Swedish Prime Minister Stefan Lofven announced that he would step down later this year. Reuters
Swedish Prime Minister Stefan Lofven announced that he would step down later this year. Reuters
Swedish Prime Minister Stefan Lofven announced that he would step down later this year. Reuters
Swedish Prime Minister Stefan Lofven announced that he would step down later this year. Reuters

Race begins to take on Sweden's challenges after PM quits


Tim Stickings
  • English
  • Arabic

The resignation of Sweden’s Prime Minister Stefan Lofven has thrown open a leadership race in the country as it grapples with a rise in violent crime and a potential new wave of Covid-19.

Analysts expect a “turbulent autumn for Swedish politics” as parliament squabbles over the budget with the government holding a fragile majority.

Mr Lofven’s Finance Minister Magdalena Andersson is seen as an early frontrunner after Sweden’s strong finances helped it to weather the pandemic.

Health Minister Lena Hallengren is another potential candidate for the top job, after Mr Lofven announced on Sunday he would step down in November.

Sweden has attracted much scrutiny by rejecting lockdowns and mostly relying on voluntary measures to combat the spread of the virus.

The strategy has had mixed results, with Sweden’s death rate lower than in many European countries but higher than that of its Nordic neighbours.

Public health officials issued a warning on Monday that the virus was likely to spread more quickly in the autumn with more people needing hospital care.

“All our three scenarios point to increased spread during the autumn,” the public health agency said.

A party congress in November will elect a successor to Mr Lofven as leader of the Social Democrats. That person will then seek approval from parliament.

A great deal can change in Swedish politics
Nicholas Aylott

The position in parliament is precarious after Mr Lofven lost a confidence vote in June but was reinstated when his opponents failed to form a majority.

Nordic bank Nordea said in a commentary that Mr Lofven’s resignation “could make the already tricky political situation even more complicated”.

Passing a budget for 2022 will require difficult negotiations between smaller parties who tolerate Mr Lofven’s government.

Sweden faces a challenge to fix its cherished welfare state after what King Carl XVI Gustaf described as a failure to protect older people from Covid-19.

“Much suggests that it will be a turbulent autumn for Swedish politics,” said Nordea analyst Torbjorn Isaksson.

Groups of people in a park in Stockholm, Sweden, which largely relied on voluntary measures to tackle the pandemic. Bloomberg
Groups of people in a park in Stockholm, Sweden, which largely relied on voluntary measures to tackle the pandemic. Bloomberg

Sweden’s next election is due in September 2022. The previous poll in 2018 ended in stalemate after gains for the anti-immigrant Sweden Democrats.

The rise of the far-right party, which blames liberal immigration policies for a rise in violent crime, makes it difficult to form majorities in parliament.

The party has spent recent days warning against an influx of migrants from Afghanistan and raising fears of extremists seeking terrorist training there.

“Sweden faces numerous contemporary policy challenges, not least a rather horrifying level of criminal violence,” said political scientist Nicholas Aylott in an analysis of Mr Lofven’s tenure.

“A great deal can change in Swedish politics now that he's had enough.”

Runners and riders

An early poll for newspaper Aftonbladet showed Ms Andersson favoured by 26 per cent of voters, with the next-most popular candidate on 13 per cent.

Ms Andersson has yet to confirm whether she will seek to replace Mr Lofven. She or Ms Hallengren would be Sweden’s first female prime minister.

Fellow ministers Mikael Damberg, Anders Ygeman, Morgan Johansson and Ibrahim Baylan have also been tipped to run.

Mr Lofven said in his resignation speech that he hoped a new leader would give the Social Democrats fresh momentum.

“Everything has an end and I want to give my successor the very best conditions,” he said.

“I’m also convinced that a new party leader will give the party and the labour movement new energy, which will be needed.”

Racecard

6.35pm: The Madjani Stakes – Group 2 (PA) Dh97,500 (Dirt) 1,900m 

7.10pm: Evidenza – Handicap (TB) Dh87,500 (D) 1,200m 

7.45pm: The Longines Conquest – Maiden (TB) Dh82,500 (D) 2,000m 

8.20: The Longines Elegant – Conditions (TB) Dh82,500 (D) 

8.35pm: The Dubai Creek Mile – Listed (TB) Dh132,500 (D) 1,600m 

9.30pm: Mirdif Stakes – Conditions (TB) Dh120,000 (D) 1,400m 

10.05pm: The Longines Record – Handicap (TB) Dh87,500 (D) 1,900m  

Two products to make at home

Toilet cleaner

1 cup baking soda 

1 cup castile soap

10-20 drops of lemon essential oil (or another oil of your choice) 

Method:

1. Mix the baking soda and castile soap until you get a nice consistency.

2. Add the essential oil to the mix.

Air Freshener

100ml water 

5 drops of the essential oil of your choice (note: lavender is a nice one for this) 

Method:

1. Add water and oil to spray bottle to store.

2. Shake well before use. 

RESULTS

6.30pm Handicap (TB) US$65,000 (Dirt) 1,400m

Winner Golden Goal, Pat Dobbs (jockey), Doug Watson (trainer)

7.05pm Dubai Racing Club Classic Listed Handicap (TB) $88,000 (Turf) 2,410m

Winner: Walton Street, William Buick, Charlie Appleby.

