), including breakfast.
Doubles at Fort Bishangarh cost from 29,030 rupees (Dh1,641), including breakfast. Doubles at Narendra Bhawan cost from 15,360 rupees (Dh869). Doubles at Chanoud Garh cost from 19,840 rupees (Dh1,122), full board. Doubles at Fort Begu cost from 10,000 rupees (Dh565), including breakfast.
The tours 
Amar Grover travelled with Wild Frontiers. A tailor-made, nine-day itinerary via New Delhi, with one night in Tijara and two nights in each of the remaining properties, including car/driver, costs from £1,445 (Dh6,968) per person.

Updated: August 04, 2021, 4:35 PM
LebanonBeirutEmmanuel MacronFrance