A Turkish proposal to share Syria’s oil fields with Russia highlights a latent struggle for the country’s most prized resource, which had fallen to Kurdish militia dependent on the US.
Turkish President Recep Tayyip Erdogan indicated this week that he offered President Vladimir Putin joint revenue management for oilfields in eastern Syria to use for reconstruction.
An understanding between Ankara and Washington in October let Turkey invade areas that had been captured by Kurdish militia in north-east Syria, but kept the Turkish forces and their Syrian rebel proxies away from the oilfields.
Turkey hopes to turn the 30 kilometre deep strip and other border territories it took over in the past two years into a home for refugees it is hosting.
Ankara unveiled plans to build cities and infrastructure and then move more than three million Syrian refugees in Turkey into the zones, which would supposedly be free from regime bombardment.
Mr Erdogan said that if Mr Putin agreed, “we can do the construction and through the oil obtained there, we can help destroyed Syria get on its feet".
"If such a step can be taken here, I can even make the same offer to [US President Donald] Trump," Mr Erdogan said.
"Instead of terrorists benefiting here, we would have the opportunity to rebuild Syria."
He indicated that Mr Putin had not committed to the plan and there was no official reaction from Russia.
Deir Ezzor and Hasakah governorates in eastern Syria account for most of Syria’s oil production.
Most of the oilfields in the regions are with the Kurdish People’s Protection Units (YPG), the military wing of the Democratic Union Party (PYD).
The YPG is closely linked with the Turkish Kurdish Worker’s Party (PKK), which is listed as a terrorist organisation in Turkey, the US and in much of Western Europe.
Despite reducing its military presence in Syria, the US kept troops that prevented the regime of President Bashar Al Assad from taking over the oilfields in Deir Ezzor and stopped Turkey from overrunning Rmelan, a major oilfield in Hasakah on the border.
Mr Trump said in October that he believed US oil companies should “take some of the oil”.
The regime’s loose grip on the oilfields created a new class of smugglers and local barons in Syria’s east.
There, corruption and mismanagement of agriculture contributed to near-famine in the decade before the 2011 revolt against Assad family rule.
A new wealthy class emerged among the Kurds of eastern Syria by taking on an intermediary role through links with Kurdish militia commanders and the Assad regime.
Among the new profiteers is a Kurdish merchant known as Abu Al Dalu from the city of Qamishli.
He is connected with the YPG and with Muhammad Al Qatirji, a regime associate under US sanctions, Kurdish sources and European diplomats say.
The US Treasury describes Mr Al Qatirji as having enbled “fuel trade between the regime and ISIS, including providing oil products to ISIS-controlled territory”.
A Kurdish source working with the YPG administration in Hasakah said oil production, mainly from Rmelan oilfield and Al Omar in Deir Ezzor, brings in about $100 million a month.
The revenue comes from sales to regime and rebel areas, as well as to Iraq and smuggling to Turkey.
“The oil not only finances YPG salaries but has become a major source for the PKK in Qandil,” the source said, referring to the PKK’s headquarters in the mountains of northern Iraq.
Control over the oil and Syria’s border crossings were main points of contention in talks between the regime and the YPG, which had picked up since the Turkish incursion in October then subsided, European diplomats said.
Syrian Oil Ministry figures put oil production in Syria in 2010, the last full year before the revolt, at 380,000 barrels per day.
But industry executives working in Syria at the time said actual production was significantly lower due to dilapidated infrastructure and US sanctions, which have intensified since the revolt.
Today Syria’s oil output, mostly from regions under Kurdish militia control, is estimated at 50,000-70,000 barrels per day.
Jihad Yazigi, editor of the Syria Report economic and business newsletter, said that although Syria's output could help to meet some of Turkey's oil needs, Mr Erdogan's main aim was to starve his Kurdish enemies of the revenues.
“A direct takeover by Turkey would bring with it problems related to sanctions and legal issues,” Yazigi said.
“Erdogan wants to take the oilfields out of the hands of the PKK.”
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”.
