Biden takes hard line with Putin over possible Ukraine invasion


Joyce Karam
  • English
  • Arabic

US President Joe Biden told Russian leader Vladimir Putin on Tuesday that the west is concerned Russia will invade Ukraine and warned of "strong economic and other measures" as punishment should Moscow start a military conflict, the White House said.

The men spoke in a a two-hour video call, marking their fourth direct conversation this year, following two calls and one summit in Geneva that was itself prompted by a Russian troop buildup near Ukraine.

The US president reiterated his administration's support for Ukraine’s sovereignty and territorial integrity and called for de-escalation.

From the White House, US National Security Adviser Jake Sullivan said that Mr Biden was “direct and straightforward,” during the call.

“He told President Putin directly that if Russia invades Ukraine, the United States and our European allies would respond with strong economic measures, we would provide additional defensive material to the Ukrainians, above and beyond that we are already providing, and we would fortify our Nato allies on the eastern flank with additional capabilities in response to such an escalation,” Mr Sullivan said.

The Kremlin has denied harbouring any intention to attack Ukraine and has said its troop posture is defensive.

But US officials say their intelligence suggests Russia has drafted a plan for a military offensive against Ukraine in early 2022, involving as many as 175,000 personnel along with armour, artillery and other equipment.

US intelligence has also detected an uptick in Russian propaganda targeting Ukraine, fuelling speculation the Kremlin is readying an attack, according to a Biden administration official who requested anonymity to detail the intelligence assessments.

Mr Sullivan added that the US and its allies would respond more harshly than in 2014, when Russia previously invaded and annexed Crimea.

“President Biden looked President Putin in the eye and told him today that things we did not do in 2014, we are prepared to do now.”

But he said Mr Biden also offered Mr Putin a path for de-escalation by engaging in a discussion with the US, the Europeans and Ukrainians that could address Russia’s strategic concerns. The goal of such talks would be to reach a ceasefire and implement confidence building measures in line with the Minsk agreement.

“We managed to do this at the height of the Cold War. We developed mechanisms to help reduce instability and increased transparency…there is no reason we can't do that going forward," said Mr Sullivan.

In that context, Mr Sullivan said the Biden-Putin call “was a lot of give and take, there was no finger wagging but the president was crystal clear about where the United States stands on all of these issues.”

He said there is no substitute for direct dialogue including with Russia.

Asked if Mr Biden is committed to re-opening some of Russia’s closed diplomatic missions in the US or expand its embassy presence, Mr Sullivan said the ideas were discussed but without any commitment.

“President Biden is open to creating functioning diplomatic missions in both countries, but he didn't make any specific commitments,” he said.

A Russian invasion would likely stop Germany's plans to launch the Nordstream 2 gas pipeline with Russia.

“If Vladimir Putin wants to see gas flow through that pipeline, he may not want to take the risk of invading Ukraine," Mr Sullivan said.

The White House said Mr Biden spoke with the leaders of France, Britain, Germany, Italy after his call with Mr Putin was complete.

According to Britain's Downing Street, the leaders “underlined the importance of Russia ceasing their threatening behaviour towards Ukraine” during the call.

“They agreed on the need for ongoing dialogue with Russia to encourage this outcome,” a spokeswoman said.

“The leaders agreed to stay in close contact and to co-ordinate their approaches to this issue.”

It follows Boris Johnson telling allies on Monday that the UK would “continue to use all the economic and diplomatic tools at its disposal” to prevent any Russian aggression against Kiev.

Meanwhile, testifying at a hearing in the Senate, Undersecretary of State for Political Affairs Victoria Nuland said the consequences would be “severe" on Russia if it invades Ukraine.

“It is hard to comprehend why at a time when Russia itself has one of the highest rates of Covid-19 around the world and the Russian people are suffering in other ways, who would want to spend the money in the Russian treasury, hundreds of millions of rubles on a war nobody needs with Ukraine,” she said.

Ms Nuland described the Ukrainians as tough.

“They will not stand by should President Putin order his forces into Ukraine ... I think the Russians will have a very big fight on their hands, that there will be severe casualties for them,” she said.