7.40pm Dubai Stakes Group 3 (TB) $130,000 (D) 1,200m

Winner Switzerland, Tadhg O’Shea, Satish Seemar

8.15pm Singspiel Stakes Group 3 (TB) $163,000 (T) 1,800m

Winner Lord Giltters, Adrie de Vries, David O’Meara

8.50pm Al Maktoum Challenge Round-1 (TB) $228,000 (D) 1,600m

Winner Military Law, Antonio Fresu, Musabah Al Muhairi.

9.25pm Al Fahidi Fort Group 2 (TB) $163,000 (T) 1,400m

Winner Land Of Legends, Frankie Dettori, Saeed bin Suroor

10pm Dubai Dash Listed Handicap (TB) $88,000 (T) 1,000m

Winner Equilateral, Frankie Dettori, Charles Hills.

While you're here ...

Damien McElroy: What happens to Brexit?

Con Coughlin: Could the virus break the EU?

Andrea Matteo Fontana: Europe to emerge stronger

TRAP

Starring: Josh Hartnett, Saleka Shyamalan, Ariel Donaghue

Director: M Night Shyamalan

Rating: 3/5

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

Who has been sanctioned?

Daniella Weiss and Nachala
Described as 'the grandmother of the settler movement', she has encouraged the expansion of settlements for decades. The 79 year old leads radical settler movement Nachala, whose aim is for Israel to annex Gaza and the occupied West Bank, where it helps settlers built outposts.

Harel Libi & Libi Construction and Infrastructure
Libi has been involved in threatening and perpetuating acts of aggression and violence against Palestinians. His firm has provided logistical and financial support for the establishment of illegal outposts.

Zohar Sabah
Runs a settler outpost named Zohar’s Farm and has previously faced charges of violence against Palestinians. He was indicted by Israel’s State Attorney’s Office in September for allegedly participating in a violent attack against Palestinians and activists in the West Bank village of Muarrajat.

Coco’s Farm and Neria’s Farm
These are illegal outposts in the West Bank, which are at the vanguard of the settler movement. According to the UK, they are associated with people who have been involved in enabling, inciting, promoting or providing support for activities that amount to “serious abuse”.

Wenger's Arsenal reign in numbers

1,228 - games at the helm, ahead of Sunday's Premier League fixture against West Ham United.
704 - wins to date as Arsenal manager.
3 - Premier League title wins, the last during an unbeaten Invincibles campaign of 2003/04.
1,549 - goals scored in Premier League matches by Wenger's teams.
10 - major trophies won.
473 - Premier League victories.
7 - FA Cup triumphs, with three of those having come the last four seasons.
151 - Premier League losses.
21 - full seasons in charge.
49 - games unbeaten in the Premier League from May 2003 to October 2004.

Profile

Co-founders of the company: Vilhelm Hedberg and Ravi Bhusari

Launch year: In 2016 ekar launched and signed an agreement with Etihad Airways in Abu Dhabi. In January 2017 ekar launched in Dubai in a partnership with the RTA.

Number of employees: Over 50

Financing stage: Series B currently being finalised

Investors: Series A - Audacia Capital 

Sector of operation: Transport

The 12

England

Arsenal, Chelsea, Liverpool, Manchester City, Manchester United, Tottenham Hotspur

Italy
AC Milan, Inter Milan, Juventus

Spain
Atletico Madrid, Barcelona, Real Madrid

'Saand Ki Aankh'

Produced by: Reliance Entertainment with Chalk and Cheese Films
Director: Tushar Hiranandani
Cast: Taapsee Pannu, Bhumi Pednekar, Prakash Jha, Vineet Singh
Rating: 3.5/5 stars

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

Profile of Hala Insurance

Date Started: September 2018

Founders: Walid and Karim Dib

Based: Abu Dhabi

Employees: Nine

Amount raised: $1.2 million

Funders: Oman Technology Fund, AB Accelerator, 500 Startups, private backers

 

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Updated: August 23, 2021, 3:19 PM