The EU is facing questions from India and Africa after it emerged that a version of the AstraZeneca vaccine offered to developing countries may not allow travellers to enter Europe.
Millions of doses of the vaccine, made and marketed in India under the name Covishield, have been exported around the world under the Covax scheme.
But the doses made by the Serum Institute of India are not automatically valid in Europe because they are not produced at one of the EU’s approved manufacturing sites.
The European Medicines Agency, which approved the Oxford-AstraZeneca vaccine in January, said it would need a separate application to authorise Covishield.
It means that EU members, which are expected to admit travellers who have had two doses of an approved vaccine, do not have to accept Covishield.
Adar Poonawalla, chief executive of the Serum Institute, said many Indians were facing issues with travel to the EU.
“I have taken this up at the highest levels and hope to resolve this matter soon, both with regulators and at a diplomatic level with countries,” he said.
The African Union said the rules “put at risk the equitable treatment” of people who were vaccinated through the Covax scheme.
The EU is a leading donor to Covax, which aims to vaccinate at least 20 per cent of every country’s population by the end of this year.
“Persons who received Covishield, despite being able to demonstrate proof of vaccination, would continue to be subject to public health restrictions,” the African Union said.
“These developments are concerning given that the Covishield vaccine has been the backbone of the EU-supported Covax contributions.”
Covishield was listed for emergency use by the World Health Organisation in February.
The WHO said it had a “tremendous potential to prevent infections and reduce deaths across the world”.
But the EMA said it could only endorse a vaccine if the manufacturing site sought approval from EU inspectors.
“Even tiny differences in the manufacturing conditions can result in differences in the final product,” the agency said.
The list of approved sites for AstraZeneca vaccines includes factories in the UK, Belgium and the Netherlands.
EU nations decide
Asked if developing countries were being treated unfairly, European Commission spokesman Adalbert Jahnz said EU members were free to accept Covishield vaccines should they choose to.
“They explicitly have the option to do so for people who have been vaccinated with a vaccine that received the WHO emergency authorisation,” he said.
Health ministries in Italy and Denmark are among those insisting on vaccines approved by the EMA.
The agency has approved the Pfizer-BioNTech, Moderna and Johnson & Johnson vaccines as well as the selected AstraZeneca shots.
Germany's Health Ministry told The National it would not distinguish between Covishield and other AstraZeneca shots.
However, India is regarded as a high-risk destination because of the spread of the Delta variant and travel to Germany is heavily restricted.
In addition to Covishield, countries can choose to accept other vaccines such as Russia’s Sputnik V.
Covax shortage
Doses of Covishield will make up about 550 million of the vaccines made available to Covax in 2021.
They account for 88 per cent of the doses handed out so far in India, which is the world’s largest manufacturer of vaccines.
Another Indian-made vaccine, Covaxin, has yet to be approved by the WHO.
Wealthy countries are under pressure to address an imbalance in vaccination rates between the developed world and poorer nations.
Critics say the Covax scheme faces a shortfall in donations and will not be enough to take developing countries to herd immunity.
The EU last month unveiled separate plans to donate 100 million doses directly to poorer countries by the end of the year.
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
ABU%20DHABI%20CARD
%3Cp%3E%3Cstrong%3E5pm%3A%20%3C%2Fstrong%3EWathba%20Stallions%20Cup%20%E2%80%93%20Handicap%20(PA)%20Dh70%2C000%20(Turf)%202%2C200m%0D%3Cbr%3E%3Cstrong%3E5.30pm%3C%2Fstrong%3E%3A%20Rub%20Al%20Khali%20%E2%80%93%20Maiden%20(PA)%20Dh80%2C000%20(T)%201%2C400m%0D%3Cbr%3E%3Cstrong%3E6pm%3A%20%3C%2Fstrong%3EAl%20Marmoom%20Desert%20%E2%80%93%20Maiden%20(PA)%20Dh80%2C000%20(T)%201%2C600m%0D%3Cbr%3E%3Cstrong%3E6.30pm%3A%20%3C%2Fstrong%3ELiwa%20Oasis%20%E2%80%93%20Handicap%20(PA)%20Dh80%2C000%20(T)%201%2C400m%0D%3Cbr%3E%3Cstrong%3E7pm%3A%20%3C%2Fstrong%3EAl%20Khatim%20Desert%20%E2%80%93%20Handicap%20(PA)%20Dh80%2C000%20(T)%201%2C600m%0D%3Cbr%3E%3Cstrong%3E7.30pm%3A%3C%2Fstrong%3E%20Al%20Quadra%20Desert%20%E2%80%93%20Handicap%20(TB)%20Dh80%2C000%20(T)%201%2C600m%3C%2Fp%3E%0A
Classification of skills
A worker is categorised as skilled by the MOHRE based on nine levels given in the International Standard Classification of Occupations (ISCO) issued by the International Labour Organisation.
A skilled worker would be someone at a professional level (levels 1 – 5) which includes managers, professionals, technicians and associate professionals, clerical support workers, and service and sales workers.
The worker must also have an attested educational certificate higher than secondary or an equivalent certification, and earn a monthly salary of at least Dh4,000.
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.”
Call of Duty: Black Ops 6
Developer: Treyarch, Raven Software
Publisher: Activision
Console: PlayStation 4 & 5, Windows, Xbox One & Series X/S
Rating: 3.5/5
The biogs
Name: Zinah Madi
Occupation: Co-founder of Dots and links
Nationality: Syrian
Family: Married, Mother of Tala, 18, Sharif, 14, Kareem, 2
Favourite Quote: “There is only one way to succeed in anything, and that is to give it everything.”
Name: Razan Nabulsi
Occupation: Co-founder of Dots and Links
Nationality: Jordanian
Family: Married, Mother of Yahya, 3.5
Favourite Quote: A Chinese proverb that says: “Be not afraid of moving slowly, be afraid only of standing still.”
UAE gold medallists:
Omar Al Suweidi (46kg), Khaled Al Shehhi (50kg), Khalifa Humaid Al Kaabi (60kg), Omar Al Fadhli (62kg), Mohammed Ali Al Suweidi (66kg), Omar Ahmed Al Hosani (73), all in the U18’s, and Khalid Eskandar Al Blooshi (56kg) in the U21s.
