Russian President Vladimir Putin and Indian Prime Minister Narendra Modi during a meeting three years ago in New Delhi. Experts say today's trip by Mr Putin to India carries a lot of importance and symbolism. Photo: AFP
Russian President Vladimir Putin and Indian Prime Minister Narendra Modi during a meeting three years ago in New Delhi. Experts say today's trip by Mr Putin to India carries a lot of importance and symbolism. Photo: AFP
Russian President Vladimir Putin and Indian Prime Minister Narendra Modi during a meeting three years ago in New Delhi. Experts say today's trip by Mr Putin to India carries a lot of importance and symbolism. Photo: AFP
Russian President Vladimir Putin and Indian Prime Minister Narendra Modi during a meeting three years ago in New Delhi. Experts say today's trip by Mr Putin to India carries a lot of importance and sy

Putin visits India amid New Delhi's growing friendship with Washington


Taniya Dutta
  • English
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Military deals and geopolitics will top the agenda during Russian President Vladimir Putin's whirlwind visit to India on Monday.

The trip is a result of the traditional allies seeking to improve ties despite New Delhi’s growing friendliness with Washington.

India and the US have forged closer relations in recent years to counter China’s growing influence in the region.

But this has overshadowed what India and Russia have described as a “special, privileged strategic partnership”, particularly as Moscow remains a long-time partner of Beijing.

Mr Putin’s nearly eight-hour stay in New Delhi on Monday to meet Prime Minister Narendra Modi is regarded as a renewed outreach by Russia to realign the relationship.

The approach is expected to strengthen military and diplomatic ties, despite both countries following different paths on vital geopolitical issues.

It will be Mr Putin’s first bilateral visit in nearly two years following the outbreak of the global pandemic. Experts say the trip to India carries a lot of importance and symbolism.

“This meeting conveys a message globally that Putin coming down to India, when he has not travelled abroad, implies that he is giving importance to Indo-Russian relations,” Harsha Kakar, a retired major general in the Indian Army, told The National.

Mr Putin will hold a one-on-one meeting with Mr Modi. Their foreign and defence ministers will also hold talks.

About 10 bilateral agreements will be signed during the visit, Yuri Ushakov, a Russian presidential aides, was quoted as saying by Tass news agency.

Russian President Vladimir Putin is making his first bilateral tour to India in nearly two years. Photo: Reuters
Russian President Vladimir Putin is making his first bilateral tour to India in nearly two years. Photo: Reuters

The two leaders will also take part in the 21st annual summit between the two countries. Mr Modi visited Russia for the last summit in 2019.

Last year’s annual meeting was cancelled owing to the pandemic and amid Moscow’s growing discontent over New Delhi’s participation in the Quadrilateral Security Dialogue – an informal alliance between the US, Japan, Australia and India to counter China in the Asia-Pacific region.

“The fact remains – despite irritants and some divergence in their regional interest or world view, the two countries still find each other to be very important partners,” said Sanjay Kumar Pandey, a professor at Jawaharlal Nehru University's Centre for Russian and Central Studies.

The focus of the visit will remain the delivery of the Russian S-400 missile defence system to New Delhi as it seeks to modernise its military amid growing tensions with China and arch-rival Pakistan.

The $5.4-billion deal signed in 2018 could, however, disrupt the growing camaraderie between India and the US.

Washington could impose sanctions on New Delhi for breaching the Countering America’s Adversaries Through Sanctions Act. This can punish countries regarded as acting against US interests.

Russia 'needs Indian investment'

India has reportedly received several units of the S-400 Triumf missiles while ignoring US concerns, stating that the deal was a “sovereign decision”.

Russia has historically remained New Delhi’s largest arms supplier and the two countries are likely to sign several military hardware deals, including one joint venture to manufacture 750,000 AK-203 assault rifles for India's armed forces.

Experts say the US will move carefully regarding India’s military deals with Russia, and New Delhi should remain steadfast in its relationship with Moscow.

“Russia wants its continued stake in the Indian defence market, which are its main exports, Mr Kakar said.

"It needs Indian investments – both nations are going to be looking at moving forward rather than letting stumbling blocks get in their way.”

India was a close ally of the Soviet Union during the Cold War but growing ties between Washington and New Delhi to counter Beijing has made Moscow jittery because both China and Russia aim to blunt US global influence.

The leaders are also likely to discuss the regional rift between India and China that has led to the US backing India, and the volatile situation in Afghanistan that remains a security concern for the entire region.

