French fans enthralled by the Olympic swimming. Reuters
French fans enthralled by the Olympic swimming. Reuters
French fans enthralled by the Olympic swimming. Reuters
French fans enthralled by the Olympic swimming. Reuters

Paris Olympic thrills put France's political woes on backburner


Sunniva Rose
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Follow the latest news on the 2024 Paris Olympics

In a commuter train leaving Paris for a western suburb this week, a surprising scene played out. Strangers started talking to each other. They excitedly swapped stories. The reason? The Olympic Games.

Wearing Paris 2024 T-shirts, an elderly couple opened a conversation with a man in his thirties watching a fencing bout on his phone with his son.

“Aren't the Games amazing? We needed it, after all the stress we went through with the elections,” said the older man before discussing fencing rules.

A few minutes later, he and his wife got off the train after a polite goodbye. It was an unusual scene on public transport where people usually avoid the gaze of other passengers and tensions can boil over because of lack of space.

After months of opinion polls showing widespread indifference and anxiety over the Paris Olympic Games, France has been taken by surprise by its own enthusiasm for the international sporting event. It draws to a close on Sunday after two weeks of athletic excellence in which the home nation has shone, the public rallying around their efforts.

This has led to introspection from some commentators, now worried they contributed to needless negativity about worries over security and transport.

“At what point does critical thinking take the shape of systematic negativity?” asked Simon Le Baron this week on his morning show on France Inter, the country's most popular radio station.

Paris lit up

The most obvious symbol of this unabashed excitement for the Games has been the popularity of the Olympic cauldron, which was lit at the opening ceremony on July 26 and sits inside a hot-air balloon.

The Olympics has been a big hit in Paris, scotching previous negativity surrounding the event. Getty Images
The Olympics has been a big hit in Paris, scotching previous negativity surrounding the event. Getty Images

Every night after sunset, the balloon rises carrying what looks like a ring of fire above the Tuileries Garden near the Louvre, in perfect alignment with the scintillating Eiffel Tower.

For the first time in the history of the modern Olympic Games, the flame is not real fire – it's an illusion created by mist and beams of light. Organisers made the choice out of safety and environmental concerns.

The golden balloon is free to visit but spots must be reserved in advance. It has proven so popular that the 10,000 daily places sell out quickly. Thousands have gathered in areas that are free to access nearby as alternative viewing spots.

Supporters wave French flags during a beach volleyball match at Eiffel Tower Stadium. AP
Supporters wave French flags during a beach volleyball match at Eiffel Tower Stadium. AP

There are families, tourists and people stopping by after work. Wearing a white shirt with his jacket slung across a shoulder, Philippe, a manager at the Paris region public transport network, was part of the crowd on a recent night.

“Everybody's talking about the cauldron at work,” he says. “It's beautiful.”

Frederique, 56, a pharmacist, says people now laugh at their pre-Games pessimism.

“It's very French to complain like that,” he said. “I've even heard from friends who now say they regret leaving Paris for the Games.”

'LA, you have a problem'

Both men say they are happy that France's reputation has improved thanks to the Games. Like many, they follow what the rest of the world thinks closely.

In private, officials have difficulty in hiding their pleasure at social media posts such as “Los Angeles 2028, you have a problem”, written by The Economist's Paris bureau chief Sophie Pedder and reposted more than 5,000 times.

The post was accompanied by pictures of beach volleyball in front of the Eiffel Tower, fencing at the Grand Palais, horse riding in Versailles and BMX at Place de la Concorde.

“I don't think they have a problem, but they have a challenge,” one French diplomat said. “It was a bold initiative. It was difficult. Honestly, we didn't make our life easy with this project, but it was worth it. It is worth it.”

The general good mood has even spread to the public's relations with security forces, which are usually more on the tense side.

The police and military have deployed nearly 50,000 personnel across the city. Public displays of appreciation for their work have soared as videos spread on social media of them dancing and playing ball sports with civilians.

