Egypt has been sharply critical of Israel over its war on Iran, a stand rooted in part in Cairo’s concern that a defeated, or significantly weakened, Tehran would allow its one-time foe to project its power more emphatically across the Middle East.
Now that the US has joined Israel in the war, calls for Egypt – once the region's political and cultural engine – to prepare for the prospect of a dominant Israel have taken on added significance.
The challenge has already stirred a national conversation on what needs to be done.
“It’s not just Iran. The fate of the entire region is now on the line," political analyst and author Abdalla Senawy warned.
"We are at a historic juncture. If Iran is defeated … Egypt’s turn will eventually follow. This is the time of reckoning for Egypt before anyone else. Either it rises and makes its own fate or enters and stays in darkness for many decades to come."
Egypt's position on Iran has mostly been shaped by Cairo's opposition to Israel's war in Gaza, as well as US President Donald Trump’s support for Israel. Cairo has also rejected Washington's proposal to resettle Gazans in Egypt.
In contrast, Egypt's ties with Iran have been improving rapidly, with the two nation forging closer relations, including on energy and military co-operation.
Egyptian President Abdel Fattah El Sisi has not spoken publicly about the Iran-Israel conflict since it began on June 13. But he has strongly condemned Israel for initiating the conflict in calls and meetings with world leaders and foreign diplomats, according to official statements.
The latest of those talks took place on Saturday night, when Mr El Sisi spoke by phone with Iranian President Masoud Pezeshkian, just hours before the US struck three key nuclear sites in Iran. Mr El Sisi condemned Israel’s escalation with Iran and warned that the war posed a threat to regional security and stability.
Deeper concerns
On Sunday, Egypt said it was “deeply worried about the latest developments” in Iran, without mentioning the US or its attacks. But concerns in Egypt about the consequences of the war are much greater than public statements suggest.
Cairo fears the US and Israel will next turn their attention to carrying out Mr Trump’s proposal to force Palestinians to leave Gaza and resettle elsewhere, including in Egypt's Sinai Peninsula.
Egypt has repeatedly warned that this would undermine its national security, damage the Palestinian cause and weaken the argument for two-state solution.
Pro-government media figures, including popular talk show hosts, have criticised Israel and assured Egyptians that Mr El Sisi and the country's military are there to stymie Israel's efforts to change the region's political landscape.
Separately, the Grand Imam of Cairo's Al Azhar Mosque, Dr Ahmed Al Tayeb, has supported Iran against Israel, condemning Israel's attacks in a Farsi-language Facebook post. As the head of the world’s foremost seat of Sunni Islam learning, his words carry significant weight given that Iran is predominantly Shiite.
Egypt and Israel signed a US-sponsored peace treaty in 1979 that is widely viewed as a cornerstone of regional stability. But Egypt’s military doctrine continues to present Israel as the nation’s chief adversary.
Egyptian military drills are largely focused on the Sinai Peninsula being the most probable theatre of future hostilities, just as the mainly desert territory was in the wars with Israel in 1948, 1956, 1967 and 1973.
Egypt currently faces chronic economic woes, while losing much of its allure as a regional cultural and arts centre. Paradoxically, Egypt has the region's largest army, equipped with cutting-edge weapons procured from the US, Russia, western Europe and China.
“Egypt needs smart partnerships with rational regional powers … that will create a ‘crescent of stability’ based on interests not ideology,” US-based political scientist and commentator Mamoun Fandy wrote in an open letter to Mr El Sisi.
“We don’t need a military confrontation to prove our presence but rather economic and political engineering that convinces the region and the world that Egypt remains the ultimate cornerstone of the Middle East. Mr President, history is not written through neutrality but is made with courageous and conscious positions.”
Amr Hashem Radia, another Egyptian commentator, has made similar points about Egypt’s foreign policy. He urged authorities to “open up the public space" and enable more freedom of expression. That will help the government should it need to make “unilateral decisions” to deal with the effects of the Israel-Iran conflict, he said.
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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Marathon results
Men:
1. Titus Ekiru(KEN) 2:06:13
2. Alphonce Simbu(TAN) 2:07:50
3. Reuben Kipyego(KEN) 2:08:25
4. Abel Kirui(KEN) 2:08:46
5. Felix Kemutai(KEN) 2:10:48
Women:
1. Judith Korir(KEN) 2:22:30
2. Eunice Chumba(BHR) 2:26:01
3. Immaculate Chemutai(UGA) 2:28:30
4. Abebech Bekele(ETH) 2:29:43
5. Aleksandra Morozova(RUS) 2:33:01
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