Insight and opinion from The National’s editorial leadership
August 30, 2021
Bad news, as it often does, is drowning out good news in the Middle East, particularly during the past month. The region is bracing itself for new challenges, none more vast than Afghanistan's ongoing crisis.
But Saturday's Baghdad Conference for Co-operation and Partnership, hosted by Iraq, means that August is concluding with a measure of good news. Leaders and senior officials from across the Middle East and beyond participated in the one-day summit, some of whom shared sessions with supposed regional rivals, in a bid to promote dialogue and partnership over hostility.
Like Afghanistan, the meeting's long-term consequences are hard to predict. But this time, there are grounds to hope that they could be significantly positive.
Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai, leads the UAE delegation to the regional summit in Baghdad. Twitter
The conference has been a political success for Iraq, as well as a chance for its leaders to rally global support as the country seeks to stabilise itself after decades of strife. Iraq's Prime Minister, Mustafa Al Kadhimi, emphasised particularly his desire for increased foreign investment in Iraqi cities, in order that they modernise sustainably.
Financial means might be one way of supporting the country, but Mr Al Kadhimi also stressed an even more fundamental one: stabilising the region, because Iraq's domestic security and prosperity is inextricable from regional politics, and vice versa.
Decades of instability in Iraq make this ultimate goal difficult to achieve. But the conference reminded all in attendance that the remedies are obvious: co-operation and building partnerships among countries that have influence over Baghdad.
Far less certain is how to go about realising these ideals. But gathering leaders from the UAE, Egypt, France, Jordan, Kuwait, Qatar and Saudi Arabia, as well as senior officials from Iran, Turkey, the EU and the GCC, among others, is an important and unprecedented start.
While in its very early stages, the beginning of such a diverse consensus should not be underplayed. Division, often violent, has become dangerously normalised in the Middle East. Today, if Iraq can slowly start to assemble a regional consensus, so can others.
Throughout its history, Baghdad has hosted people from across the region and the world, for better or worse. Cosmopolitanism and diversity during the time of the Abbasids gave us one of mankind's most important intellectual eras. In recent times, the presence of foreign powers has, on the whole, not been to the country's benefit. But the belligerence of recent dynamics is not an excuse for abandoning dialogue, and it is for this reason that French President Emmanuel Macron is right to call Saturday's conference historic. Sheikh Mohammed bin Rashid, UAE Vice President and Ruler of Dubai, has said that the meeting marks a revival of Baghdad's “regional and global position”.
The current state of the region is set to become even more complicated in the coming months. Adding to this tragedy is the sense that such a deterioration was not inevitable. But among the many rivalries and mistakes in the Middle East, recent and historic, Baghdad Conference for Co-operation and Partnership at least brings hope that the ideal of diplomacy over hostility still attracts the attention of major powers.
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2002: "Hezbollah supporters feared becoming a target of security services because of the effects of [9/11] ... discussions on Hezbollah policy moved from mosques into smaller circles in private homes." Supporters in Germany: 800
2013: "Financial and logistical support from Germany for Hezbollah in Lebanon supports the armed struggle against Israel ... Hezbollah supporters in Germany hold back from actions that would gain publicity." Supporters in Germany: 950
2023: "It must be reckoned with that Hezbollah will continue to plan terrorist actions outside the Middle East against Israel or Israeli interests." Supporters in Germany: 1,250
Source: Federal Office for the Protection of the Constitution
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Founders: Michele Ferrario, Nino Ulsamer and Freddy Lim Started: established in 2016 and launched in July 2017 Based: Singapore, with offices in the UAE, Malaysia, Hong Kong, Thailand Sector: FinTech, wealth management Initial investment: $500,000 in seed round 1 in 2016; $2.2m in seed round 2 in 2017; $5m in series A round in 2018; $12m in series B round in 2019; $16m in series C round in 2020 and $25m in series D round in 2021 Current staff: more than 160 employees Stage: series D Investors: EightRoads Ventures, Square Peg Capital, Sequoia Capital India
Starring: Joaquin Phoenix, Lady Gaga, Brendan Gleeson
Director: Todd Phillips
Rating: 2/5
2018 ICC World Twenty20 Asian Western Regional Qualifier
Saturday results
Qatar beat Kuwait by 26 runs
Bahrain beat Maldives by six wickets
UAE beat Saudi Arabia by seven wickets
Monday fixtures
Maldives v Qatar
Saudi Arabia v Kuwait
Bahrain v UAE
* The top three teams progress to the Asia Qualifier
The biog
Favourite book: Animal Farm by George Orwell
Favourite music: Classical
Hobbies: Reading and writing
The specs
Engine: Long-range single or dual motor with 200kW or 400kW battery
Power: 268bhp / 536bhp
Torque: 343Nm / 686Nm
Transmission: Single-speed automatic
Max touring range: 620km / 590km
Price: From Dh250,000 (estimated)
On sale: Later this year
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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They do not usually recommend investing in Bitcoin or other cryptocurrencies due to the risk and volatility associated with them.
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He adds that if a person is interested in owning a business or growing a property portfolio to increase their retirement income, this can be encouraged provided they keep in mind the overall risk profile of these assets.
From Zero
Artist: Linkin Park
Label: Warner Records
Number of tracks: 11
Rating: 4/5
Dust and sand storms compared
Sand storm
Particle size: Larger, heavier sand grains
Visibility: Often dramatic with thick "walls" of sand
Duration: Short-lived, typically localised
Travel distance: Limited
Source: Open desert areas with strong winds
Dust storm
Particle size: Much finer, lightweight particles
Visibility: Hazy skies but less intense
Duration: Can linger for days
Travel distance: Long-range, up to thousands of kilometres