Parisians and tourists frequently pose for selfies with French police and troops, alongside some of the 1,800 foreign officers from 44 countries sent to support them.

“Taking pictures with foreign policemen has become a new Olympic discipline,” the diplomat said, amused.

France is falling squarely in the three expected stages that the host of the Games tends to experience, said Armand de Rendinger, a consultant and Olympic Games expert.

French Olympic gold-medallist swimmer Leon Marchand. AFP
French Olympic gold-medallist swimmer Leon Marchand. AFP

First complaints, second implementation and euphoria, and third, expected for September: depression and accountability.

“For [the] Games to succeed, organisation has to be impeccable. And the host country has to obtain the maximum number of medals in the first days. Then, mobilisation can be fantastic,” Mr de Rendinger told The National.

France has so far won 54 medals, 11 more than its previous record at the 2008 Games in Beijing.

It ranks fourth behind US, China and Australia and has also won 14 golds, one short of its 1996 record haul in Atlanta.

Athletes become superstars

The country's new heroes include swimmer Leon Marchand, 22, previously unknown to the French public at large, and 17-year-old bespectacled table tennis champion Felix Lebrun.

As La Marseillaise, the country's national anthem, resonates in stadiums, there have been videos circulating that show people swapping the word “marchons” – “lets' walk” – with “Marchand”.

“Athletes have finally seized power by winning medals and fulfilling expectations,” said Mr de Redinger. “It's created a passion for the Games that I've rarely seen before.”

France's Felix Lebrun celebrates after winning the men's table tennis singles bronze medal match. AFP
France's Felix Lebrun celebrates after winning the men's table tennis singles bronze medal match. AFP

Few have wanted to break this joyous spirit after weeks of soul-searching since the far-right's historic win at a European election that triggered snap national polls in early July.

The far-right's anti-migrant rhetoric left many French citizens of African or Arab heritage wondering if they were second-class citizens.

A system of alliances limited its gains in the parliamentary election but the country is now mired in paralysis, with a caretaker government.

Only a few months ago, far-right figurehead Marine Le Pen had lashed out at the idea of pop star Aya Nakamura singing at the opening ceremony.

Supporters celebrate while watching France's Leon Marchand in the final of the men's 200m individual medley swimming event on a large screen in Paris. AFP
Supporters celebrate while watching France's Leon Marchand in the final of the men's 200m individual medley swimming event on a large screen in Paris. AFP

Ms Le Pen mocked Ms Nakamura, who is originally from Mali, for her use of the French language and said her presence would be a “humiliation for the French people”.

But the politician, 56, daughter of her party's founder and Holocaust denier Jean-Marie Le Pen, chose silence after the opening ceremony.

It featured Ms Nakamura singing and dancing to her hit song Djadja surrounded by the Republican Guard in uniform. Approval ratings for the ceremony were above 80 per cent in France.

Ms Le Pen then posted a series of social media posts congratulating French athletes and the national railway company for its quick reaction to apparent sabotage on the morning of the opening ceremony, the only major glitch so far.

Her party, the National Rally, is loath to appear a killjoy. “The controversy between the left and right has died down for now,” said Mr de Rendinger.

“Leveraging the Games to make society more inclusive” was one of the mission statements of Paris 2024, from the drag show during the opening ceremony, to the addition of “breaking” (or breakdancing), which starts Friday, to the Olympic programme.

Visitors pose for pictures near the Olympic rings in front of the Louvre, Paris. AFP
Visitors pose for pictures near the Olympic rings in front of the Louvre, Paris. AFP

It is a performance art, less seen as a sport, with a young and diverse audience.

“It's incredible,” says 26-year-old breaker Sebastian, resting from his spinning at the CentQuatre centre in northern Paris. “Especially for young people to get involved, to get inspired, to see this on television.”

These have also been the first gender-balanced Games in the history of the Olympiad.

France is acutely aware that this rare moment of consensus will be over soon. The Games end on September 8 with the close of the Paralympics. A change of mood is to be expected.

