Chinese Foreign Minister Wang Yi during his 2018 meeting with Iranian counterpart Mohammad Javad Zarif in Beijing. Both countries are expected to unveil a pact soon. EPA
Chinese Foreign Minister Wang Yi during his 2018 meeting with Iranian counterpart Mohammad Javad Zarif in Beijing. Both countries are expected to unveil a pact soon. EPA
Chinese Foreign Minister Wang Yi during his 2018 meeting with Iranian counterpart Mohammad Javad Zarif in Beijing. Both countries are expected to unveil a pact soon. EPA
Iran has inserted itself in the ongoing stand-off between the US and China, with Tehran on the verge of signing a deal with Beijing. It has done so to achieve two goals. First, it aims to mitigate its economic isolation following the imposition of US-led sanctions, which continue to cripple the regime. Second, it seeks to appear as a player with significant heft in the Sino-American balance of power.
Iran and China are expected to strike an economic and military quasi-alliance in which the Tehran will offer its resources to Beijing's corporations and give it military and security concessions for a period of 25 years. The latter is said to be going forward despite opposition within Iran itself.
It has also been strengthening its relations with Turkey, especially in parts of the Arab region that serve as arenas for Turkish adventures, such as Syria, Iraq and more recently Libya. But Iran has faced complications elsewhere in the international arena. This is partly because sanctions make it difficult for Tehran to do business with Chinese, Russian and European companies and banks. It is also down to the fact that the geopolitical interests of the major powers run far beyond Iranian calculations – no matter how much Tehran likes to promote a different image of itself.
Iran could buy some of the latest Russian-made fighter aircraft if the UN embargo ends. Reuters
A Sukhoi Su-30, a highly-manoeuvrable two-seat fighter jet designed and built in Russia. EPA
Iran is likely to want to bolster its air defence capabilities, experts have warned. AFP
Russia's MIG-35 is also a contender to replace the Iranian air force's ageing fleet of Cold War-era fighter jets. EPA
The JF-17 Thunder, jointly developed by China and Pakistan, performs a demonstration flight at the Paris Air Show in 2015. AP
The multi-role aircraft is another being eyed for Iran's air force. AFP
Chinese made J-10 fighter jets of the Bayi Aerobatic Team. There are fears Iran could try to start a bidding war between Russia and China to build up its military capabilities cheaply. AFP
Russia's highly advanced S-400 surface-to-air missile system at a military base outside near Kaliningrad, Russia March 11, 2019. Reuters
Improved surface-to-air missiles are also thought to be a high priority for the Islamic republic. AFP
If the S-400 system, seen here in Syria, proves too expensive, Iran could opt for the cheaper but less advanced S-300. AFP
The dominant view of the Chinese-Iranian deal-making effort, among those I spoke with, is that it is more symbolic than strategic.
In veteran American diplomat Ryan Crocker's analysis, the agreement is overstated. "As I look at it, I don't see much in the way of concrete action [with the exception of economic aid]," he said. “The Trump administration's sanctions have created a real problem for Iran; their economy is in the shambles, and yes, China could step in and throw them a lifeline. If they do, it will have to be very carefully calculated and would have to think very carefully about how far they want to push particularly this administration."
Dr Irina Zvyagelskaya, who heads the Centre of the Middle East Studies at the Primakov National Research Institute of World Economy and International Relations in Russia, points to Beijing's increasing confidence while facing up to Washington. “I believe that China can really outlive any sanctions nowadays. It doesn't need Russia even, it can do it alone," she said. "This is very important because, as far as I understand, there is a nightmare in Washington that China and Russia unite against the United States."
Remarkably, Dr Zvyagelskaya dismisses the possibility of a Chinese-Russian-Iranian axis emerging in the Middle East, describing it as little more than a “phantom”. Speaking at the 11th e-policy circle of the Beirut Institute Summit in Abu Dhabi, she said: "[China and Russia] are allies. But at the same time, our interests are different – and it's obvious to everyone. So, when we are talking about China, let's talk about China, not 'plus Russia', because these are different sides."