Explainer: Tanween Design Programme
Non-profit arts studio Tashkeel launched this annual initiative with the intention of supporting budding designers in the UAE. This year, three talents were chosen from hundreds of applicants to be a part of the sixth creative development programme. These are architect Abdulla Al Mulla, interior designer Lana El Samman and graphic designer Yara Habib.
The trio have been guided by experts from the industry over the course of nine months, as they developed their own products that merge their unique styles with traditional elements of Emirati design. This includes laboratory sessions, experimental and collaborative practice, investigation of new business models and evaluation.
It is led by British contemporary design project specialist Helen Voce and mentor Kevin Badni, and offers participants access to experts from across the world, including the likes of UK designer Gareth Neal and multidisciplinary designer and entrepreneur, Sheikh Salem Al Qassimi.
The final pieces are being revealed in a worldwide limited-edition release on the first day of Downtown Designs at Dubai Design Week 2019. Tashkeel will be at stand E31 at the exhibition.
Lisa Ball-Lechgar, deputy director of Tashkeel, said: “The diversity and calibre of the applicants this year … is reflective of the dynamic change that the UAE art and design industry is witnessing, with young creators resolute in making their bold design ideas a reality.”
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
Key recommendations
- Fewer criminals put behind bars and more to serve sentences in the community, with short sentences scrapped and many inmates released earlier.
- Greater use of curfews and exclusion zones to deliver tougher supervision than ever on criminals.
- Explore wider powers for judges to punish offenders by blocking them from attending football matches, banning them from driving or travelling abroad through an expansion of ‘ancillary orders’.
- More Intensive Supervision Courts to tackle the root causes of crime such as alcohol and drug abuse – forcing repeat offenders to take part in tough treatment programmes or face prison.
The specs
Engine: 2.0-litre four-cylinder turbo
Power: 178hp at 5,500rpm
Torque: 280Nm at 1,350-4,200rpm
Transmission: seven-speed dual-clutch auto
Price: from Dh209,000
On sale: now
How to apply for a drone permit
- Individuals must register on UAE Drone app or website using their UAE Pass
- Add all their personal details, including name, nationality, passport number, Emiratis ID, email and phone number
- Upload the training certificate from a centre accredited by the GCAA
- Submit their request
What are the regulations?
- Fly it within visual line of sight
- Never over populated areas
- Ensure maximum flying height of 400 feet (122 metres) above ground level is not crossed
- Users must avoid flying over restricted areas listed on the UAE Drone app
- Only fly the drone during the day, and never at night
- Should have a live feed of the drone flight
- Drones must weigh 5 kg or less
Name: Peter Dicce
Title: Assistant dean of students and director of athletics
Favourite sport: soccer
Favourite team: Bayern Munich
Favourite player: Franz Beckenbauer
Favourite activity in Abu Dhabi: scuba diving in the Northern Emirates
Which honey takes your fancy?
Al Ghaf Honey
The Al Ghaf tree is a local desert tree which bears the harsh summers with drought and high temperatures. From the rich flowers, bees that pollinate this tree can produce delicious red colour honey in June and July each year
Sidr Honey
The Sidr tree is an evergreen tree with long and strong forked branches. The blossom from this tree is called Yabyab, which provides rich food for bees to produce honey in October and November. This honey is the most expensive, but tastiest
Samar Honey
The Samar tree trunk, leaves and blossom contains Barm which is the secret of healing. You can enjoy the best types of honey from this tree every year in May and June. It is an historical witness to the life of the Emirati nation which represents the harsh desert and mountain environments
UAE currency: the story behind the money in your pockets
The Byblos iftar in numbers
29 or 30 days – the number of iftar services held during the holy month
50 staff members required to prepare an iftar
200 to 350 the number of people served iftar nightly
160 litres of the traditional Ramadan drink, jalab, is served in total
500 litres of soup is served during the holy month
200 kilograms of meat is used for various dishes
350 kilograms of onion is used in dishes
5 minutes – the average time that staff have to eat