President Emmanuel Macron will have to appoint a new government. The Games' organisers will have to calculate exactly how much money they spent.

“We'll enter a period of depression. After such a beautiful party, people will have to be reminded of the fact that the political situation is not exactly something to celebrate,” said Mr de Rendinger.

Philippe echoed this feeling as he prepared to watch the Olympic cauldron rise in the summer sky in a cloud of smoke: “I'm a bit worried that we'll wake up from this with a hangover.”

Matt Kynaston contributed to this report

TOP%2010%20MOST%20POLLUTED%20CITIES
%3Cp%3E1.%20Bhiwadi%2C%20India%0D%3Cbr%3E2.%20Ghaziabad%2C%20India%0D%3Cbr%3E3.%20Hotan%2C%20China%0D%3Cbr%3E4.%20Delhi%2C%20India%0D%3Cbr%3E5.%20Jaunpur%2C%20India%0D%3Cbr%3E6.%20Faisalabad%2C%20Pakistan%0D%3Cbr%3E7.%20Noida%2C%20India%0D%3Cbr%3E8.%20Bahawalpur%2C%20Pakistan%0D%3Cbr%3E9.%20Peshawar%2C%20Pakistan%0D%3Cbr%3E10.%20Bagpat%2C%20India%3C%2Fp%3E%0A%3Cp%3E%3Cem%3ESource%3A%20IQAir%3C%2Fem%3E%3C%2Fp%3E%0A
How to apply for a drone permit
  • Individuals must register on UAE Drone app or website using their UAE Pass
  • Add all their personal details, including name, nationality, passport number, Emiratis ID, email and phone number
  • Upload the training certificate from a centre accredited by the GCAA
  • Submit their request
What are the regulations?
  • Fly it within visual line of sight
  • Never over populated areas
  • Ensure maximum flying height of 400 feet (122 metres) above ground level is not crossed
  • Users must avoid flying over restricted areas listed on the UAE Drone app
  • Only fly the drone during the day, and never at night
  • Should have a live feed of the drone flight
  • Drones must weigh 5 kg or less
Mica

Director: Ismael Ferroukhi

Stars: Zakaria Inan, Sabrina Ouazani

3 stars

FFP EXPLAINED

What is Financial Fair Play?
Introduced in 2011 by Uefa, European football’s governing body, it demands that clubs live within their means. Chiefly, spend within their income and not make substantial losses.

What the rules dictate? 
The second phase of its implementation limits losses to €30 million (Dh136m) over three seasons. Extra expenditure is permitted for investment in sustainable areas (youth academies, stadium development, etc). Money provided by owners is not viewed as income. Revenue from “related parties” to those owners is assessed by Uefa's “financial control body” to be sure it is a fair value, or in line with market prices.

What are the penalties? 
There are a number of punishments, including fines, a loss of prize money or having to reduce squad size for European competition – as happened to PSG in 2014. There is even the threat of a competition ban, which could in theory lead to PSG’s suspension from the Uefa Champions League.

Results

Stage three:

1. Stefan Bissegger (SUI) EF Education-EasyPost, in 9-43

2. Filippo Ganna (ITA) Ineos Grenadiers, at 7s

3. Tom Dumoulin (NED) Jumbo-Visma, at 14s

4. Tadej Pogacar (SLO) UAE-Team Emirates, at 18s

5. Joao Almeida (POR) UAE-Team Emirates, at 22s

6. Mikkel Bjerg (DEN) UAE-Team Emirates, at 24s

General Classification:

1. Stefan Bissegger (SUI) EF Education-EasyPost, in 9-13-02

2. Filippo Ganna (ITA) Ineos Grenadiers, at 7s

3. Jasper Philipsen (BEL) Alpecin Fenix, at 12s

4. Tom Dumoulin (NED) Jumbo-Visma, at 14s

5. Tadej Pogacar (SLO) UAE-Team Emirates, at 18s

6. Joao Almeida (POR) UAE-Team Emirates, at 22s

How to donate

Send “thenational” to the following numbers or call the hotline on: 0502955999
2289 – Dh10
2252 – Dh 50
6025 – Dh20
6027 – Dh 100
6026 – Dh 200

if you go

The flights

Etihad, Emirates and Singapore Airlines fly direct from the UAE to Singapore from Dh2,265 return including taxes. The flight takes about 7 hours.

