Italian Foreign Minister Antonio Tajani says increase diplomacy with Damascus intensifies spotlight on Syrian government. Reuters
Italian Foreign Minister Antonio Tajani says increase diplomacy with Damascus intensifies spotlight on Syrian government. Reuters
Italian Foreign Minister Antonio Tajani says increase diplomacy with Damascus intensifies spotlight on Syrian government. Reuters
Italian Foreign Minister Antonio Tajani says increase diplomacy with Damascus intensifies spotlight on Syrian government. Reuters

Italy appoints ambassador to Syria 'to turn spotlight' on country


Lizzie Porter
  • English
  • Arabic

Italy has decided to appoint an ambassador to Syria “to turn a spotlight” on the country, its foreign minister said on Friday, as countries end their decade-long estrangement from the government in Damascus.

Stefano Ravagnan, currently the Italian Foreign Ministry's special envoy for Syria, was named as ambassador. He is scheduled to take up his post shortly, Foreign Minister Antonio Tajani told Reuters.

Mr Tajani announced Rome’s intention to re-establish diplomatic ties with Syria to prevent Russia from monopolising diplomatic efforts in the Middle Eastern country, the Associated Press reported.

Moscow has been a leading ally for Syrian President Bashar Al Assad, deploying force to help Syria's military retake territory from rebel groups. Russia has also re-focused diplomatic efforts in the Middle East following its ostracisation by the European Union after the February 2022 invasion of Ukraine.

Italy’s latest move might lead to disagreement with some of its western allies: none of Italy’s partners in the G7 group of nations – the United States, Japan, Britain, Canada, France and Germany – have restored ties with Mr Assad.

Rising anti-immigrant sentiment and economic crises have prompted some other EU nations to suggest that Syrians who sought refuge within the bloc should return home.

In recent years, Denmark declared some parts of Syria safe, threatening refugees from those areas with forced returns.

Italy may have been motivated by an aim to influence wider EU policy on Syria, a human rights observer said.

“Italy has taken this step with the aim of shaking the EU out of its lack of policy for Syria,” said Veronica Bellintani, an Italian international law expert who has worked extensively on Syria.

“Italy says that it is taking this step to put back a spotlight on the country: if that's the intent, the spotlight should be on the ongoing violations, on the hundreds of thousands of individuals still detained and disappeared and crimes against humanity committed by the Syrian regime in the past decade.”

Reports by the United Nations and organisations including Amnesty International and Human Rights Watch have said that Syria is not safe and that people who return face significant risks.

“Internally, arbitrary detention, enforced disappearance, torture and death in detention continue while violence and insecurity plague different parts of the country and the economy flatlines,” said Paulo Pinheiro, chairman of the UN’s Independent International Commission of Inquiry on Syria, in remarks earlier this month.

Like other western and Arab countries, Italy suspended diplomatic relations with Damascus over repression of anti-government protests in 2011 and 2012. It recalled all staff from its embassy in Damascus in 2012.

The uprisings became a civil war, and also drew in foreign powers including Iran, Russia, Turkey and the US. More than 500,000 people have been killed in the conflict, which has displaced more than half of the country’s pre-war population of 23 million.

Internally, arbitrary detention, enforced disappearance, torture and death in detention continue while violence and insecurity plague different parts of the country and the economy flat-lines
Paulo Pinheiro,
chair of the UN’s Independent International Commission of Inquiry on Syria

Middle East nations who severed ties with Damascus, including the UAE, have restored diplomatic relations in recent years. Last year, Syria was readmitted to the Arab League, as countries in the region sought to tackle drug smuggling and manage refugee populations.

Turkey, a long-standing supporter of rebels against the Syrian government, has recently suggested it would be open to talking to the Syrian leader.

President Recep Tayyip Erdogan said he would extend an invitation to Mr Assad to meet in Turkey.

Turkish officials recently denied reports that a meeting would take place in Moscow, although Russian President Vladimir Putin is likely to play a key role in any rapprochement between the neighbouring countries.

Syria is currently carved up into areas of control under different groups: the Syrian government controls most territory, with Turkey-backed opposition groups and Islamists operating in pockets of the north-west, and US-backed Kurdish groups in the north-west.

Mr Tajani said the appointment of an ambassador was in line with a letter sent to EU foreign affairs minister Josep Borrell by Italy and seven other EU nations asking the bloc to play a more active role in Syria.

“Syrians continue to leave in large numbers, putting additional strain on neighbouring countries, in a period when tension in the area is running high, risking new refugee waves,” the letter said.

It is not clear that re-establishing ties with the Syrian government will stem refugee flows to Europe. Many Syrians say that the reason they fled the country was to escape the Damascus government.

 

 

 

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

Petrarch: Everywhere a Wanderer
Christopher Celenza,
Reaktion Books

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Power: 819hp

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What drives subscription retailing?

Once the domain of newspaper home deliveries, subscription model retailing has combined with e-commerce to permeate myriad products and services.

The concept has grown tremendously around the world and is forecast to thrive further, according to UnivDatos Market Insights’ report on recent and predicted trends in the sector.

The global subscription e-commerce market was valued at $13.2 billion (Dh48.5bn) in 2018. It is forecast to touch $478.2bn in 2025, and include the entertainment, fitness, food, cosmetics, baby care and fashion sectors.

The report says subscription-based services currently constitute “a small trend within e-commerce”. The US hosts almost 70 per cent of recurring plan firms, including leaders Dollar Shave Club, Hello Fresh and Netflix. Walmart and Sephora are among longer established retailers entering the space.

UnivDatos cites younger and affluent urbanites as prime subscription targets, with women currently the largest share of end-users.

That’s expected to remain unchanged until 2025, when women will represent a $246.6bn market share, owing to increasing numbers of start-ups targeting women.

Personal care and beauty occupy the largest chunk of the worldwide subscription e-commerce market, with changing lifestyles, work schedules, customisation and convenience among the chief future drivers.

Why it pays to compare

A comparison of sending Dh20,000 from the UAE using two different routes at the same time - the first direct from a UAE bank to a bank in Germany, and the second from the same UAE bank via an online platform to Germany - found key differences in cost and speed. The transfers were both initiated on January 30.

Route 1: bank transfer

The UAE bank charged Dh152.25 for the Dh20,000 transfer. On top of that, their exchange rate margin added a difference of around Dh415, compared with the mid-market rate.

Total cost: Dh567.25 - around 2.9 per cent of the total amount

Total received: €4,670.30 

Route 2: online platform

The UAE bank’s charge for sending Dh20,000 to a UK dirham-denominated account was Dh2.10. The exchange rate margin cost was Dh60, plus a Dh12 fee.

Total cost: Dh74.10, around 0.4 per cent of the transaction

Total received: €4,756

The UAE bank transfer was far quicker – around two to three working days, while the online platform took around four to five days, but was considerably cheaper. In the online platform transfer, the funds were also exposed to currency risk during the period it took for them to arrive.

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.”

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Tips for taking the metro

- set out well ahead of time

- make sure you have at least Dh15 on you Nol card, as there could be big queues for top-up machines

- enter the right cabin. The train may be too busy to move between carriages once you're on

- don't carry too much luggage and tuck it under a seat to make room for fellow passengers

If you go...

Flying
There is no simple way to get to Punta Arenas from the UAE, with flights from Dubai and Abu Dhabi requiring at least two connections to reach this part of Patagonia. Flights start from about Dh6,250.

Touring
Chile Nativo offers the amended Los Dientes trek with expert guides and porters who are met in Puerto Williams on Isla Navarino. The trip starts and ends in Punta Arenas and lasts for six days in total. Prices start from Dh8,795.

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The biog

Year of birth: 1988

Place of birth: Baghdad

Education: PhD student and co-researcher at Greifswald University, Germany

Hobbies: Ping Pong, swimming, reading

 

 

Key products and UAE prices

iPhone XS
With a 5.8-inch screen, it will be an advance version of the iPhone X. It will be dual sim and comes with better battery life, a faster processor and better camera. A new gold colour will be available.
Price: Dh4,229

iPhone XS Max
It is expected to be a grander version of the iPhone X with a 6.5-inch screen; an inch bigger than the screen of the iPhone 8 Plus.
Price: Dh4,649

iPhone XR
A low-cost version of the iPhone X with a 6.1-inch screen, it is expected to attract mass attention. According to industry experts, it is likely to have aluminium edges instead of stainless steel.
Price: Dh3,179

Apple Watch Series 4
More comprehensive health device with edge-to-edge displays that are more than 30 per cent bigger than displays on current models.

THE BIO

Favourite place to go to in the UAE: The desert sand dunes, just after some rain

Who inspires you: Anybody with new and smart ideas, challenging questions, an open mind and a positive attitude

Where would you like to retire: Most probably in my home country, Hungary, but with frequent returns to the UAE

Favorite book: A book by Transilvanian author, Albert Wass, entitled ‘Sword and Reap’ (Kard es Kasza) - not really known internationally

Favourite subjects in school: Mathematics and science

Updated: July 27, 2024, 9:32 AM