A couple of jarring moments in the first days of his presidency demonstrate how challenging it will be for Joe Biden to repair US policy towards the Palestinians.
The first was a seemingly minor, but in fact highly instructive, kerfuffle over the language identifying the Twitter feed for the US ambassador to Israel. Shortly after Mr Biden was inaugurated, the account’s description was changed to say that the ambassador represents Washington in “Israel, the West Bank and Gaza” rather than simply Israel.
That's obviously true. But it contradicts persistent efforts by the previous administration to reverse decades of US policy that recognised the distinction between Israel and the Palestinian territories occupied in 1967. Under Donald Trump, the State Department gradually eliminated almost all references to occupation, occupied territories and even, at times, "the West Bank and Gaza Strip" as entities distinct from Israel.
This idea was most prominently expressed in the so-called "Peace to Prosperity" plan issued in January 2020 that encouraged Israel to annex huge chunks of the occupied West Bank and would have effectively eliminated the potential for a Palestinian state. But it was also reflected in language in numerous State Department documents, including US passports, that appear to recognise Israel's de facto sovereignty in occupied East Jerusalem and other parts of the West Bank.
The bottom line is that the Trump administration was opposed to a genuine, viable two-state solution whereas the Biden administration will seek to return to the US what had been a bipartisan consensus in favour of such an outcome. In that quest, they will enjoy the support of most professional diplomats at the State Department, who were deeply concerned by the Trump administration's abandonment of both international law and the terms of the 1993 Declaration of Principles, which was signed by the US and Israel and forbids unilateral annexation.
So, it's not surprising that somebody at the State Department moved immediately to correct the language on Twitter to reflect these understandings. However, conservative media and right-wing politicians such as Michael McCaul, the senior Republican on the House foreign affairs committee, howled in outrage.
The language was quickly restored to read simply "Israel" and the State Department insisted that it was all an inadvertent error and reflected no change in policy now or any planned one in the future.
That may be perfectly true. Someone certainly jumped the gun.
Yet while the language change was hasty, and clumsy in many ways, it nonetheless does reflect the kind of policy change towards the Palestinians the Biden administration could pursue, and the level of opposition that would face.
But the fact that such a simple, basic and, in a rational world, plainly unobjectionable phrase as "Israel, the West Bank and Gaza" could cause an uproar, and have to be withdrawn for reintroduction at some propitious future date, indicates how challenging it will be for the Biden administration to restore something as previously straightforward as the US commitment to a two-state solution.
That conundrum was further illustrated in the confirmation hearings for Secretary of State nominee Antony Blinken. He repeated the Biden administration's commitment to a two-state outcome, but when asked if the US would maintain its embassy in Jerusalem and its current policies towards Jerusalem, Mr Blinken answered quickly and simply: "Yes and yes."
Nobody expected Mr Biden to remove the US Embassy from Jerusalem. But Mr Trump's recognition of Israel’s sovereignty in Jerusalem seems, particularly to Israel, to involve both West Jerusalem and occupied East Jerusalem. If that really is US policy, which was never made explicitly clear, and the Biden administration maintains it, then their purported commitment to a two-state solution isn’t serious.
A compromise on occupied East Jerusalem, and particularly the Muslim and Christian holy places in what is known as the "holy basin", is an indispensable part of any viable two-state outcome. Israel's position that all of Jerusalem is its "eternal and undivided capital" leaves little room for any such understanding.
Fortunately, there is a way out for Mr Biden on this, and, ironically, it was provided by Mr Trump himself. In his December 6, 2017 proclamation on Jerusalem, Mr Trump specifically stated that "the specific boundaries of Israeli sovereignty in Jerusalem are subject to final-status negotiations".
This phrase was never further explained, but it hangs over the proclamation as a crucial caveat. What Mr Biden needs to do, sooner rather than later, is to explain that this can only mean, and that US policy is, that Washington recognises Israel's sovereignty in West Jerusalem but continues to view occupied East Jerusalem as a core final-status issue to be resolved only through negotiations as the 1993 Declaration of Principles stipulates.
