A US-Israeli delegation signed agreements with Morocco in Rabat, cementing a Washington-sponsored normalisation of relations between Israel and the North African country.
The visiting delegation, led by Jared Kushner – son-in-law and adviser to outgoing US President Donald Trump – and Israeli Prime Minister Benjamin Netanyahu’s security adviser, Meir Ben-Shabbat, arrived in Rabat from Tel Aviv on the first direct commercial flight between Israel and Morocco.
Less than two weeks ago, Morocco became the third Arab state this year, after the UAE and Bahrain, to normalise ties with Israel under US-brokered deals.
Sudan promised to follow sui to become the fourth. There is no word, yet, on which other state may follow to become the fifth.
Israeli Regional Co-operation Minister Ofir Akunis told Israel’s Ynet TV on Wednesday that the country was working on establishing ties with a fifth Arab state before Mr Trump leaves office.
“I believe ... there will be an American announcement about another country that is going public with the normalisation of relations with Israel and, in essence, with the infrastructure for an accord – a peace accord,” he said.
The US-Israeli delegation met King Mohammed VI at the royal palace on Tuesday, before the signing of a tripartite declaration lauding Mr Trump’s December 10 decision to recognise Morocco’s sovereignty over the Sahara region, widely read as a quid pro quo for Rabat’s simultaneous pledge to restore ties with Israel.
Kushner and Israeli delegation in Morocco
Tuesday’s declaration included a commitment to “immediately resume full official contacts between Israeli and Moroccan counterparts”, with all parties agreeing to “fully implement” their sides of the bargain before the end of January.
Appearing alongside Morocco’s Foreign Minister Nasser Bourita, Mr Kushner said the visit had been “enormously productive so far”.
Mr Kushner and Mr Ben-Shabbat were received at the airport by Moroccan officials, albeit in a low-key welcome a far cry from the pomp of the delegation’s departure from Israel.
Alongside the tripartite declaration, four bilateral deals were signed on Tuesday between Israel and Morocco, centred on direct air links, water management, financial systems and a visa-waiver arrangement for diplomats.
Morocco has North Africa’s largest Jewish community, about 3,000 people, and Israel is home to 700,000 Jews with Moroccan ancestry.
Mr Kushner said on Tuesday that the US recognition of Moroccan sovereignty over the Sahara was “rejecting the failed status quo, which benefits no one”.
“Genuine autonomy is the only feasible option but it will take work. We urge all parties to constructively engage with the United Nations to move forward through the negotiations,” he said.
On Tuesday, King Mohammed congratulated Mr Kushner for his “substantial work ... which has led to the historic turning point in favour of Morocco’s territorial integrity and this promising development for peace in the Middle East”.
The US plans to open a consulate in Sahara region, and pledged investment that Moroccan media described as colossal.
Israel and Morocco plan to reopen diplomatic offices.
Morocco closed its liaison office in Tel Aviv in 2000, at the start of the second Palestinian intifada.
King Mohammed said Morocco will remain an advocate of the Palestinians.
Alongside the announcement of the resumption of relations with Israel, the king had earlier this month assured Palestinian President Mahmoud Abbas of Morocco’s “continued and sustained commitment to the just Palestinian cause”, based on the two-state solution to that conflict.
He restated his commitment in his statement on Tuesday.
But the Palestinians cried foul and condemned the normalisation announcement between Morocco and Israel.
Two pro-Palestinian demonstrations were banned last week in Rabat, and about 30 groups and far-left parties on Tuesday denounced the visit.
Morocco sought to temper the anger by insisting that relations with Israel are not new.
Morocco's Jewish community dates back to ancient times and grew with the arrival of Jews expelled from Spain by Roman Catholic kings from 1492.
It reached about 250,000 in the late 1940s, 10 per cent of the national population, but many Jews left after the creation of Israel in 1948.
About 70,000 Israeli tourists visit Morocco each year, but have to travel via third countries.
Mr Kushner said that while the UAE has become a popular destination for Israeli tourists since direct flights were recently opened between the states, “Morocco is going to give the UAE a run for its money very quickly”.
Under King Mohammed, several programmes were launched to conserve old Jewish districts, cemeteries and synagogues.
UPI facts
More than 2.2 million Indian tourists arrived in UAE in 2023
More than 3.5 million Indians reside in UAE
Indian tourists can make purchases in UAE using rupee accounts in India through QR-code-based UPI real-time payment systems
Indian residents in UAE can use their non-resident NRO and NRE accounts held in Indian banks linked to a UAE mobile number for UPI transactions
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
TRAP
Starring: Josh Hartnett, Saleka Shyamalan, Ariel Donaghue
Director: M Night Shyamalan
Rating: 3/5
TALE OF THE TAPE
Floyd Mayweather
- Height
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Conor McGregor
- Height
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Company profile
Company: Eighty6
Date started: October 2021
Founders: Abdul Kader Saadi and Anwar Nusseibeh
Based: Dubai, UAE
Sector: Hospitality
Size: 25 employees
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Mina Cup winners
Under 12 – Minerva Academy
Under 14 – Unam Pumas
Under 16 – Fursan Hispania
Under 18 – Madenat
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
Lewis Hamilton in 2018
Australia 2nd; Bahrain 3rd; China 4th; Azerbaijan 1st; Spain 1st; Monaco 3rd; Canada 5th; France 1st; Austria DNF; Britain 2nd; Germany 1st; Hungary 1st; Belgium 2nd; Italy 1st; Singapore 1st; Russia 1st; Japan 1st; United States 3rd; Mexico 4th
RESULTS
Catchweight 82kg
Piotr Kuberski (POL) beat Ahmed Saeb (IRQ) by decision.
Women’s bantamweight
Corinne Laframboise (CAN) beat Cornelia Holm (SWE) by unanimous decision.
Welterweight
Omar Hussein (PAL) beat Vitalii Stoian (UKR) by unanimous decision.
Welterweight
Josh Togo (LEB) beat Ali Dyusenov (UZB) by unanimous decision.
Flyweight
Isaac Pimentel (BRA) beat Delfin Nawen (PHI) TKO round-3.
Catchweight 80kg
Seb Eubank (GBR) beat Emad Hanbali (SYR) KO round 1.
Lightweight
Mohammad Yahya (UAE) beat Ramadan Noaman (EGY) TKO round 2.
Lightweight
Alan Omer (GER) beat Reydon Romero (PHI) submission 1.
Welterweight
Juho Valamaa (FIN) beat Ahmed Labban (LEB) by unanimous decision.
Featherweight
Elias Boudegzdame (ALG) beat Austin Arnett (USA) by unanimous decision.
Super heavyweight
Maciej Sosnowski (POL) beat Ibrahim El Sawi (EGY) by submission round 1.
Most sought after workplace benefits in the UAE
- Flexible work arrangements
- Pension support
- Mental well-being assistance
- Insurance coverage for optical, dental, alternative medicine, cancer screening
- Financial well-being incentives
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