The hotel

Rooms at the M Social Singapore cost from SG $179 (Dh488) per night including taxes.

The tour

Makan Makan Walking group tours costs from SG $90 (Dh245) per person for about three hours. Tailor-made tours can be arranged. For details go to www.woknstroll.com.sg

Muslim Council of Elders condemns terrorism on religious sites

The Muslim Council of Elders has strongly condemned the criminal attacks on religious sites in Britain.

It firmly rejected “acts of terrorism, which constitute a flagrant violation of the sanctity of houses of worship”.

“Attacking places of worship is a form of terrorism and extremism that threatens peace and stability within societies,” it said.

The council also warned against the rise of hate speech, racism, extremism and Islamophobia. It urged the international community to join efforts to promote tolerance and peaceful coexistence.

Company%C2%A0profile
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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%20specs
%3Cp%3E%3Cstrong%3EPowertrain%3A%20%3C%2Fstrong%3ESingle%20electric%20motor%0D%3Cbr%3E%3Cstrong%3EPower%3A%20%3C%2Fstrong%3E201hp%0D%3Cbr%3E%3Cstrong%3ETorque%3A%20%3C%2Fstrong%3E310Nm%0D%3Cbr%3E%3Cstrong%3ETransmission%3A%20%3C%2Fstrong%3ESingle-speed%20auto%0D%3Cbr%3E%3Cstrong%3EBattery%3A%20%3C%2Fstrong%3E53kWh%20lithium-ion%20battery%20pack%20(GS%20base%20model)%3B%2070kWh%20battery%20pack%20(GF)%0D%3Cbr%3E%3Cstrong%3ETouring%20range%3A%20%3C%2Fstrong%3E350km%20(GS)%3B%20480km%20(GF)%0D%3Cbr%3E%3Cstrong%3EPrice%3A%20%3C%2Fstrong%3EFrom%20Dh129%2C900%20(GS)%3B%20Dh149%2C000%20(GF)%0D%3Cbr%3E%3Cstrong%3EOn%20sale%3A%3C%2Fstrong%3E%20Now%3C%2Fp%3E%0A
The specs

Engine: 5.0-litre supercharged V8

Transmission: Eight-speed auto

Power: 575bhp

Torque: 700Nm

Price: Dh554,000

On sale: now

The National Archives, Abu Dhabi

Founded over 50 years ago, the National Archives collects valuable historical material relating to the UAE, and is the oldest and richest archive relating to the Arabian Gulf.

Much of the material can be viewed on line at the Arabian Gulf Digital Archive - https://www.agda.ae/en

How Tesla’s price correction has hit fund managers

Investing in disruptive technology can be a bumpy ride, as investors in Tesla were reminded on Friday, when its stock dropped 7.5 per cent in early trading to $575.

It recovered slightly but still ended the week 15 per cent lower and is down a third from its all-time high of $883 on January 26. The electric car maker’s market cap fell from $834 billion to about $567bn in that time, a drop of an astonishing $267bn, and a blow for those who bought Tesla stock late.

The collapse also hit fund managers that have gone big on Tesla, notably the UK-based Scottish Mortgage Investment Trust and Cathie Wood’s ARK Innovation ETF.

Tesla is the top holding in both funds, making up a hefty 10 per cent of total assets under management. Both funds have fallen by a quarter in the past month.

Matt Weller, global head of market research at GAIN Capital, recently warned that Tesla founder Elon Musk had “flown a bit too close to the sun”, after getting carried away by investing $1.5bn of the company’s money in Bitcoin.

He also predicted Tesla’s sales could struggle as traditional auto manufacturers ramp up electric car production, destroying its first mover advantage.

