Promises to reform Turkey’s judiciary and economy, as well as pledges to address democratic shortfalls, have come as Ankara looks to recalibrate its relationship with a new resident in the White House when Joe Biden, the president-elect takes office in January.
Since the resignation of President Recep Tayyip Erdogan’s finance minister and son-in-law earlier this month, senior government figures have signalled a switch in the approach to the economy and other areas where Turkey has come under sustained international criticism.
“We are launching a brand new mobilisation in the economy, judiciary and democracy,” the president told a meeting of the ruling Justice and Development Party (AKP) at the weekend, adding: “The message to the world is extremely important.”
Many see these so-far unspecified reforms in light of Joe Biden’s victory in the US presidential race.
While Mr Erdogan has mostly had a good relationship with President Donald Trump, Mr Biden is regarded in Ankara as a potentially much trickier counterpart.
Although Mr Trump hit Turkey with sanctions two years ago over the jailing of an American pastor, he has generally behaved as a friend to Mr Erdogan.
Mr Trump has resisted calls from the US Congress for sanctions to be imposed over Turkey’s purchase of Russian S-400 missiles last year and has reportedly tried to intervene in the prosecution of Turkey’s state-run Halkbank over alleged breaches of sanctions on Iran.
“I get along with him and he listens,” Mr Trump said in September of his relationship with the Turkish leader.
Mr Biden, however, has criticised Turkey’s slide away from the rule of law and democratic practices. In an interview last December, which was revived in Turkey’s pro-government media over the summer, he called Mr Erdogan an “autocrat” and pledged support to Turkey’s opposition.
Edward Stafford, a former US diplomat who served in Ankara, said human rights would be a “more prominent” feature of Mr Biden’s foreign policy.
“In the near future, we can expect members of Biden’s administration to speak out in defence of a free press, of peaceful assembly, association and for equal rights for racial, ethnic and social minorities,” he said.
A sign of Turkey exploring ways to connect with Mr Biden’s team came in reports this week that Turkish representatives had met lobbyists promising access to the new administration.
According to Yasar Yakis, a founding member of the AKP and a former foreign minister, the era of Mr Erdogan’s easy access to the White House is “coming to a close.”
Turkey’s former finance minister, Berat Albayrak, had played a prominent role in Ankara’s back-channel diplomacy in Washington through his friendship with Jared Kushner, Mr Trump’s adviser and another presidential son-in-law.
However, common interests between the two countries would mean seeking a compromise.
“Whether Washington likes it or not, Ankara is an important player in the Middle East,” Mr Yakis said. “Thus, despite the incoming Biden administration’s misgivings about Erdogan, the two countries will probably find common ground to protect their reciprocal interests.”
In addition to an economic approach seemingly designed to entice foreign investors and placate international markets, the promised reforms also hint at tackling concerns about the rule of law.
Justice Minister Abdulhamit Gul last week suggested a review of pre-trial detention, a practice that has seen thousands of government opponents jailed.
Meanwhile, a handful of government-supporting newspaper columnists this week called for the release of philanthropist Osman Kavala and writer Ahmet Altan, two of Turkey’s most prominent prisoners held on charges widely regarded as politically motivated.
As well as having an eye to developments in the US, Mr Erdogan’s reforms are also viewed as a way of soothing his own supporters’ concerns, particularly over the economy.
The new team heading the economy – Mr Albayrak’s November 8 resignation as finance minister followed the sacking of the central bank governor a day earlier – have said they will focus on tackling an inflation rate of nearly 12 per cent.
This was evidenced on Thursday when the bank announced a hike in interest rates to 15 per cent, a swivel away from the unorthodox economic mantra espoused by Mr Erdogan, and implemented by Mr Albayrak, that high interest rates lead to inflation.
Personnel changes at the top of the economic pyramid came amid reports that AKP members and even MPs disillusioned with the management of the economy were considering defecting to parties recently established by former AKP ministers.
