• Heads of delegations participating in the 34th Arab Summit, which kicked off in Baghdad today, Saturday, take commemorative photos. Photo: @IraqiPMO / X
    Heads of delegations participating in the 34th Arab Summit, which kicked off in Baghdad today, Saturday, take commemorative photos. Photo: @IraqiPMO / X
  • Arab leaders attend the opening session of the 34th Arab League summit, in Baghdad, Iraq. AP
    Arab leaders attend the opening session of the 34th Arab League summit, in Baghdad, Iraq. AP
  • UAE Vice President and Deputy Prime Minister Sheikh Mansour bin Zayed Al Nahyan meets with Iraqi Foreign Minister Fuad Hussein as he arrives at Baghdad International Airport ahead of the 34th Arab League Summit, in Baghdad, Iraq. Reuters
    UAE Vice President and Deputy Prime Minister Sheikh Mansour bin Zayed Al Nahyan meets with Iraqi Foreign Minister Fuad Hussein as he arrives at Baghdad International Airport ahead of the 34th Arab League Summit, in Baghdad, Iraq. Reuters
  • UAE Foreign Minister Abdullah bin Zayed Al Nahyan arrives at Baghdad International Airport ahead of the 34th Arab League Summit, in Baghdad, Iraq. REUTERS
    UAE Foreign Minister Abdullah bin Zayed Al Nahyan arrives at Baghdad International Airport ahead of the 34th Arab League Summit, in Baghdad, Iraq. REUTERS
  • Iraqi Foreign Minister Fuad Hussein welcomes Jordanian Prime Minister Jafar Hassan upon arrival at Baghdad International Airport ahead of the 34th Arab League summit, in Baghdad, Iraq. REUTERS
    Iraqi Foreign Minister Fuad Hussein welcomes Jordanian Prime Minister Jafar Hassan upon arrival at Baghdad International Airport ahead of the 34th Arab League summit, in Baghdad, Iraq. REUTERS
  • Iraq's Foreign Minister Fuad Hussein (R) walks with Qatar's Emir Sheikh Tamim bin Hamad al-Thani as he arrives in Baghdad ahead of the 34th Arab League summit. AFP
    Iraq's Foreign Minister Fuad Hussein (R) walks with Qatar's Emir Sheikh Tamim bin Hamad al-Thani as he arrives in Baghdad ahead of the 34th Arab League summit. AFP
  • Iraqi Foreign Minister Fuad Hussein welcomes Palestinian President Mahmoud Abbas upon arrival at Baghdad International Airport ahead of the 34th Arab League summit, in Baghdad, Iraq. REUTERS
    Iraqi Foreign Minister Fuad Hussein welcomes Palestinian President Mahmoud Abbas upon arrival at Baghdad International Airport ahead of the 34th Arab League summit, in Baghdad, Iraq. REUTERS
  • Iraqi Foreign Minister Fuad Hussein welcomes Egypt's President Abdel Fattah al-Sisi upon arrival at Baghdad International Airport ahead of the 34th Arab League summit, in Baghdad, Iraq. REUTERS
    Iraqi Foreign Minister Fuad Hussein welcomes Egypt's President Abdel Fattah al-Sisi upon arrival at Baghdad International Airport ahead of the 34th Arab League summit, in Baghdad, Iraq. REUTERS
  • Iraqi Foreign Minister Fuad Hussein, center right, welcomes Yemen's President Rashad Mohammed al-Alimi upon arrival at Baghdad International Airport ahead of the 34th Arab League summit. AP
    Iraqi Foreign Minister Fuad Hussein, center right, welcomes Yemen's President Rashad Mohammed al-Alimi upon arrival at Baghdad International Airport ahead of the 34th Arab League summit. AP
  • This handout picture released by the media office of Iraq's prime minister shows Iraqi Foreign Minister Fuad Hussein (L) welcoming UN Secretary General Antonio Guterres ahead of the Arab League Summit on May 15, 2025. (Photo by IRAQI PRIME MINISTER'S PRESS OFFICE / AFP) / RESTRICTED TO EDITORIAL USE - MANDATORY CREDIT "AFP PHOTO / IRAQI PRIME MINISTER'S PRESS OFFICE / HANDOUT / " - NO MARKETING NO ADVERTISING CAMPAIGNS - DISTRIBUTED AS A SERVICE TO CLIENTS
    This handout picture released by the media office of Iraq's prime minister shows Iraqi Foreign Minister Fuad Hussein (L) welcoming UN Secretary General Antonio Guterres ahead of the Arab League Summit on May 15, 2025. (Photo by IRAQI PRIME MINISTER'S PRESS OFFICE / AFP) / RESTRICTED TO EDITORIAL USE - MANDATORY CREDIT "AFP PHOTO / IRAQI PRIME MINISTER'S PRESS OFFICE / HANDOUT / " - NO MARKETING NO ADVERTISING CAMPAIGNS - DISTRIBUTED AS A SERVICE TO CLIENTS
  • Mr Hussein welcomes Spanish Prime Minister Pedro Sanchez. AP
    Mr Hussein welcomes Spanish Prime Minister Pedro Sanchez. AP
  • Iraqi Deputy Foreign Minister Mohammed Bahrululum, right, receives Syrian Foreign Minister Asaad Al Shaibani. AP
    Iraqi Deputy Foreign Minister Mohammed Bahrululum, right, receives Syrian Foreign Minister Asaad Al Shaibani. AP
  • Lebanese Prime Minister Nawaf Salam, left, is received by Mr Hussein. AP
    Lebanese Prime Minister Nawaf Salam, left, is received by Mr Hussein. AP
  • Palestinian President Mahmoud Abbas arrives in Baghdad. AP
    Palestinian President Mahmoud Abbas arrives in Baghdad. AP
  • Somali President Hassan Sheikh Mohamud, left, is received by Mr Hussein. Reuters
    Somali President Hassan Sheikh Mohamud, left, is received by Mr Hussein. Reuters
  • Moroccan Minister of Foreign Affairs and African Co-operation Nasser Bourita, left, arrives in Baghdad. Photo: Iraqi Prime Minister's Media Office
    Moroccan Minister of Foreign Affairs and African Co-operation Nasser Bourita, left, arrives in Baghdad. Photo: Iraqi Prime Minister's Media Office
  • Shihab Bin Tariq Al Said, Deputy Prime Minister and Minister of Defence of Oman, left, arrives. EPA
    Shihab Bin Tariq Al Said, Deputy Prime Minister and Minister of Defence of Oman, left, arrives. EPA
  • Jasem Al Budaiwi, Secretary General of the Gulf Co-operation Council, arrives. Photo: Iraqi Prime Minister Media Office
    Jasem Al Budaiwi, Secretary General of the Gulf Co-operation Council, arrives. Photo: Iraqi Prime Minister Media Office

Arab Summit returns to Baghdad as Iraq seeks to reassert regional role


Sinan Mahmoud
  • English
  • Arabic

Iraq will host the Arab Summit for the first time in more than a decade on Saturday, a symbolic moment for a country still struggling to emerge from decades of war, instability and diplomatic isolation.

Iraqi officials hope the summit will mark a turning point for the country’s regional standing and national pride. While the official agenda will focus on pressing regional issues, the choice of Baghdad as venue is seen as significant.

“Iraqi diplomacy has gained widespread trust among Arabs,” said Hussein Allawi, political adviser to Prime Minister Mohammed Shia Al Sudani.

“The Iraqi government is not satisfied with merely organising the Arab Summit but is pursuing a clear approach to proposing realistic solutions to the Arab crises, enhancing joint co-operation on various issues, and formulating a unified Arab resolution,” Mr Allawi added.

Relations between Iraq and Arab countries were mostly uneasy after the US-led invasion that toppled Saddam Hussein in 2003. This ushered in a Shiite political ascendancy and an increase in Iranian influence over the country.

To counter this, the US in 2007 began to press other Arab states to increase political engagement with Iraq. This led several countries reopening embassies that had been shut because of the poor security situation after 2003 or differences with the country's new government, as well as increased co-operation in a number of fields, a steady stream of visitors from Arab countries, and Baghdad being chosen to host the 2012 Arab Summit.

