A deal allowing parliament to debate expelling the French ambassador from Pakistan appears to have quelled violent stand-offs between police and anti-blasphemy protesters, but left the government facing accusations it caved in to extremists.
Imran Khan's government agreed to allow the national assembly to discuss kicking out the envoy for his country's defence of cartoons depicting the Prophet Mohammed.
At least four policemen and an unknown number of protestors have been killed and hundreds injured in the confrontation between Imran Khan's government and the far-right Tehreek-i-Labbaik Pakistan (TLP) party.
Announcement of the parliamentary motion was hailed as victory by TLP supporters, who called off their protests. “Praise be to God our main demand has been fulfilled,” said one TLP leader.
The riots began when the TLP leader, Saad Rizvi, was arrested last week, days before he had vowed to lead a new round of unrest if the government did not sever diplomatic ties with France.
As violence erupted, the government quickly outlawed the party, which has become notorious in recent years for holding successive governments hostage with its street power. Footage of heavy clashes in Lahore and policemen being beaten and held hostage caused alarm across the country and raised questions of whether the government was in control.
Mr Khan vowed not to bow to violent blackmail, while his interior minister, Sheikh Rasheed Ahmed, said giving in to the TLP's demands would make Pakistan look like a “radical nation”. Yet soon afterwards, the government said it had made a deal allowing the parliamentary debate. Hundreds of TLP activists have since been freed.
The concession has been widely viewed as a climbdown, but Mr Ahmed insisted at a press conference on Wednesday afternoon that the government had not caved in.
“The state is not under any pressure and it’s writ is there,” he said. Those facing charges for their roles in the riots would still go through the courts and the TLP leader remained in custody.
The narrative the TLP are exploiting is very much alive and if this is not TLP, maybe some other religious party or other groups will come and become the custodian of these things
Traders in a Rawalpindi market close to where riots kicked off last week said they were sympathetic to the TLP's demands and disillusioned with Mr Khan's handling of the confrontation.
Many of the businessmen said they had voted for Mr Khan in the 2018 general election, but had suffered growing discontent with his economic management. Now few had any sympathy for his government's decision to arrest Mr Rizvi.
Many said it was clear that the TLP had come out on top of the showdown.
“The government first banned them and then they had a security operation against them and several people were killed and now they are talking about talks. How can this happen after such violence?” asked Jahangir Butt, a 59-year-old standing next to his cart selling women's shoes.
Umer Karim, of the London-based Royal United Services Institute think tank, predicted the government's handling of the confrontation would alienate voters from Imran Khan's ruling Pakistan Tehreek-e-Insaf (PTI) party. “Definitely there will be electoral implications,” he said.
Emerging in the aftermath of the Asia Bibi trial, the TLP first campaigned against reforms to Pakistan's strict blasphemy laws.
The party has since become one of the most powerful groups in Pakistan and been able to dictate terms to successive governments. Mr Khan has been accused of appeasing the group before, when it paralysed Pakistan in 2018 to protest against the acquittal of Ms Bibi. She was banned from leaving the country for months despite having been cleared of all charges.
Muhammad Amir Rana, director of Pakistan Institute for Peace Studies, said clashes had been inevitable if the government challenged the TLP's street power.
“The TLP all the time rely on this street power and it is used to using violent mob protests as a tactic to achieve its aims. The state wanted to curtail this ability.”
Even if the TLP had appeared to win this round, he predicted that the state would continue to target it. Yet without an attempt to tackle the extremist ideology behind the group, even if it was banned, it would likely spring up in another guise.
“The narrative the TLP are exploiting is very much alive and if this is not TLP, maybe some other religious party or other groups will come and become the custodian of these things,” he said.
“Pakistan doesn't have any remedy or alternative narrative which can defuse the power of the TLP narrative.”
UAE currency: the story behind the money in your pockets
The specs
Engine: 1.5-litre turbo
Power: 181hp
Torque: 230Nm
Transmission: 6-speed automatic
Starting price: Dh79,000
On sale: Now
How to help
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
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
Quick pearls of wisdom
Focus on gratitude: And do so deeply, he says. “Think of one to three things a day that you’re grateful for. It needs to be specific, too, don’t just say ‘air.’ Really think about it. If you’re grateful for, say, what your parents have done for you, that will motivate you to do more for the world.”
Know how to fight: Shetty married his wife, Radhi, three years ago (he met her in a meditation class before he went off and became a monk). He says they’ve had to learn to respect each other’s “fighting styles” – he’s a talk it-out-immediately person, while she needs space to think. “When you’re having an argument, remember, it’s not you against each other. It’s both of you against the problem. When you win, they lose. If you’re on a team you have to win together.”
Cricket World Cup League Two
Oman, UAE, Namibia
Al Amerat, Muscat
Results
Oman beat UAE by five wickets
UAE beat Namibia by eight runs
Fixtures
Wednesday January 8 –Oman v Namibia
Thursday January 9 – Oman v UAE
Saturday January 11 – UAE v Namibia
Sunday January 12 – Oman v Namibia
COMPANY%20PROFILE
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Coming soon
Torno Subito by Massimo Bottura
When the W Dubai – The Palm hotel opens at the end of this year, one of the highlights will be Massimo Bottura’s new restaurant, Torno Subito, which promises “to take guests on a journey back to 1960s Italy”. It is the three Michelinstarred chef’s first venture in Dubai and should be every bit as ambitious as you would expect from the man whose restaurant in Italy, Osteria Francescana, was crowned number one in this year’s list of the World’s 50 Best Restaurants.
Akira Back Dubai
Another exciting opening at the W Dubai – The Palm hotel is South Korean chef Akira Back’s new restaurant, which will continue to showcase some of the finest Asian food in the world. Back, whose Seoul restaurant, Dosa, won a Michelin star last year, describes his menu as, “an innovative Japanese cuisine prepared with a Korean accent”.
Dinner by Heston Blumenthal
The highly experimental chef, whose dishes are as much about spectacle as taste, opens his first restaurant in Dubai next year. Housed at The Royal Atlantis Resort & Residences, Dinner by Heston Blumenthal will feature contemporary twists on recipes that date back to the 1300s, including goats’ milk cheesecake. Always remember with a Blumenthal dish: nothing is quite as it seems.
The specs
Engine: 6.2-litre V8
Transmission: ten-speed
Power: 420bhp
Torque: 624Nm
Price: Dh325,125
On sale: Now
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
LAST-16 EUROPA LEAGUE FIXTURES
Wednesday (Kick-offs UAE)
FC Copenhagen (0) v Istanbul Basaksehir (1) 8.55pm
Shakhtar Donetsk (2) v Wolfsburg (1) 8.55pm
Inter Milan v Getafe (one leg only) 11pm
Manchester United (5) v LASK (0) 11pm
Thursday
Bayer Leverkusen (3) v Rangers (1) 8.55pm
Sevilla v Roma (one leg only) 8.55pm
FC Basel (3) v Eintracht Frankfurt (0) 11pm
Wolves (1) Olympiakos (1) 11pm
All%20The%20Light%20We%20Cannot%20See%20
%3Cp%3E%3Cstrong%3ECreator%3A%20%3C%2Fstrong%3ESteven%20Knight%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3EStars%3A%C2%A0%3C%2Fstrong%3EMark%20Ruffalo%2C%20Hugh%20Laurie%2C%20Aria%20Mia%20Loberti%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3ERating%3A%20%3C%2Fstrong%3E1%2F5%C2%A0%3C%2Fp%3E%0A
From Zero
Artist: Linkin Park
Label: Warner Records
Number of tracks: 11
Rating: 4/5