Arab League ministers seek consensus on Gaza before Bahrain summit


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Severing ties with Israel was not discussed by foreign ministers of Arab League countries, as they worked to reach a unified position on Gaza ahead of the Arab League summit in Bahrain, a senior official has said.

Hossam Zaki, Assistant Secretary General of the Arab League, told The National that cutting off diplomatic ties “was not discussed in the meeting” on Tuesday.

He told reporters there was consensus at this year's Arab League summit, which is expected to focus on the war in Gaza.

“There is total and complete unanimous agreement this time around regarding the Bahrain declaration among the member states. The Bahrain declaration is a continuation of what was adopted in Riyadh," he said.

Mr Zaki was referring to an emergency summit convened in Riyadh in November, a month after Israel launched a military offensive on the Palestinian enclave in response to a Hamas-led attack on southern Israel.

"The war has continued and the war has evolved so we are adopting a political position that is adequate and commensurate with the current circumstances in Gaza,” Mr Zaki told The National.

Foreign ministers of Arab League countries gathered in Manama on Tuesday to finalise the bloc's joint action plan for the year before leaders arrive for their annual summit on Thursday. Bahrain, as current holder of the Arab League presidency, has been working towards Arab unity on the summit's final communique.

“Bahraini Foreign Minister Abdullatif bin Rashid Al Zayani has been on a tour of the Arab states meeting with leaders to get them unified behind the final text, which is expected to announce a tougher stance against Israel,” a source told The National.

Palestinian President Mahmoud Abbas with Bahrain's Foreign Minister Abdullatif Al Zayani in Ramallah in April. Wafa
Palestinian President Mahmoud Abbas with Bahrain's Foreign Minister Abdullatif Al Zayani in Ramallah in April. Wafa

Emergency plan needed

Arab League Secretary General Ahmed Aboul Gheit arrived in Manama on Sunday and led a meeting of the group's Economic and Social Council, which was followed by talks on Arab unity regarding postwar reconstruction plans for Gaza.

“Every move, whether Arab or international, to put an end to Israeli crimes remains an utmost necessity,” he said at the opening session.

“The League of Arab States emphasised the importance of seeking to alleviate the pain of the residents of the Gaza Strip. The bridges of humanitarian aid coming from Arab countries to Gaza have not stopped, but Israel has continued to prevent the entry of aid and used the weapon of starvation against the people of the Gaza Strip,” Mr Aboul Gheit said.

He said the summit on Thursday would need to produce an “emergency plan to deal with the repercussions of the war”.

Muhannad Al Aklouk, the Palestinian representative to the Arab League, said the emergency response plan would require two stages.

“The first is programmes related to emergency response, comprehensive relief and early recovery, and the second will be worked on at a later time and is related to recovery and early reconstruction,” he told reporters in Manama.

Arab consensus

Diplomatic sources in Manama told The National that Bahraini summit organisers had been attempting to build on the resolution drafted at the Riyadh summit that failed to win majority consensus from the Arab League's 22 member states.

At the emergency meeting in November, Arab countries disagreed over several clauses that Saudi Arabia insisted on including. Eleven members voted for the resolution, four voted against, and the rest abstained.

After concluding three days of talks on a collective response and action regarding the developments in Gaza, the Arab League and Organisation of Islamic Co-operation jointly called for an arms embargo against Israel.

A billboard shows the flags of countries participating in the Arab League Summit that will take place in Manama. Reuters
A billboard shows the flags of countries participating in the Arab League Summit that will take place in Manama. Reuters

“There’s a sense with the diplomats already in discussions ahead of Thursday’s high-level meeting of leaders that this summit in Bahrain is a consequential summit because of the Palestinian cause,” Tawfeeq Almansour, a former Bahraini diplomat, told reporters on Sunday.

“The fate of the Palestinian cause is the fate of the Arab world. The recent aggression on Gaza solidified that even more.”

Addressing the foreign ministers' meeting on Tuesday, Mr Aboul Gheit said international intervention for the creation of a Palestinian state alongside Israel was the only way to resolve their decades-old dispute.

“We call on international efforts to organise behind the creation of a two-state solution because the two parties, the Palestinian and the Israeli, are unable to reach an agreement on their own,” he said.

Billboards with pictures of Palestinian President Mahmoud Abbas and Bahrain's King Hamad in the lead up to the Arab League Summit taking place in Manama, Bahrain. Reuters
Billboards with pictures of Palestinian President Mahmoud Abbas and Bahrain's King Hamad in the lead up to the Arab League Summit taking place in Manama, Bahrain. Reuters

“Therefore, international intervention, in all its forms, has become a necessity. Returning to the path of bilateral negotiations is no longer a possible option. How can this negotiation take place when there is a party that rejects it in the first place?”

The UN General Assembly on Friday voted overwhelmingly in support of a Palestinian bid for full membership of the world body, a symbolic move after the US earlier vetoed the measure in the Security Council.

