Germany was trying to limit damage to its reputation on Tuesday after a Russian spy scandal sparked frustration within Nato.
German Defence Minister Boris Pistorius played down security fears after Russia leaked a recording of a classified military meeting on the war in Ukraine.
"Of course we are reliable," Mr Pistorius said on a visit to Stockholm.
He found an ally in soon-to-be Nato member Sweden, whose Defence Minister Pal Jonsson agreed on Germany's reliability, but others appear less satisfied.
Mr Pistorius has been calling allies to insist the leak was a one-off security mistake.
Foreign Minister Annalena Baerbock hastily added a trip to Paris to her schedule on Tuesday, while Gewrman Chancellor Olaf Scholz met an elite commando unit to show his support for the armed forces.
Embarrassing leak
The recording leaked by Russia had something to aggravate almost everyone.
The Kremlin seized on chatter about striking a Crimean bridge to suggest Germany was a party to the war, an impression Mr Scholz has been desperate to avoid.
Talk of Britain having “people on the ground” in Ukraine was the second time in days that Germany appeared to have given that away, sparking irritation with Mr Scholz in Westminster.
At home, his argument that providing Taurus missiles would require German troops in Ukraine seemed to be contradicted by the leak, in which it was said Kyiv’s forces could operate them alone.
A further complaint in Berlin is that for all of Mr Scholz’s talk about a shift to a more robust security policy (known as the Zeitenwende, or watershed), the military’s apparent clumsiness tells a different story.
“Instead of following the arguments of his own officers, Olaf Scholz is doing exactly what Putin wants” by not sending the Taurus missiles, said conservative member Norbert Roettgen, a foreign policy specialist.
“That is disastrous as a signal to Moscow, because it shows that Russian pressure works.”
Reinhard Brandl, who sits on a defence committee in parliament, said it was time for ministers to strengthen Germany’s cyber defence after the latest Russian spy scandal.
An alleged Russian spy in Germany’s foreign intelligence service was arrested on suspicion of treason in 2022. The same year, a guard at the British embassy in Berlin admitted passing secrets to Moscow.
“Russia listened to a conversation among military officers about the deployment of Taurus in Ukraine. That shows once more that we’re still waiting for the Zeitenwende in cyber defence,” Mr Brandl said.
German response
German officials have hit back by accusing Russia of spreading propaganda and trying to sow division among Ukraine’s biggest backers.
Mr Pistorius said the leak was a one-off security mistake by a general who dialled into a WebEx call on an unsecured line from Singapore, possibly using hotel WiFi.
The call is believed to have been a “random hit” for Russian wiretappers and German military chiefs do not think they have a mole, according to Mr Pistorius.
The fact that Russia went public with its secret intelligence shows that "Putin is not interested in the information itself that he gathers", Mr Pistorius said.
"He just wanted to embarrass us, and to try to divide our unity and try to undermine our support for Ukraine."
Ms Baerbock will follow her French meeting by hosting the UK's Foreign Secretary David Cameron on Thursday.
While UK ministers have refrained from criticising Mr Scholz, leading security voices have not held back after the chancellor implied British and French troops were helping Ukraine to fire missiles.
Alicia Kearns, the head of the UK Parliament’s foreign affairs committee, last week described Mr Scholz’s comments as “wrong, irresponsible and a slap in the face to allies”.
KILLING OF QASSEM SULEIMANI
Our family matters legal consultant
Name: Hassan Mohsen Elhais
Position: legal consultant with Al Rowaad Advocates and Legal Consultants.
Vaccine Progress in the Middle East
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Why it pays to compare
A comparison of sending Dh20,000 from the UAE using two different routes at the same time - the first direct from a UAE bank to a bank in Germany, and the second from the same UAE bank via an online platform to Germany - found key differences in cost and speed. The transfers were both initiated on January 30.
Route 1: bank transfer
The UAE bank charged Dh152.25 for the Dh20,000 transfer. On top of that, their exchange rate margin added a difference of around Dh415, compared with the mid-market rate.
Total cost: Dh567.25 - around 2.9 per cent of the total amount
Total received: €4,670.30
Route 2: online platform
The UAE bank’s charge for sending Dh20,000 to a UK dirham-denominated account was Dh2.10. The exchange rate margin cost was Dh60, plus a Dh12 fee.
Total cost: Dh74.10, around 0.4 per cent of the transaction
Total received: €4,756
The UAE bank transfer was far quicker – around two to three working days, while the online platform took around four to five days, but was considerably cheaper. In the online platform transfer, the funds were also exposed to currency risk during the period it took for them to arrive.
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
The specs: Aston Martin DB11 V8 vs Ferrari GTC4Lusso T
Price, base: Dh840,000; Dh120,000
Engine: 4.0L V8 twin-turbo; 3.9L V8 turbo
Transmission: Eight-speed automatic; seven-speed automatic
Power: 509hp @ 6,000rpm; 601hp @ 7,500rpm
Torque: 695Nm @ 2,000rpm; 760Nm @ 3,000rpm
Fuel economy, combined: 9.9L / 100km; 11.6L / 100km
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What can you do?
Document everything immediately; including dates, times, locations and witnesses
Seek professional advice from a legal expert
You can report an incident to HR or an immediate supervisor
You can use the Ministry of Human Resources and Emiratisation’s dedicated hotline
In criminal cases, you can contact the police for additional support
At a glance
Global events: Much of the UK’s economic woes were blamed on “increased global uncertainty”, which can be interpreted as the economic impact of the Ukraine war and the uncertainty over Donald Trump’s tariffs.
Growth forecasts: Cut for 2025 from 2 per cent to 1 per cent. The OBR watchdog also estimated inflation will average 3.2 per cent this year
Welfare: Universal credit health element cut by 50 per cent and frozen for new claimants, building on cuts to the disability and incapacity bill set out earlier this month
Spending cuts: Overall day-to day-spending across government cut by £6.1bn in 2029-30
Tax evasion: Steps to crack down on tax evasion to raise “£6.5bn per year” for the public purse
Defence: New high-tech weaponry, upgrading HM Naval Base in Portsmouth
Housing: Housebuilding to reach its highest in 40 years, with planning reforms helping generate an extra £3.4bn for public finances
Islamophobia definition
A widely accepted definition was made by the All Party Parliamentary Group on British Muslims in 2019: “Islamophobia is rooted in racism and is a type of racism that targets expressions of Muslimness or perceived Muslimness.” It further defines it as “inciting hatred or violence against Muslims”.
The Kingfisher Secret
Anonymous, Penguin Books
Leading all-time NBA scorers
Kareem Abdul-Jabbar 38,387
Karl Malone 36,928
Kobe Bryant 33,643
Michael Jordan 32,292
LeBron James 31,425
Wilt Chamberlain 31,419
RESULTS
Argentina 4 Haiti 0
Peru 2 Scotland 0
Panama 0 Northern Ireland 0
Killing of Qassem Suleimani
