Serbia leapfrogged the EU in inoculating its people by capitalising on "vaccination diplomacy" offered by foreign powers, a leading academic said.
The feat created bitterness among its Balkan neighbours, Dr David Ellwood of Johns Hopkins University, said during a conference held on Wednesday by the London think tank Chatham House.
Belgrade’s swift decision to import vaccines from Russia and China, among other countries, enabled it to immunise a third of its population, compared with an average of only 22 per cent among the bloc’s 27 member states, said Dr Ellwood, who is Senior Adjunct Professor of European and Eurasian Studies at the university.
Countries in Central and Eastern Europe are in the midst of a “very intense geopolitical competition”, in which Covid-19 shots make a real difference both to local leaders’ standing and to the public perception of foreign powers, he said.
The support from Russia and China could prove difficult for EU security if they later exploit strong links forged through vaccination diplomacy, experts said during the webinar.
Russia is supplying vaccines to about 70 countries, and China to about 90, half of them free of charge.
When countries in Central and Eastern Europe look beyond the continent for supplies, support for the EU is weakened, said Dr Ellwood.
“Central Europe is a fascinating case,” he said. “Who’s going to win the battle for influence in Hungary, in Bulgaria, in the Balkans, in Poland, in Ukraine? These are contested areas with the most intense competition for geopolitical influence. So, any instrument that can be useful in this confrontation is embraced with enthusiasm by the various protagonists.”
Aleksandar Vucic has offered his people a cocktail of vaccines from Pfizer, AstraZeneca, Russia's Sputnik V and Sinopharm
While the EU programme lumbers on, Serbian President Aleksandar Vucic, a populist, boasted of offering Russia’s Sputnik V vaccine and two million doses from Chinese company Sinopharm alongside shots by Pfizer-BioNTech and AstraZeneca.
Meanwhile, the Western Balkan countries, keen to join the EU, are looking weak, with Bosnia and Herzegovina and Albania “complaining very bitterly that the EU is letting them down”, Dr Ellwood said.
The contributions are wrapped up in jockeying for influence in the region, he said. China, for instance, is extending its influence within Serbia by building a large branch of the Confucius Institute, Beijing’s cultural outreach centre.
“Does it matter that the Chinese are penetrating Serbia in this way?” Dr Ellwood said. “Vaccine deployments in that part of the world have a very significant geopolitical meaning.”
Russia has made vaccines since 1917, to tackle an outbreak of bubonic plague.
Serbia itself had a proud vaccination history. The former Yugoslavia, of which it was part, immunised almost 20 million people to defeat a smallpox epidemic that struck in 1972.
Dr David Heymann, an infectious disease specialist who previously worked for the WHO, called for greater global unity to defeat the coronavirus, not a proliferation of localised competition.
“Getting vaccines to countries will beat the emergence of a new strain, so the world has to rally together,” he said.
Prof Helen Rees, executive director of the Wits Reproductive Health and HIV Institute in Johannesburg, said immunisation programmes in Africa have proven difficult to administer.
She said this was because because the continent had very few vaccine manufacturers and most shots administered there were given to children.
“On a score of one to 10, 10 being very good, as a world, I think we’re about a three. Some countries have done extremely well, as we know, but I don’t think that we’re anywhere near yet where we want to be.”
The experts agreed it was still too early to tell whether Covid vaccination diplomacy has worked because measuring its success would depend on which vaccine was the most effective in fighting the disease.
A separate conference on vaccine diplomacy on Thursday was hosted in Brussels by the think tank Bruegel.
Catherine Wendt, of the European Commission, defended the bloc during the event, Covid-19 and the Geopolitics of the Balkans.
She said the EU had given €70 million ($84.6m) to help Balkan countries buy vaccines and that it “has delivered for the region”, with a further €66m ($79.8m) given to Serbia.
“It has been a difficult moment for the EU and a difficult moment for the Western Balkans,” she said. “But we’re acting to support the Western Balkans in fighting the pandemic and helping its economic recovery.”