US-China tensions have escalated in recent months, chiefly in areas of trade and security in the South China Sea. Leading officials in the Trump administration have been upping the ante against Beijing.
The US Secretary of State Mike Pompeo has accused China of using intimidation tactics to undermine the littoral rights of south-east Asian countries. Last week, the Federal Bureau of Investigation director Christopher Wray claimed that the aim of the ruling Communist Party of China is for their country to replace the US as the world's only super power.
“The greatest long-term threat to our nation’s information and intellectual property, and to our economic vitality, is the counter-intelligence and economic espionage threat from China. It’s a threat to our economic security – and by extension, to our national security," Mr Wray said.
Tensions have escalated even further since China imposed a new national security law in Hong Kong, prompting US sanctions on banks and officials of the telecom giant Huawei. China has promised to respond with sanctions on US officials and entities.
Protesters march during a rally against a controversial extradition law proposal in Hong Kong on June 9 2019. AFP
A woman shouts at police officers as they advance towards protesters in the district of Yuen Long on July 27, 2019 in Hong Kong. Getty
A resumption of city-wide unrest is unlikely as activists reel from mass arrests, coronavirus bans on public gatherings and a looming national security law. AFP
Riot police fire tear gas towards protesters in the district of Yuen Long on July 27, 2019 in Hong Kong. Getty
June 2020 marks a year since pro-democracy protests erupted. AFP
A protester marches with a placard during a rally against a controversial extradition law proposal in Hong Kong in 2019. AFP
Hong Kong on June 9, 2020, marks a year since pro-democracy protests erupted. AFP
Protesters gesture as they chant "no extradition" as they rally against a controversial extradition law proposal in Hong Kong on June 9 2019. AFP
A resumption of city-wide unrest is unlikely as activists reel from mass arrests, coronavirus bans on public gatherings and a looming national security law. AFP
A police officer holds up pepper spray as he attempts to disperse protesters out of the platform at Po Lam Station on September 5, 2019 in Hong Kong. Getty
Hong Kong witnessed its largest street protest in at least 15 years on June 9 2019 as crowds massed against plans to allow extraditions to China. AFP
Demonstrators gather at Victoria Park ahead of a protest against a proposed extradition law in Hong Kong, China, on Sunday, June 9, 2019. Bloomberg
Hong Kong's embattled leader Carrie Lam announced the formal withdrawal of the controversial extradition bill after 13 weeks of demonstrations. Getty
One year ago, a sea of humanity, a million people by some estimates, marched through central Hong Kong on a steamy afternoon. AP
The protests surpassed the Umbrella Movement six years ago, becoming the biggest political crisis since Britain handed its onetime colony back to China in 1997. Getty
Hong Kong leader Carrie Lam apologises for introducing the bill and declares it "dead", but protests continued in the streets. Getty
I am reliably informed that Washington is prepared to take further punitive measures, including an embargo on Chinese banks, if Beijing implements some of the clauses reportedly present in its imminent deal with Tehran. Iran needs Chinese banks to carry out trade and financial transactions, but China is mindful that this might lead to an open confrontation with the US. It is therefore likely to stick to the agreement's symbolic aspects, for now.
Moreover, China has interests in the Gulf. It maintains strong ties with the UAE and Saudi Arabia, and there are few indications that it is willing to sacrifice them for the sake of upgrading relations with Tehran. It also does business with Israel, especially in key technology sectors. This alone is likely to present an obstacle in prospective ties with Lebanon.
Of course Beijing may not be averse to promoting its interests in Lebanon. And Iran-backed Lebanese militia Hezbollah, an integral part of the government in Beirut, may be keen for a Chinese-led bailout as the national economy suffers. But everyone knows the US is watching closely. China will therefore hold its cards close to its chest.