A November file photo shows a Ukrainian soldier at a training ground near the border with Russian-annexed Crimea. via Reuters
A November file photo shows a Ukrainian soldier at a training ground near the border with Russian-annexed Crimea. via Reuters

The Kremlin says it doesn’t intend to invade, and accuses the US and its allies of expanding their military infrastructure into Ukraine in a way that Russia sees as threatening.

Before the talks, Kremlin spokesman Dmitry Peskov declined to comment on the reports of planned sanctions, saying the “emotional statements” of recent days wouldn’t affect the talks.

“It’s obvious that if the presidents are having this conversation, they intend to discuss the issues and not drive things into a dead end,” Mr Peskov said on a conference call with reporters on Tuesday, while warning against expecting breakthroughs.

Before the call, the Kremlin said Mr Putin would push his proposal for legally binding security guarantees that Nato wouldn’t expand further eastward and wouldn’t deploy offensive weapons in the region. White House Press Secretary Jen Psaki has said that Mr Putin has no say in Nato's membership.

The White House said the two leaders also discussed the US-Russia dialogue on strategic stability, cybersecurity, as well as joint work on regional issues such as Iran.

Agencies contributed to this report

Russian wooden dolls at a Moscow souvenir shop depicting various world leaders. AP
Russian wooden dolls at a Moscow souvenir shop depicting various world leaders. AP
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While you're here
What are NFTs?

Are non-fungible tokens a currency, asset, or a licensing instrument? Arnab Das, global market strategist EMEA at Invesco, says they are mix of all of three.

You can buy, hold and use NFTs just like US dollars and Bitcoins. “They can appreciate in value and even produce cash flows.”

However, while money is fungible, NFTs are not. “One Bitcoin, dollar, euro or dirham is largely indistinguishable from the next. Nothing ties a dollar bill to a particular owner, for example. Nor does it tie you to to any goods, services or assets you bought with that currency. In contrast, NFTs confer specific ownership,” Mr Das says.

This makes NFTs closer to a piece of intellectual property such as a work of art or licence, as you can claim royalties or profit by exchanging it at a higher value later, Mr Das says. “They could provide a sustainable income stream.”

This income will depend on future demand and use, which makes NFTs difficult to value. “However, there is a credible use case for many forms of intellectual property, notably art, songs, videos,” Mr Das says.

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”.

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Kibsons%20Cares
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Our legal consultants

Name: Hassan Mohsen Elhais

Position: legal consultant with Al Rowaad Advocates and Legal Consultants.

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Tu%20Jhoothi%20Main%20Makkaar%20
%3Cp%3E%3Cstrong%3EDirector%3A%20%3C%2Fstrong%3ELuv%20Ranjan%26nbsp%3B%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3EStars%3A%20%3C%2Fstrong%3ERanbir%20Kapoor%2C%20Shraddha%20Kapoor%2C%20Anubhav%20Singh%20Bassi%20and%20Dimple%20Kapadia%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3ERating%3A%3C%2Fstrong%3E%203%2F5%3C%2Fp%3E%0A

The Light of the Moon

Director: Jessica M Thompson

Starring: Stephanie Beatriz, Michael Stahl-David

Three stars

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Milestones on the road to union

1970

October 26: Bahrain withdraws from a proposal to create a federation of nine with the seven Trucial States and Qatar. 

December: Ahmed Al Suwaidi visits New York to discuss potential UN membership.

1971

March 1:  Alex Douglas Hume, Conservative foreign secretary confirms that Britain will leave the Gulf and “strongly supports” the creation of a Union of Arab Emirates.

July 12: Historic meeting at which Sheikh Zayed and Sheikh Rashid make a binding agreement to create what will become the UAE.

July 18: It is announced that the UAE will be formed from six emirates, with a proposed constitution signed. RAK is not yet part of the agreement.

August 6:  The fifth anniversary of Sheikh Zayed becoming Ruler of Abu Dhabi, with official celebrations deferred until later in the year.

August 15: Bahrain becomes independent.

September 3: Qatar becomes independent.