It is not a difficult case to make, if you begin the conversation by asking what the "specific boundaries" passage was intended to signify and why it was included. In April 2017, Russia recognised West Jerusalem as Israel's capital, and added that it looked forward to recognising the Palestinian capital in East Jerusalem. That declaration angered no one.
The two-state solution was moribund even before Donald Trump's plan attempted to permanently bury it
Right-wing Israelis, greater-Israel advocates, evangelical fundamentalist Christians and diehard supporters of Mr Trump may feign outrage. But it's a necessary step if Mr Biden is interested in reestablishing the US position as one compatible with a viable peace.
The irony is that while Mr Biden is going to struggle mightily to restore this stance, it is hardly a major step forward. The two-state solution was moribund even before Mr Trump’s plan attempted to permanently bury it. Even if Mr Biden manages to exhume a pro-peace US policy, the two-state solution isn't likely to emerge greatly reinvigorated.
Crucially, Israel is now moving at top speed to finalise a major new settlement cutting occupied East Jerusalem off from the West Bank. Mr Biden must take a strong stance against the Givat Hamatos project, which would achieve practically what Mr Trump's rhetoric implied: that any Israeli compromise on Jerusalem is permanently off the table.
If that settlement is built, no amount of impeccable rhetoric or improved policies is likely to salvage the possibility of peace. Mr Biden can and must prevent it, but he will have to move quickly.
Hussein Ibish is a senior resident scholar at the Arab Gulf States Institute and a US affairs columnist for The National
Like a Fading Shadow
Antonio Muñoz Molina
Translated from the Spanish by Camilo A. Ramirez
Tuskar Rock Press (pp. 310)
LEAGUE CUP QUARTER-FINAL DRAW
Stoke City v Tottenham
Brentford v Newcastle United
Arsenal v Manchester City
Everton v Manchester United
All ties are to be played the week commencing December 21.
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What vitamins do we know are beneficial for living in the UAE
Vitamin D: Highly relevant in the UAE due to limited sun exposure; supports bone health, immunity and mood.
Vitamin B12: Important for nerve health and energy production, especially for vegetarians, vegans and individuals with absorption issues.
Iron: Useful only when deficiency or anaemia is confirmed; helps reduce fatigue and support immunity.
Omega-3 (EPA/DHA): Supports heart health and reduces inflammation, especially for those who consume little fish.
UAE v Gibraltar
What: International friendly
When: 7pm kick off
Where: Rugby Park, Dubai Sports City
Admission: Free
Online: The match will be broadcast live on Dubai Exiles’ Facebook page
UAE squad: Lucas Waddington (Dubai Exiles), Gio Fourie (Exiles), Craig Nutt (Abu Dhabi Harlequins), Phil Brady (Harlequins), Daniel Perry (Dubai Hurricanes), Esekaia Dranibota (Harlequins), Matt Mills (Exiles), Jaen Botes (Exiles), Kristian Stinson (Exiles), Murray Reason (Abu Dhabi Saracens), Dave Knight (Hurricanes), Ross Samson (Jebel Ali Dragons), DuRandt Gerber (Exiles), Saki Naisau (Dragons), Andrew Powell (Hurricanes), Emosi Vacanau (Harlequins), Niko Volavola (Dragons), Matt Richards (Dragons), Luke Stevenson (Harlequins), Josh Ives (Dubai Sports City Eagles), Sean Stevens (Saracens), Thinus Steyn (Exiles)
Countries recognising Palestine
France, UK, Canada, Australia, Portugal, Belgium, Malta, Luxembourg, San Marino and Andorra
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RIVER%20SPIRIT
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AndhaDhun
Director: Sriram Raghavan
Producer: Matchbox Pictures, Viacom18
Cast: Ayushmann Khurrana, Tabu, Radhika Apte, Anil Dhawan
Rating: 3.5/5
Dubai Bling season three
Cast: Loujain Adada, Zeina Khoury, Farhana Bodi, Ebraheem Al Samadi, Mona Kattan, and couples Safa & Fahad Siddiqui and DJ Bliss & Danya Mohammed
Rating: 1/5
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THE SPECS
Engine: 1.5-litre
Transmission: 6-speed automatic
Power: 110 horsepower
Torque: 147Nm
Price: From Dh59,700
On sale: now
Tamkeen's offering
- Option 1: 70% in year 1, 50% in year 2, 30% in year 3
- Option 2: 50% across three years
- Option 3: 30% across five years
Emergency phone numbers in the UAE
Estijaba – 8001717 – number to call to request coronavirus testing
Ministry of Health and Prevention – 80011111
Dubai Health Authority – 800342 – The number to book a free video or voice consultation with a doctor or connect to a local health centre
Emirates airline – 600555555
Etihad Airways – 600555666
Ambulance – 998
Knowledge and Human Development Authority – 8005432 ext. 4 for Covid-19 queries
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
Our legal consultant
Name: Hassan Mohsen Elhais
Position: legal consultant with Al Rowaad Advocates and Legal Consultants.