“The Arab Summit is crucial for Iraq as it demonstrates the country’s commitment to the Arab League and its obligations towards Arab countries and that it believes in the joint Arab action,” said Ihsan Al Shammari, head of the Iraqi Political Thinking Centre in Baghdad.

“Certain factions in Iraq see the summit as a chance to shift perceptions that portray them as anti-Arab or opposed to Arab co-operation,” Mr Al Shammari added.

Crucial summit

The Arab leaders meeting in Baghdad is set to grapple with a host of crises that are testing the region’s stability, including Israel's devastating war in Gaza and the continuing conflicts in Sudan and Libya, the tensions in Lebanon and Yemen, the new order in Syria, and broader security and economic challenges. Food and water security, youth unemployment and the impacts of the climate change will also be addressed.

“Our meeting today comes at a crucial stage in the history of the Arab nation,” Iraqi Foreign Minister Fuad Hussein told the preparatory ministerial meeting on Thursday. “That requires us to accelerate our efforts, to strengthen bonds of co-operation, and to address crucial issues facing our present and future.”

The foreign ministers approved five initiatives to be presented to the summit, Iraqi government spokesman Basim Al Awadi said. These are: establishing a joint Arab security co-operation room, three centres to fight terrorism, drugs and organised crime, as well as establishing a fund to support recovery and reconstruction after crises.

Iraq is also preparing 18 initiatives to be introduced during the summit, which will be followed by two smaller meetings − one on economic development and the other between Iraq, Jordan and Egypt to discuss increased co-operation, Mr Al Awadi added.

It was not clear on the eve of the summit which leaders would be attending. Syrian President Ahmad Al Shara will not travel to Baghdad, according to Syrian state media, after an invitation from the Iraqi Prime Minister sparked protests over his past links to Al Qaeda. UN Secretary General Antonio Guterres arrived for the summit on Thursday night.

UN Secretary General Antonio Guterres is welcomed by Iraqi Foreign Minister Fuad Hussein as he arrived in Baghdad for the Arab League summit on Saturday. Iraqi Prime Minister's Press Office / AFP
UN Secretary General Antonio Guterres is welcomed by Iraqi Foreign Minister Fuad Hussein as he arrived in Baghdad for the Arab League summit on Saturday. Iraqi Prime Minister's Press Office / AFP

More than a summit

The summit has already left its mark on Baghdad.

Two new five-star hotels have opened their doors in time for the meeting, a rare show of foreign investment confidence in a city long shunned by global hospitality brands.

The international airport has been refurbished with gleaming halls, modern lounges, and expanded arrival facilities. The heavily secured airport road, infamous for being one of the world’s most dangerous routes during the height of the insurgency, has been completely overhauled, now lined with palm trees, lush gardens and illuminated fountains.

For many Iraqis, the sight of foreign delegations arriving and the flags of Arab states lining the streets is stirring a sense of pride they have not felt in years.

“For me, this is not just a political summit," said Nazar Mohammed Hassan, a shop owner in Baghdad’s upscale Mansour district. "It’s Iraq’s return to the Arab stage as a sovereign and stable nation

“For years we’ve been defined by war, divisions, and foreign influence. Now we are opening our doors to our Arab brothers as a confident, capable country.”

Despite the optimism, challenges remain. Iraq’s political stability is fragile, its economy heavily reliant on oil, and public trust in state institutions is low.

“I hope that Iraq can benefit from this gathering in bolstering relations and co-operation with Arab states in economy, mainly the Gulf states that have successful economic development experience,” Mr Hassan said.

Islamophobia definition

A widely accepted definition was made by the All Party Parliamentary Group on British Muslims in 2019: “Islamophobia is rooted in racism and is a type of racism that targets expressions of Muslimness or perceived Muslimness.” It further defines it as “inciting hatred or violence against Muslims”.