Read more on the role of vaccines
MATCH INFO
Real Madrid 2
Vinicius Junior (71') Mariano (90 2')
Barcelona 0
Madrid Open schedule
Men's semi-finals
Novak Djokovic (1) v Dominic Thiem (5) from 6pm
Stefanos Tsitsipas (8) v Rafael Nadal (2) from 11pm
Women's final
Simona Halep (3) v Kiki Bertens (7) from 8.30pm
From Zero
Artist: Linkin Park
Label: Warner Records
Number of tracks: 11
Rating: 4/5
Paatal Lok season two
Directors: Avinash Arun, Prosit Roy
Stars: Jaideep Ahlawat, Ishwak Singh, Lc Sekhose, Merenla Imsong
Rating: 4.5/5
Pearls on a Branch: Oral Tales
Najlaa Khoury, Archipelago Books
SPECS
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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.”
GAC GS8 Specs
Engine: 2.0-litre 4cyl turbo
Power: 248hp at 5,200rpm
Torque: 400Nm at 1,750-4,000rpm
Transmission: 8-speed auto
Fuel consumption: 9.1L/100km
On sale: Now
Price: From Dh149,900
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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How does ToTok work?
The calling app is available to download on Google Play and Apple App Store
To successfully install ToTok, users are asked to enter their phone number and then create a nickname.
The app then gives users the option add their existing phone contacts, allowing them to immediately contact people also using the application by video or voice call or via message.
Users can also invite other contacts to download ToTok to allow them to make contact through the app.
Federer's 11 Wimbledon finals
2003 Beat Mark Philippoussis
2004 Beat Andy Roddick
2005 Beat Andy Roddick
2006 Beat Rafael Nadal
2007 Beat Rafael Nadal
2008 Lost to Rafael Nadal
2009 Beat Andy Roddick
2012 Beat Andy Murray
2014 Lost to Novak Djokovic
2015 Lost to Novak Djokovic
2017 Beat Marin Cilic
Afro%20salons
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Director: Laxman Utekar
Cast: Vicky Kaushal, Akshaye Khanna, Diana Penty, Vineet Kumar Singh, Rashmika Mandanna
Rating: 1/5
Results
5.30pm: Maiden (TB) Dh82,500 (Dirt) 1,600m, Winner: Panadol, Mickael Barzalona (jockey), Salem bin Ghadayer (trainer)
6.05pm: Maiden (TB) Dh82,500 (Turf) 1,400m, Winner: Mayehaab, Adrie de Vries, Fawzi Nass
6.40pm: Handicap (TB) Dh85,000 (D) 1,600m, Winner: Monoski, Mickael Barzalona, Salem bin Ghadayer
7.15pm: Handicap (TB) Dh102,500 (T) 1,800m, Winner: Eastern World, Royston Ffrench, Charlie Appleby
7.50pm: Handicap (TB) Dh92,500 (D) 1,200m, Winner: Madkal, Adrie de Vries, Fawzi Nass
8.25pm: Handicap (TB) Dh92,500 (T) 1,200m, Winner: Taneen, Dane O’Neill, Musabah Al Muhairi
The flights: South African Airways flies from Dubai International Airport with a stop in Johannesburg, with prices starting from around Dh4,000 return. Emirates can get you there with a stop in Lusaka from around Dh4,600 return.
The details: Visas are available for 247 Zambian kwacha or US$20 (Dh73) per person on arrival at Livingstone Airport. Single entry into Victoria Falls for international visitors costs 371 kwacha or $30 (Dh110). Microlight flights are available through Batoka Sky, with 15-minute flights costing 2,265 kwacha (Dh680).
Accommodation: The Royal Livingstone Victoria Falls Hotel by Anantara is an ideal place to stay, within walking distance of the falls and right on the Zambezi River. Rooms here start from 6,635 kwacha (Dh2,398) per night, including breakfast, taxes and Wi-Fi. Water arrivals cost from 587 kwacha (Dh212) per person.
Sarfira
Director: Sudha Kongara Prasad
Starring: Akshay Kumar, Radhika Madan, Paresh Rawal
Rating: 2/5
UAE currency: the story behind the money in your pockets