The Ministry of Culture and Knowledge Development has organised the UAE-China Week in Beijing. Courtesy WAM
The UAE-China Week will run until July 24 in Beijing. Courtesy WAM
The event’s cultural activities include the traditional Al Ayyalah 'stick dance'. Courtesy WAM
Onlookers were greeted with the performances from the Emirati men. Courtesy WAM
One of the men poses with Chinese onlookers. Courtesy WAM
The ministry will also organise a heritage village that will feature handicrafts, incense and henna, and a cafe to introduce the Chinese public to Emirati coffee. Courtesy WAM
There are those in the international community who regard China’s rise is a fait accompli. Many even believe that the balance of power may be moving in Beijing's favour. But the countours of the imminent China-Iran deal have left some Arab experts concerned.
That China and Russia recently vetoed a UN resolution to extend a deal allowing aid delivery to rebel-held territories in Syria has given many Arabs pause. The former Libyan foreign minister Mohammed Dairi, for instance, told me: “It doesn't surprise me that China would seek to forge better relationship with Iran." He worries that China may even turn a blind eye to Iran’s activities in the Arab region, including in Libya, where Tehran's interests are converging with those of Ankara, as both countries look to deepen their presence in North Africa.
Libya could be an important theatre for China, too, given its economic influence in the rest of Africa. However, it is aware that Russia is a dominant player in the North African country.
For now, it seems focused on getting its foothold in Iran.
Raghida Dergham is the founder and executive chairwoman of the Beirut Institute
The 169g Crunchie egg has 15.9g of sugar per 25g serving, working out at around 107g of sugar per egg
The 190g Maltesers Teasers egg contains 58g of sugar per 100g for the egg and 19.6g of sugar in each of the two Teasers bars that come with it
The 188g Smarties egg has 113g of sugar per egg and 22.8g in the tube of Smarties it contains
The Milky Bar white chocolate Egg Hunt Pack contains eight eggs at 7.7g of sugar per egg
The Cadbury Creme Egg contains 26g of sugar per 40g egg
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.”
The President's Cake
Director: Hasan Hadi
Starring: Baneen Ahmad Nayyef, Waheed Thabet Khreibat, Sajad Mohamad Qasem
Rating: 4/5
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
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
Baby Driver
Director: Edgar Wright
Starring: Ansel Elgort, Kevin Spacey, Jamie Foxx, Lily James
The internal combustion engine is facing a watershed moment – major manufacturer Volvo is to stop producing petroleum-powered vehicles by 2021 and countries in Europe, including the UK, have vowed to ban their sale before 2040. The National takes a look at the story of one of the most successful technologies of the last 100 years and how it has impacted life in the UAE.
Cherish Cafe Dubai, Dubai Investment Park, are giving away free coffees all day.
La Terrace, Four Points by Sheraton Bur Dubai, are serving their first 50 guests one coffee and four bite-sized cakes
Wild & The Moon will be giving away a free espresso with every purchase on International Coffee Day
Orange Wheels welcome parents are to sit, relax and enjoy goodies at ‘Café O’ along with a free coffee
Global state-owned investor ranking by size
1.
United States
2.
China
3.
UAE
4.
Japan
5
Norway
6.
Canada
7.
Singapore
8.
Australia
9.
Saudi Arabia
10.
South Korea
Prop idols
Girls full-contact rugby may be in its infancy in the Middle East, but there are already a number of role models for players to look up to.
Sophie Shams (Dubai Exiles mini, England sevens international)
An Emirati student who is blazing a trail in rugby. She first learnt the game at Dubai Exiles and captained her JESS Primary school team. After going to study geophysics at university in the UK, she scored a sensational try in a cup final at Twickenham. She has played for England sevens, and is now contracted to top Premiership club Saracens.
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Seren Gough-Walters (Sharjah Wanderers mini, Wales rugby league international)
Few players anywhere will have taken a more circuitous route to playing rugby on Sky Sports. Gough-Walters was born in Al Wasl Hospital in Dubai, raised in Sharjah, did not take up rugby seriously till she was 15, has a master’s in global governance and ethics, and once worked as an immigration officer at the British Embassy in Abu Dhabi. In the summer of 2021 she played for Wales against England in rugby league, in a match that was broadcast live on TV.