UAE SQUAD

Ahmed Raza (Captain), Rohan Mustafa, Jonathan Figy, CP Rizwan, Junaid Siddique, Mohammad Usman, Basil Hameed, Zawar Farid, Vriitya Aravind (WK), Waheed Ahmed, Karthik Meiyappan, Zahoor Khan, Darius D'Silva, Chirag Suri

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 years Ramadan fell in May

1987

1954

1921

1888

Citizenship-by-investment programmes

United Kingdom

The UK offers three programmes for residency. The UK Overseas Business Representative Visa lets you open an overseas branch office of your existing company in the country at no extra investment. For the UK Tier 1 Innovator Visa, you are required to invest £50,000 (Dh238,000) into a business. You can also get a UK Tier 1 Investor Visa if you invest £2 million, £5m or £10m (the higher the investment, the sooner you obtain your permanent residency).

All UK residency visas get approved in 90 to 120 days and are valid for 3 years. After 3 years, the applicant can apply for extension of another 2 years. Once they have lived in the UK for a minimum of 6 months every year, they are eligible to apply for permanent residency (called Indefinite Leave to Remain). After one year of ILR, the applicant can apply for UK passport.

The Caribbean

Depending on the country, the investment amount starts from $100,000 (Dh367,250) and can go up to $400,000 in real estate. From the date of purchase, it will take between four to five months to receive a passport. 

Portugal

The investment amount ranges from €350,000 to €500,000 (Dh1.5m to Dh2.16m) in real estate. From the date of purchase, it will take a maximum of six months to receive a Golden Visa. Applicants can apply for permanent residency after five years and Portuguese citizenship after six years.

“Among European countries with residency programmes, Portugal has been the most popular because it offers the most cost-effective programme to eventually acquire citizenship of the European Union without ever residing in Portugal,” states Veronica Cotdemiey of Citizenship Invest.

Greece

The real estate investment threshold to acquire residency for Greece is €250,000, making it the cheapest real estate residency visa scheme in Europe. You can apply for residency in four months and citizenship after seven years.

Spain

The real estate investment threshold to acquire residency for Spain is €500,000. You can apply for permanent residency after five years and citizenship after 10 years. It is not necessary to live in Spain to retain and renew the residency visa permit.

Cyprus

Cyprus offers the quickest route to citizenship of a European country in only six months. An investment of €2m in real estate is required, making it the highest priced programme in Europe.

Malta

The Malta citizenship by investment programme is lengthy and investors are required to contribute sums as donations to the Maltese government. The applicant must either contribute at least €650,000 to the National Development & Social Fund. Spouses and children are required to contribute €25,000; unmarried children between 18 and 25 and dependent parents must contribute €50,000 each.

The second step is to make an investment in property of at least €350,000 or enter a property rental contract for at least €16,000 per annum for five years. The third step is to invest at least €150,000 in bonds or shares approved by the Maltese government to be kept for at least five years.

Candidates must commit to a minimum physical presence in Malta before citizenship is granted. While you get residency in two months, you can apply for citizenship after a year.

Egypt 

A one-year residency permit can be bought if you purchase property in Egypt worth $100,000. A three-year residency is available for those who invest $200,000 in property, and five years for those who purchase property worth $400,000.

Source: Citizenship Invest and Aqua Properties

The specs

Engine: 4-litre twin-turbo V8

Transmission: nine-speed

Power: 542bhp

Torque: 700Nm

Price: Dh848,000

On sale: now

The five pillars of Islam

1. Fasting 

2. Prayer 

3. Hajj 

4. Shahada 

5. Zakat 

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F1 The Movie

Starring: Brad Pitt, Damson Idris, Kerry Condon, Javier Bardem

Director: Joseph Kosinski

Rating: 4/5

At a glance

- 20,000 new jobs for Emiratis over three years

- Dh300 million set aside to train 18,000 jobseekers in new skills

- Managerial jobs in government restricted to Emiratis

- Emiratis to get priority for 160 types of job in private sector

- Portion of VAT revenues will fund more graduate programmes

- 8,000 Emirati graduates to do 6-12 month replacements in public or private sector on a Dh10,000 monthly wage - 40 per cent of which will be paid by government

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Updated: May 17, 2025, 6:25 AM