November 23-25: Meeting with Sheikh Zayed and Sheikh Rashid and senior British officials to fix December 2 as date of creation of the UAE.

November 29:  At 5.30pm Iranian forces seize the Greater and Lesser Tunbs by force.

November 30: Despite  a power sharing agreement, Tehran takes full control of Abu Musa. 

November 31: UK officials visit all six participating Emirates to formally end the Trucial States treaties

December 2: 11am, Dubai. New Supreme Council formally elects Sheikh Zayed as President. Treaty of Friendship signed with the UK. 11.30am. Flag raising ceremony at Union House and Al Manhal Palace in Abu Dhabi witnessed by Sheikh Khalifa, then Crown Prince of Abu Dhabi.

December 6: Arab League formally admits the UAE. The first British Ambassador presents his credentials to Sheikh Zayed.

December 9: UAE joins the United Nations.

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SPECS
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Sukuk explained

Sukuk are Sharia-compliant financial certificates issued by governments, corporates and other entities. While as an asset class they resemble conventional bonds, there are some significant differences. As interest is prohibited under Sharia, sukuk must contain an underlying transaction, for example a leaseback agreement, and the income that is paid to investors is generated by the underlying asset. Investors must also be prepared to share in both the profits and losses of an enterprise. Nevertheless, sukuk are similar to conventional bonds in that they provide regular payments, and are considered less risky than equities. Most investors would not buy sukuk directly due to high minimum subscriptions, but invest via funds.

Spider-Man: No Way Home

Director: Jon Watts

Stars: Tom Holland, Zendaya, Jacob Batalon 

Rating:*****

match info

Athletic Bilbao 1 (Muniain 37')

Atletico Madrid 1 (Costa 39')

Man of the match  Iker Muniain (Athletic Bilbao)

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Red flags
  • Promises of high, fixed or 'guaranteed' returns.
  • Unregulated structured products or complex investments often used to bypass traditional safeguards.
  • Lack of clear information, vague language, no access to audited financials.
  • Overseas companies targeting investors in other jurisdictions - this can make legal recovery difficult.
  • Hard-selling tactics - creating urgency, offering 'exclusive' deals.

Courtesy: Carol Glynn, founder of Conscious Finance Coaching

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Austrian Grand Prix race timings

Weekend schedule for Austrian Grand Prix - all timings UAE

Friday

Noon-1.30pm First practice

4-5.30pm Second practice

Saturday

1-2pm Final practice

4pm Qualifying

Sunday

4pm Austrian Grand Prix (71 laps)

THE%20HOLDOVERS
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The specs

Engine: 2.0-litre four-cylinder turbo

Power: 268hp at 5,600rpm

Torque: 380Nm at 4,800rpm

Transmission: CVT auto

Fuel consumption: 9.5L/100km

On sale: now

Price: from Dh195,000 

Sole survivors
  • Cecelia Crocker was on board Northwest Airlines Flight 255 in 1987 when it crashed in Detroit, killing 154 people, including her parents and brother. The plane had hit a light pole on take off
  • George Lamson Jr, from Minnesota, was on a Galaxy Airlines flight that crashed in Reno in 1985, killing 68 people. His entire seat was launched out of the plane
  • Bahia Bakari, then 12, survived when a Yemenia Airways flight crashed near the Comoros in 2009, killing 152. She was found clinging to wreckage after floating in the ocean for 13 hours.
  • Jim Polehinke was the co-pilot and sole survivor of a 2006 Comair flight that crashed in Lexington, Kentucky, killing 49.
SPECS
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WITHIN%20SAND
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Fund-raising tips for start-ups

Develop an innovative business concept

Have the ability to differentiate yourself from competitors

Put in place a business continuity plan after Covid-19

Prepare for the worst-case scenario (further lockdowns, long wait for a vaccine, etc.) 

Have enough cash to stay afloat for the next 12 to 18 months

Be creative and innovative to reduce expenses

Be prepared to use Covid-19 as an opportunity for your business

* Tips from Jassim Al Marzooqi and Walid Hanna

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

Updated: December 08, 2021, 3:41 AM