The appointment of Lutfi Elvan, an ex-minister who has not held office for more than two years, to the finance ministry was a sign that “the AKP is aware of the discomfort, because of Albayrak, within the party and the possibility some of the deputies might shift,” according to journalist Murat Yetkin.
However, attempts to burnish the government’s image, both in Washington and at home, have created fresh doubts.
Mehmet Ihsan Arslan, a close adviser to Mr Erdogan who is well connected in Washington, told BBC Turkish that reforms suggested “a problem with our policies to date. It’s a confession.”
Key findings of Jenkins report
- Founder of the Muslim Brotherhood, Hassan al Banna, "accepted the political utility of violence"
- Views of key Muslim Brotherhood ideologue, Sayyid Qutb, have “consistently been understood” as permitting “the use of extreme violence in the pursuit of the perfect Islamic society” and “never been institutionally disowned” by the movement.
- Muslim Brotherhood at all levels has repeatedly defended Hamas attacks against Israel, including the use of suicide bombers and the killing of civilians.
- Laying out the report in the House of Commons, David Cameron told MPs: "The main findings of the review support the conclusion that membership of, association with, or influence by the Muslim Brotherhood should be considered as a possible indicator of extremism."
What went into the film
25 visual effects (VFX) studios
2,150 VFX shots in a film with 2,500 shots
1,000 VFX artists
3,000 technicians
10 Concept artists, 25 3D designers
New sound technology, named 4D SRL
Specs
Engine: Duel electric motors
Power: 659hp
Torque: 1075Nm
On sale: Available for pre-order now
Price: On request
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
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.
COMPANY PROFILE
Name: Kumulus Water
Started: 2021
Founders: Iheb Triki and Mohamed Ali Abid
Based: Tunisia
Sector: Water technology
Number of staff: 22
Investment raised: $4 million
Founders: Ines Mena, Claudia Ribas, Simona Agolini, Nourhan Hassan and Therese Hundt
Date started: January 2017, app launched November 2017
Based: Dubai, UAE
Sector: Private/Retail/Leisure
Number of Employees: 18 employees, including full-time and flexible workers
Funding stage and size: Seed round completed Q4 2019 - $1m raised
Funders: Oman Technology Fund, 500 Startups, Vision Ventures, Seedstars, Mindshift Capital, Delta Partners Ventures, with support from the OQAL Angel Investor Network and UAE Business Angels
The specs
Engine: 2.0-litre 4-cylinder turbo hybrid
Transmission: eight-speed automatic
Power: 390bhp
Torque: 400Nm
Price: Dh340,000 ($92,579
'Brazen'
Director: Monika Mitchell
Starring: Alyssa Milano, Sam Page, Colleen Wheeler
Rating: 3/5
Florence and the Machine – High as Hope
Three stars
How to wear a kandura
Dos
- Wear the right fabric for the right season and occasion
- Always ask for the dress code if you don’t know
- Wear a white kandura, white ghutra / shemagh (headwear) and black shoes for work
- Wear 100 per cent cotton under the kandura as most fabrics are polyester
Don’ts
- Wear hamdania for work, always wear a ghutra and agal
- Buy a kandura only based on how it feels; ask questions about the fabric and understand what you are buying
In numbers: China in Dubai
The number of Chinese people living in Dubai: An estimated 200,000
Number of Chinese people in International City: Almost 50,000
Daily visitors to Dragon Mart in 2018/19: 120,000
Daily visitors to Dragon Mart in 2010: 20,000
Percentage increase in visitors in eight years: 500 per cent
Black Panther
Dir: Ryan Coogler
Starring: Chadwick Boseman, Michael B Jordan, Lupita Nyong'o
Five stars
The President's Cake
Director: Hasan Hadi
Starring: Baneen Ahmad Nayyef, Waheed Thabet Khreibat, Sajad Mohamad Qasem
Rating: 4/5
Learn more about Qasr Al Hosn
In 2013, The National's History Project went beyond the walls to see what life was like living in Abu Dhabi's fabled fort: