Lebanon’s top public hospital is now rationing electricity and has turned off air conditioning despite rising summer temperatures, its director said, as long power cuts and a severe economic crisis brings the healthcare sector to its knees.
Firass Abiad, who heads the Rafik Hariri University Hospital in Beirut, shared on Twitter a request he sent to the caretaker Energy Minister pleading for the hospital to be spared long electricity cuts as the national grid struggles to provide even a few hours of electricity a day in many areas.
“We have decided to stop using air conditioning, except in our medical units, despite the heatwave,” Mr Abiad said. “We are truly in hell.”
Since the end of the civil war in the 1990s, Lebanon has suffered daily power cuts without the capacity to generate enough electricity. Beirut’s regular three-hour a day rolling outage has deteriorated in recent months amid fuel shortages and after a Turkish company that operated power-barges pulled the plug because of unpaid bills.
The fuel shortages extend to diesel for private generators and even petrol for cars.
“Electricity cuts last more than 21 hours per day. There is no fuel for our generators and even when we do find fuel we have no liquidity to buy it,” Dr Abiad tweeted.
He told The National he is hoping the state can provide 14 or 15 hours of electricity per day to sustain the hospital.
For years, Lebanon has been a medical centre for the Middle East with people from across the region seeking treatment in renowned Beirut clinics.
But, the economic crisis affecting the country has not spared the medical sector with doctors and nurses emigrating abroad as they see the value of their wages plummet and the costs of goods rise.
The Lebanese lira has lost more than 90 per cent of its value in just over a year and the crisis has pushed more than half the population below the poverty line.
It is not just hospitals struggling. Head of state-owned telecoms internet provider Ogero, Imad Kreidieh, told The National earlier this month that unless they can find a solution, sustained power cuts could lead to "disastrous" large-scale internet outages.
The Rafik Hariri University Hospital has become a symbol of excellence for Lebanon during the Covid-19 pandemic – a rarity for a public sector institution, most of which are underfunded.
The hospital has successfully managed the country’s main coronavirus ward despite a sharp rise in cases in January and February and a lack of drugs and equipment.
Dr Abiad has been a leading voice in sharing up to date data on the situation in the country and in issuing public health advice through the pandemic.
Many look to his tweets and media appearances for updates on cases, the vaccination campaign and the struggles of the healthcare sector.
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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
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