Live updates: Follow the latest news on Israel-Gaza
Jordan will host an international conference in September to "guarantee political support" and raise funds for the United Nations Relief and Works Agency for Palestine Refugees (UNRWA), Foreign Minister Ayman Safadi said on Tuesday, after meeting agency chief Philippe Lazzarini in Amman.
The kingdom, one of only two Arab countries to have a formal peace treaty with Israel, has been vocal in supporting the UN agency, the main aid provider for six million Palestinian refugees across the Levant.
Amman has accused Israel of trying to destroy UNRWA, a target of what Mr Safadi described as a "political assassination attempt by Israel", in the current war in Gaza.
This year, UNRWA survived the repercussions of Israeli accusations that some its Gaza staff played a role in the Hamas-led attack on October 7, in which about 1,200 were killed.
The conference, which will be co-organised with Sweden, also aims to raise money for the agency to "fulfil its mandate" and deal with the "inhumane situation imposed by Israel on Gaza".
UNRWA focuses on Gaza and the occupied West Bank but also operates in Jordan, Syria and Lebanon. Many of the refugees for whom it provides primary education and health care also have Jordanian citizenship.
International powers, Mr Safadi said, are obligated to guarantee not only humanitarian aid to the Palestinians but also health and education, especially in Gaza, where the situation "remains disastrous".
In a postwar scenario, no one is capable of restoring the education system in Gaza, except UNRWA, which used to provide schooling for 500,000 Palestinian pupils before the war, he said.
"UNRWA is an irreplaceable humanitarian agency," Mr Safadi said after the meeting.
Since the war in Gaza began in October, about 200 of UNRWA's Palestinian staff in Gaza have been killed and many of its facilities have come under Israeli bombing. Israel has also imposed restrictions on aid deliveries, a significant proportion of which is ordinarily distributed by the relief agency.
In March, the US, which is UNRWA's main donor, along with 15 other countries, suspended funding following the accusations concerning agency staff. The bulk of the funding has since resumed, after most of the allegations have failed to be proven.
The agency is still affected by the episode, however, and has been in a "very bad" financial situation this year, Mr Lazzarini said. With current funding expected to last only until the end of next month, the organisation is living "hand to mouth", he added.
Washington was instrumental in setting up UNRWA in 1949, a year after the creation of Israel.
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
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.”