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Agnes Poirer, Bloomsbury

Benefits of first-time home buyers' scheme
  • Priority access to new homes from participating developers
  • Discounts on sales price of off-plan units
  • Flexible payment plans from developers
  • Mortgages with better interest rates, faster approval times and reduced fees
  • DLD registration fee can be paid through banks or credit cards at zero interest rates
UAE currency: the story behind the money in your pockets
The burning issue

The internal combustion engine is facing a watershed moment – major manufacturer Volvo is to stop producing petroleum-powered vehicles by 2021 and countries in Europe, including the UK, have vowed to ban their sale before 2040. The National takes a look at the story of one of the most successful technologies of the last 100 years and how it has impacted life in the UAE. 

Read part four: an affection for classic cars lives on

Read part three: the age of the electric vehicle begins

Read part one: how cars came to the UAE

 

The bio

Favourite book: Peter Rabbit. I used to read it to my three children and still read it myself. If I am feeling down it brings back good memories.

Best thing about your job: Getting to help people. My mum always told me never to pass up an opportunity to do a good deed.

Best part of life in the UAE: The weather. The constant sunshine is amazing and there is always something to do, you have so many options when it comes to how to spend your day.

Favourite holiday destination: Malaysia. I went there for my honeymoon and ended up volunteering to teach local children for a few hours each day. It is such a special place and I plan to retire there one day.

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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Who's who in Yemen conflict

Houthis: Iran-backed rebels who occupy Sanaa and run unrecognised government

Yemeni government: Exiled government in Aden led by eight-member Presidential Leadership Council

Southern Transitional Council: Faction in Yemeni government that seeks autonomy for the south

Habrish 'rebels': Tribal-backed forces feuding with STC over control of oil in government territory

The specs

Engine: 2.0-litre 4cyl turbo

Power: 261hp at 5,500rpm

Torque: 405Nm at 1,750-3,500rpm

Transmission: 9-speed auto

Fuel consumption: 6.9L/100km

On sale: Now

Price: From Dh117,059

Teaching your child to save

Pre-school (three - five years)

You can’t yet talk about investing or borrowing, but introduce a “classic” money bank and start putting gifts and allowances away. When the child wants a specific toy, have them save for it and help them track their progress.

Early childhood (six - eight years)

Replace the money bank with three jars labelled ‘saving’, ‘spending’ and ‘sharing’. Have the child divide their allowance into the three jars each week and explain their choices in splitting their pocket money. A guide could be 25 per cent saving, 50 per cent spending, 25 per cent for charity and gift-giving.

Middle childhood (nine - 11 years)

Open a bank savings account and help your child establish a budget and set a savings goal. Introduce the notion of ‘paying yourself first’ by putting away savings as soon as your allowance is paid.

Young teens (12 - 14 years)

Change your child’s allowance from weekly to monthly and help them pinpoint long-range goals such as a trip, so they can start longer-term saving and find new ways to increase their saving.

Teenage (15 - 18 years)

Discuss mutual expectations about university costs and identify what they can help fund and set goals. Don’t pay for everything, so they can experience the pride of contributing.

Young adulthood (19 - 22 years)

Discuss post-graduation plans and future life goals, quantify expenses such as first apartment, work wardrobe, holidays and help them continue to save towards these goals.

* JP Morgan Private Bank 

The specs

Engine: 3.5-litre twin-turbo V6

Power: 380hp at 5,800rpm

Torque: 530Nm at 1,300-4,500rpm

Transmission: Eight-speed auto

Price: From Dh299,000 ($81,415)

On sale: Now

Key facilities
  • Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
  • Premier League-standard football pitch
  • 400m Olympic running track
  • NBA-spec basketball court with auditorium
  • 600-seat auditorium
  • Spaces for historical and cultural exploration
  • An elevated football field that doubles as a helipad
  • Specialist robotics and science laboratories
  • AR and VR-enabled learning centres
  • Disruption Lab and Research Centre for developing entrepreneurial skills
Company%20profile
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The specs: 2019 Haval H6

Price, base: Dh69,900

Engine: 2.0-litre turbocharged four-cylinder

Transmission: Seven-speed automatic

Power: 197hp @ 5,500rpm

Torque: 315Nm @ 2,000rpm

Fuel economy, combined: 7.0L / 100km

Company%20profile
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Updated: December 05, 2021, 10:36 AM