Europe could play vital role in Qatar crisis, analysts say


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As the crisis between Qatar and its GCC neighbours continues to loom over the Gulf, analysts say the European Union could play a vital role in contributing to the solution.

In a talk on the Gulf Diplomatic Crisis and its Relevance for Europe that took place in Brussels on Tuesday morning, they spoke of issues of cooperation among states in dealing with terrorism, Qatar’s “poor record” in this regard and using the European example to help contribute to resolving the matter.

“We are primarily looking at Qatar's extensive practice in supporting terrorism and extremism,” said Dr Richard Burchill, one of the speakers and the director of engagement and research at Abu Dhabi think tank Trends Research and Advisory.

“This is important because the global and regional efforts to counter and overcome terrorism and extremism cannot tolerate one state acting contrary to collective efforts. The 2013-2014 agreements with Qatar attempted to put in place a collective stance on stopping support for terrorism and extremism and Qatar chose to disregard this.”

He said this issue was crucial as countering terrorism and extremism was a global concern. “Qatar needs to cooperate with its neighbours and the wider world in stopping support for terrorism and extremism,” said Dr Burchill. “Where there are designated terrorists in its territory it needs to act and it needs to cooperate with the GCC.”

The UAE, Saudi Arabia, Egypt and Bahrain imposed sanctions on Qatar on June 5, cutting all ties with the country over accusations it is financing terrorist and extremist groups. Egypt announced on Monday that Qatari nationals, with some exceptions, will as of July 20 be required to apply for a visa to enter the country.

Dr Anwar Gargash, Minister of State for Foreign Affairs, also said on Monday that the solution must be found within the region but that it must be guaranteed from outside.

Experts say Europe has a role to play in showing how states with different views can cooperate. “There is an opportunity for the institutions of Europe to step in and take a more direct role in the matter,” said Dr Ahmed Al Hamli, president and founder of Trends, in an article on euractiv.com this week. “European cooperation is built on the foundations of ideological and political differences. The region has been successful in building institutions that instill confidence and cooperation among states – Europe needs to bring these experiences to the Gulf to support global security.”

Marc Martinez, senior associate at Abu Dhabi think tank The Delma Institute, said the question of terrorism is crucial in Europe. “After the recent attacks in London and Manchester, British citizens have been more assertive in their demands for concrete answers to the ever-growing terrorist threat,” he said. “The European Union is divided on counter-terrorism and although its members will all pledge on the necessity to cooperate, they continue to develop their own national counterterrorism strategies.”

He added that the concept of sovereignty in the age of transnational terrorism is in question.

"Because there is no unified European strategy to combat terrorism, Gulf countries cannot expect any form of assistance from the EU itself, although there is most likely a lot of experience to gain from studying the difficulties European countries faced in their attempt to mutualise the fight against terror,” Mr  Martinez said.

“Cooperation is an absolute necessity but the modalities of this cooperation will be key as it will mutually engage the participants. Negotiation should include, for example, the frequency, reciprocity and automaticity of the exchange of intelligence.”

Mr Martinez said increasing the existing level of counterterrorism cooperation between members of the EU and the GCC will most likely have to wait for the peaceful resolution of the current tensions with Qatar.

But meanwhile, according to Dr Burchill, “To have a GCC member not cooperating but also supporting the forces one is trying to overcome is detrimental to the national efforts".

He continued: “The main challenges in tackling terrorism and extremism is getting agreement on who is a terrorist and the extent of threats from extremism. But the United Nations has a designated terrorist list, the United States has one as well, and it is clear that cooperation in these situations is needed, but then states need the political will to cooperate.

“So far, Qatar is inclined to pursue its own policies but this is now becoming destabilising when the region needs more stability, not less.”

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Leap of Faith

Michael J Mazarr

Public Affairs

Dh67
 

PREMIER LEAGUE FIXTURES

Saturday (UAE kick-off times)

Watford v Leicester City (3.30pm)

Brighton v Arsenal (6pm)

West Ham v Wolves (8.30pm)

Bournemouth v Crystal Palace (10.45pm)

Sunday

Newcastle United v Sheffield United (5pm)

Aston Villa v Chelsea (7.15pm)

Everton v Liverpool (10pm)

Monday

Manchester City v Burnley (11pm)

Results:

Men's 100m T34: 1. Walid Ktila (TUN) 15 sec; 2. Rheed McCracken (AUS) 15.40; 3. Mohammed Al Hammadi (UAE) 15.75. Men's 400m T34: 1. Walid Ktila (TUN) 50.56; 2. Mohammed Al Hammadi (UAE) 50.94; 3. Henry Manni (FIN) 52.24.