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Erin King (Dubai Hurricanes mini, Ireland sevens international)
Aged five, Australia-born King went to Dubai Hurricanes training at The Sevens with her brothers. She immediately struck up a deep affection for rugby. She returned to the city at the end of last year to play at the Dubai Rugby Sevens in the colours of Ireland in the Women’s World Series tournament on Pitch 1.
The specs
AT4 Ultimate, as tested
Engine: 6.2-litre V8
Power: 420hp
Torque: 623Nm
Transmission: 10-speed automatic
Price: From Dh330,800 (Elevation: Dh236,400; AT4: Dh286,800; Denali: Dh345,800)
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.
The flightsFly Dubai, Air Arabia, Emirates, Etihad, and Royal Jordanian all offer direct, three-and-a-half-hour flights from the UAE to the Jordanian capital Amman. Alternatively, from June Fly Dubai will offer a new direct service from Dubai to Aqaba in the south of the country. See the airlines’ respective sites for varying prices or search on reliable price-comparison site Skyscanner.
The trip
Jamie Lafferty was a guest of the Jordan Tourist Board. For more information on adventure tourism in Jordan see Visit Jordan. A number of new and established tour companies offer the chance to go caving, rock-climbing, canyoning, and mountaineering in Jordan. Prices vary depending on how many activities you want to do and how many days you plan to stay in the country. Among the leaders are Terhaal, who offer a two-day canyoning trip from Dh845 per person. If you really want to push your limits, contact the Stronger Team. For a more trek-focused trip, KE Adventure offers an eight-day trip from Dh5,300 per person.
RESULT
Copa del Rey, semi-final second leg
Real Madrid 0
Barcelona 3 (Suarez (50', 73' pen), Varane (69' OG)
Our legal columnist
Name: Yousef Al Bahar
Advocate at Al Bahar & Associate Advocates and Legal Consultants, established in 1994
Education: Mr Al Bahar was born in 1979 and graduated in 2008 from the Judicial Institute. He took after his father, who was one of the first Emirati lawyers
What the law says
Micro-retirement is not a recognised concept or employment status under Federal Decree Law No. 33 of 2021 on the Regulation of Labour Relations (as amended) (UAE Labour Law). As such, it reflects a voluntary work-life balance practice, rather than a recognised legal employment category, according to Dilini Loku, senior associate for law firm Gateley Middle East.
“Some companies may offer formal sabbatical policies or career break programmes; however, beyond such arrangements, there is no automatic right or statutory entitlement to extended breaks,” she explains.
“Any leave taken beyond statutory entitlements, such as annual leave, is typically regarded as unpaid leave in accordance with Article 33 of the UAE Labour Law. While employees may legally take unpaid leave, such requests are subject to the employer’s discretion and require approval.”
If an employee resigns to pursue micro-retirement, the employment contract is terminated, and the employer is under no legal obligation to rehire the employee in the future unless specific contractual agreements are in place (such as return-to-work arrangements), which are generally uncommon, Ms Loku adds.
Dubai launched the pilot phase of its real estate tokenisation project last month.
The initiative focuses on converting real estate assets into digital tokens recorded on blockchain technology and helps in streamlining the process of buying, selling and investing, the Dubai Land Department said.
Dubai’s real estate tokenisation market is projected to reach Dh60 billion ($16.33 billion) by 2033, representing 7 per cent of the emirate’s total property transactions, according to the DLD.
Who was Alfred Nobel?
The Nobel Prize was created by wealthy Swedish chemist and entrepreneur Alfred Nobel.
In his will he dictated that the bulk of his estate should be used to fund "prizes to those who, during the preceding year, have conferred the greatest benefit to humankind".
Nobel is best known as the inventor of dynamite, but also wrote poetry and drama and could speak Russian, French, English and German by the age of 17. The five original prize categories reflect the interests closest to his heart.
Nobel died in 1896 but it took until 1901, following a legal battle over his will, before the first prizes were awarded.
How to donate
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