The resolution, which states that the Palestinians should be admitted to the UN and grants them some additional rights under their current observer status, received 143 votes in favour and nine against, with 25 abstentions.

Speaking to reporters in Manama, Mr Zaki said the group was preparing for a peace conference towards achieving the two-state goal.

Calls for Gaza ceasefire

The summit is being held as Israel intensifies military operations against Hamas in northern Gaza and in the crowded southern city of Rafah.

Israeli troops entered Rafah last week despite warnings from the international community, including from its leading ally and benefactor the US, about a humanitarian catastrophe if Israel invaded.

Rafah has been hosting more than a million Gazans displaced from their homes during more than seven months of a war that has razed buildings across the besieged enclave, which has destroyed its infrastructure and health system and created acute shortages of food.

Many of the more than 35,000 people killed so far have been women and children, Gaza's Health Ministry said.

The fighting in Rafah has forced out about 500,000 people so far, according to the UN Agency for Palestinian refugees, UNRWA, which said that “no place is safe” in Gaza.

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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

The National Archives, Abu Dhabi

Founded over 50 years ago, the National Archives collects valuable historical material relating to the UAE, and is the oldest and richest archive relating to the Arabian Gulf.

Much of the material can be viewed on line at the Arabian Gulf Digital Archive - https://www.agda.ae/en

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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.”

Where to donate in the UAE

The Emirates Charity Portal

You can donate to several registered charities through a “donation catalogue”. The use of the donation is quite specific, such as buying a fan for a poor family in Niger for Dh130.

The General Authority of Islamic Affairs & Endowments

The site has an e-donation service accepting debit card, credit card or e-Dirham, an electronic payment tool developed by the Ministry of Finance and First Abu Dhabi Bank.

Al Noor Special Needs Centre

You can donate online or order Smiles n’ Stuff products handcrafted by Al Noor students. The centre publishes a wish list of extras needed, starting at Dh500.

Beit Al Khair Society

Beit Al Khair Society has the motto “From – and to – the UAE,” with donations going towards the neediest in the country. Its website has a list of physical donation sites, but people can also contribute money by SMS, bank transfer and through the hotline 800-22554.

Dar Al Ber Society

Dar Al Ber Society, which has charity projects in 39 countries, accept cash payments, money transfers or SMS donations. Its donation hotline is 800-79.

Dubai Cares

Dubai Cares provides several options for individuals and companies to donate, including online, through banks, at retail outlets, via phone and by purchasing Dubai Cares branded merchandise. It is currently running a campaign called Bookings 2030, which allows people to help change the future of six underprivileged children and young people.

Emirates Airline Foundation

Those who travel on Emirates have undoubtedly seen the little donation envelopes in the seat pockets. But the foundation also accepts donations online and in the form of Skywards Miles. Donated miles are used to sponsor travel for doctors, surgeons, engineers and other professionals volunteering on humanitarian missions around the world.

Emirates Red Crescent

On the Emirates Red Crescent website you can choose between 35 different purposes for your donation, such as providing food for fasters, supporting debtors and contributing to a refugee women fund. It also has a list of bank accounts for each donation type.

Gulf for Good

Gulf for Good raises funds for partner charity projects through challenges, like climbing Kilimanjaro and cycling through Thailand. This year’s projects are in partnership with Street Child Nepal, Larchfield Kids, the Foundation for African Empowerment and SOS Children's Villages. Since 2001, the organisation has raised more than $3.5 million (Dh12.8m) in support of over 50 children’s charities.

Noor Dubai Foundation

Sheikh Mohammed bin Rashid Al Maktoum launched the Noor Dubai Foundation a decade ago with the aim of eliminating all forms of preventable blindness globally. You can donate Dh50 to support mobile eye camps by texting the word “Noor” to 4565 (Etisalat) or 4849 (du).

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The bairaq is a competition for the best herd of 50 camels, named for the banner its winner takes home

Namoos - a word of congratulations reserved for falconry competitions, camel races and camel pageants. It best translates as 'the pride of victory' - and for competitors, it is priceless

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Millions Street - the thoroughfare where camels are led and where white 4x4s throng throughout the festival

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3.30pm: Shadwell – Rated Conditions (TB) Dh100,000 (D) 1,600m; Winner: Down On Da Bayou, Xavier Ziani, Salem bin Ghadayer

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4.30pm: Al Redha Insurance Brokers – Handicap (TB) Dh78,000 (D) 1,800m; Winner: Capla Crusader, Bernardo Pinheiro, Rashed Bouresly

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Name: Timothy Husband

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Dubai launched the pilot phase of its real estate tokenisation project last month.

The initiative focuses on converting real estate assets into digital tokens recorded on blockchain technology and helps in streamlining the process of buying, selling and investing, the Dubai Land Department said.

Dubai’s real estate tokenisation market is projected to reach Dh60 billion ($16.33 billion) by 2033, representing 7 per cent of the emirate’s total property transactions, according to the DLD.

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Updated: May 15, 2024, 10:33 AM