PREMIER LEAGUE FIXTURES

All times UAE ( 4 GMT)

Saturday
West Ham United v Tottenham Hotspur (3.30pm)
Burnley v Huddersfield Town (7pm)
Everton v Bournemouth (7pm)
Manchester City v Crystal Palace (7pm)
Southampton v Manchester United (7pm)
Stoke City v Chelsea (7pm)
Swansea City v Watford (7pm)
Leicester City v Liverpool (8.30pm)

Sunday
Brighton and Hove Albion v Newcastle United (7pm)

Monday
Arsenal v West Bromwich Albion (11pm)

What sanctions would be reimposed?

Under ‘snapback’, measures imposed on Iran by the UN Security Council in six resolutions would be restored, including:

  • An arms embargo
  • A ban on uranium enrichment and reprocessing
  • A ban on launches and other activities with ballistic missiles capable of delivering nuclear weapons, as well as ballistic missile technology transfer and technical assistance
  • A targeted global asset freeze and travel ban on Iranian individuals and entities
  • Authorisation for countries to inspect Iran Air Cargo and Islamic Republic of Iran Shipping Lines cargoes for banned goods
Results

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7.05pm: Handicap (TB) $68,000 (Turf) 2,410m, Winner: Star Safari, William Buick, Charlie Appleby

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8.15pm: Al Maktoum Challenge Round 2 - Group 2 (TB) $293,000 (D) 1,900m, Winner: Salute The Soldier, Adrie de Vries, Fawzi Nass

8.50pm: Al Rashidiya – Group 2 (TB) $163,000 (T) 1,800m, Winner: Zakouski, William Buick, Charlie Appleby

9.25pm: Handicap (TB) $65,000 (T) 1,000m, Winner: Motafaawit, Sam Hitchcock, Doug Watson

Avatar: Fire and Ash

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Starring: Sam Worthington, Sigourney Weaver, Zoe Saldana

Rating: 4.5/5

The Perfect Couple

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Email sent to Uber team from chief executive Dara Khosrowshahi

From: Dara

To: Team@

Date: March 25, 2019 at 11:45pm PT

Subj: Accelerating in the Middle East

Five years ago, Uber launched in the Middle East. It was the start of an incredible journey, with millions of riders and drivers finding new ways to move and work in a dynamic region that’s become so important to Uber. Now Pakistan is one of our fastest-growing markets in the world, women are driving with Uber across Saudi Arabia, and we chose Cairo to launch our first Uber Bus product late last year.

Today we are taking the next step in this journey—well, it’s more like a leap, and a big one: in a few minutes, we’ll announce that we’ve agreed to acquire Careem. Importantly, we intend to operate Careem independently, under the leadership of co-founder and current CEO Mudassir Sheikha. I’ve gotten to know both co-founders, Mudassir and Magnus Olsson, and what they have built is truly extraordinary. They are first-class entrepreneurs who share our platform vision and, like us, have launched a wide range of products—from digital payments to food delivery—to serve consumers.

I expect many of you will ask how we arrived at this structure, meaning allowing Careem to maintain an independent brand and operate separately. After careful consideration, we decided that this framework has the advantage of letting us build new products and try new ideas across not one, but two, strong brands, with strong operators within each. Over time, by integrating parts of our networks, we can operate more efficiently, achieve even lower wait times, expand new products like high-capacity vehicles and payments, and quicken the already remarkable pace of innovation in the region.

This acquisition is subject to regulatory approval in various countries, which we don’t expect before Q1 2020. Until then, nothing changes. And since both companies will continue to largely operate separately after the acquisition, very little will change in either teams’ day-to-day operations post-close. Today’s news is a testament to the incredible business our team has worked so hard to build.

It’s a great day for the Middle East, for the region’s thriving tech sector, for Careem, and for Uber.

Uber on,

Dara

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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

Sam Smith

Where: du Arena, Abu Dhabi

When: Saturday November 24

Rating: 4/5

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When to visit

March-May and September-November

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