Expo details
Expo 2020 Dubai will be the first World Expo to be held in the Middle East, Africa and South Asia
The world fair will run for six months from October 20, 2020 to April 10, 2021.
It is expected to attract 25 million visits
Some 70 per cent visitors are projected to come from outside the UAE, the largest proportion of international visitors in the 167-year history of World Expos.
More than 30,000 volunteers are required for Expo 2020
The site covers a total of 4.38 sqkm, including a 2 sqkm gated area
It is located adjacent to Al Maktoum International Airport in Dubai South
The specs: 2019 Audi A7 Sportback
Price, base: Dh315,000
Engine: 3.0-litre V6
Transmission: Seven-speed automatic
Power: 335hp @ 5,000rpm
Torque: 500Nm @ 1,370rpm
Fuel economy 5.9L / 100km
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.
What is blockchain?
Blockchain is a form of distributed ledger technology, a digital system in which data is recorded across multiple places at the same time. Unlike traditional databases, DLTs have no central administrator or centralised data storage. They are transparent because the data is visible and, because they are automatically replicated and impossible to be tampered with, they are secure.
The main difference between blockchain and other forms of DLT is the way data is stored as ‘blocks’ – new transactions are added to the existing ‘chain’ of past transactions, hence the name ‘blockchain’. It is impossible to delete or modify information on the chain due to the replication of blocks across various locations.
Blockchain is mostly associated with cryptocurrency Bitcoin. Due to the inability to tamper with transactions, advocates say this makes the currency more secure and safer than traditional systems. It is maintained by a network of people referred to as ‘miners’, who receive rewards for solving complex mathematical equations that enable transactions to go through.
However, one of the major problems that has come to light has been the presence of illicit material buried in the Bitcoin blockchain, linking it to the dark web.
Other blockchain platforms can offer things like smart contracts, which are automatically implemented when specific conditions from all interested parties are reached, cutting the time involved and the risk of mistakes. Another use could be storing medical records, as patients can be confident their information cannot be changed. The technology can also be used in supply chains, voting and has the potential to used for storing property records.
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.”
England World Cup squad
Eoin Morgan (capt), Moeen Ali, Jofra Archer, Jonny Bairstow, Jos Buttler (wkt), Tom Curran, Liam Dawson, Liam Plunkett, Adil Rashid, Joe Root, Jason Roy, Ben Stokes, James Vince, Chris Woakes, Mark Wood
The specs
Engine: 2.0-litre 4-cylinder turbo hybrid
Transmission: eight-speed automatic
Power: 390bhp
Torque: 400Nm
Price: Dh340,000 ($92,579
'Manmarziyaan' (Colour Yellow Productions, Phantom Films)
Director: Anurag Kashyap
Cast: Abhishek Bachchan, Taapsee Pannu, Vicky Kaushal
Rating: 3.5/5
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