AJ Bell’s Russ Mould warns that many investors buy tech stocks when earnings forecasts are rising, almost regardless of valuation. “When it works, it really works. But when it goes wrong, elevated valuations leave little or no downside protection.”

A Tesla correction was probably baked in after last year’s astonishing share price surge, and many investors will see this as an opportunity to load up at a reduced price.

Dramatic swings are to be expected when investing in disruptive technology, as Ms Wood at ARK makes clear.

Every week, she sends subscribers a commentary listing “stocks in our strategies that have appreciated or dropped more than 15 per cent in a day” during the week.

Her latest commentary, issued on Friday, showed seven stocks displaying extreme volatility, led by ExOne, a leader in binder jetting 3D printing technology. It jumped 24 per cent, boosted by news that fellow 3D printing specialist Stratasys had beaten fourth-quarter revenues and earnings expectations, seen as good news for the sector.

By contrast, computational drug and material discovery company Schrödinger fell 27 per cent after quarterly and full-year results showed its core software sales and drug development pipeline slowing.

Despite that setback, Ms Wood remains positive, arguing that its “medicinal chemistry platform offers a powerful and unique view into chemical space”.

In her weekly video view, she remains bullish, stating that: “We are on the right side of change, and disruptive innovation is going to deliver exponential growth trajectories for many of our companies, in fact, most of them.”

Ms Wood remains committed to Tesla as she expects global electric car sales to compound at an average annual rate of 82 per cent for the next five years.

She said these are so “enormous that some people find them unbelievable”, and argues that this scepticism, especially among institutional investors, “festers” and creates a great opportunity for ARK.

Only you can decide whether you are a believer or a festering sceptic. If it’s the former, then buckle up.

Company%C2%A0profile
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KINGDOM%20OF%20THE%20PLANET%20OF%20THE%20APES
%3Cp%3E%3Cstrong%3EDirector%3A%3C%2Fstrong%3E%20Wes%20Ball%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3EStarring%3A%3C%2Fstrong%3E%20Owen%20Teague%2C%20Freya%20Allen%2C%20Kevin%20Durand%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3ERating%3A%20%3C%2Fstrong%3E3.5%2F5%3C%2Fp%3E%0A
Most match wins on clay

Guillermo Vilas - 659

Manuel Orantes - 501

Thomas Muster - 422

Rafael Nadal - 399 *

Jose Higueras - 378

Eddie Dibbs - 370

Ilie Nastase - 338

Carlos Moya - 337

Ivan Lendl - 329

Andres Gomez - 322

Real estate tokenisation project

Dubai launched the pilot phase of its real estate tokenisation project last month.

The initiative focuses on converting real estate assets into digital tokens recorded on blockchain technology and helps in streamlining the process of buying, selling and investing, the Dubai Land Department said.

Dubai’s real estate tokenisation market is projected to reach Dh60 billion ($16.33 billion) by 2033, representing 7 per cent of the emirate’s total property transactions, according to the DLD.

The BIO:

He became the first Emirati to climb Mount Everest in 2011, from the south section in Nepal

He ascended Mount Everest the next year from the more treacherous north Tibetan side

By 2015, he had completed the Explorers Grand Slam

Last year, he conquered K2, the world’s second-highest mountain located on the Pakistan-Chinese border

He carries dried camel meat, dried dates and a wheat mixture for the final summit push

His new goal is to climb 14 peaks that are more than 8,000 metres above sea level

AIDA%20RETURNS
%3Cp%3E%3Cstrong%3EDirector%3A%20%3C%2Fstrong%3ECarol%20Mansour%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3EStarring%3A%20%3C%2Fstrong%3EAida%20Abboud%2C%20Carol%20Mansour%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3ERating%3A%3C%2Fstrong%3E%203.5.%2F5%3C%2Fp%3E%0A

Normal People

Sally Rooney, Faber & Faber
 

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.”

Updated: August 09, 2024, 12:12 PM