Saudi, UAE VAT may adversely affect majority of Indian expats

Agencies
January 3, 2018

Hyderabad, Jan 3: Introduction of Value Added Tax (VAT) by Saudi Arabia and the United Arab Emirates (UAE) would adversely affect a majority of Indians working there and reduce their remittances, said a former diplomat.

"I would say 70 to 80% of Indian community there will be adversely affected," said Talmiz Ahmad, the former Indian Ambassador to Saudi Arabia, Oman and the UAE.

The size of the Indian community in Saudi Arabia and the UAE is three million and 2.8 million, respectively, he said.

Of them, the lower-middle-class and middle-class sections will get affected the most as they are already feeling the pressure on account of high cost of living, Ahmad said.

"This is on account of rent, medical expenses, school fees, transport and high cost of essential items. Therefore, cost of living has gone up quite significantly in the last two years," he said.

The adverse impact on the labour community which is provided accommodation by the employer and blue-collar workers who are "protected" by their companies would be comparatively less, he said.

"As it is, the cost of living there (Saudi Arabia and the UAE) is quite high," he said. "Obviously, the low paid Indian expatriates will be adversely affected."

"I have a feeling, as it is because of the fall in oil prices and reduction in employment, the remittances have already reduced in the last two or three years," Ahmad said.

"The remittances from the Gulf have already come down; earlier it was about $35 billion; I think it would have come down to USD 30 billion. Yes, there will be a further small reduction (following the introduction of VAT) because this income will no longer be available to the person to remit," Ahmad said.

Saudi Arabia and the UAE introduced VAT from January 1, a first for the Gulf. Reports said the 5% sales tax applies to most goods and services.

Comments

Jacob
 - 
Wednesday, 3 Jan 2018

OWN MOTHERLAND INDIA... nver before 70 yers we have had such suffering...due to demonetization and GST together with DIGITAL INDIA is making life MOST SUFFERED..Trust and hope our PM will withdraw something to BENEFIT THE POOR

Ibrahim
 - 
Wednesday, 3 Jan 2018

King wont trouble Indians. He is so generous

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Agencies
June 17,2020

Riyadh, Jun 17: Saudi Arabia is expected to scale back or call off this year's hajj pilgrimage for the first time in its modern history, observers say, a perilous decision as coronavirus cases spike.

Muslim nations are pressing Riyadh to give its much-delayed decision on whether the annual ritual will go ahead as scheduled in late July.

But as the kingdom negotiates a call fraught with political and economic risks in a tinderbox region, time is running out to organise logistics for one of the world's largest mass gatherings.

A full-scale hajj, which last year drew about 2.5 million pilgrims, appears increasingly unlikely after authorities advised Muslims in late March to defer preparations due to the fast-spreading disease.

"It's a toss-up between holding a nominal hajj and scrapping it entirely," a South Asian official in contact with Saudi hajj authorities said.

A Saudi official said: "The decision will soon be made and announced."

Indonesia, the world's most populous Muslim nation, withdrew from the pilgrimage this month after pressing Riyadh for clarity, with a minister calling it a "very bitter and difficult decision".

Malaysia, Senegal and Singapore followed suit with similar announcements.

Many other countries with Muslim populations -- from Egypt and Morocco to Turkey, Lebanon and Bulgaria -- have said they are still awaiting Riyadh's decision.

In countries like France, faith leaders have urged Muslims to "postpone" their pilgrimage plans until next year due to the prevailing risks.

The hajj, a must for able-bodied Muslims at least once in their lifetime, represents a major potential source of contagion as it packs millions of pilgrims into congested religious sites.

But any decision to limit or cancel the event risks annoying Muslim hardliners for whom religion trumps health concerns.

It could also trigger renewed scrutiny of the Saudi custodianship of Islam's holiest sites -- the kingdom's most powerful source of political legitimacy.

A series of deadly disasters over the years, including a 2015 stampede that killed up to 2,300 worshippers, has prompted criticism of the kingdom's management of the hajj.

"Saudi Arabia is caught between the devil and the deep blue sea," Umar Karim, a visiting fellow at the Royal United Services Institute in London, told AFP.

"The delay in announcing its decision shows it understands the political consequences of cancelling the hajj or reducing its scale."

"Buying time"

The kingdom is "buying time" as it treads cautiously, the South Asian official said.

"At the last minute if Saudi says 'we are ready to do a full hajj', (logistically) many countries will not be in a position" to participate, he said.

Amid an ongoing suspension of international flights, a reduced hajj with only local residents is a likely scenario, the official added.

A decision to cancel the hajj would be a first since the kingdom was founded in 1932.

Saudi Arabia managed to hold the pilgrimage during previous outbreaks of Ebola and MERS.

But it is struggling to contain the virus amid a serious spike in daily cases and deaths since authorities began easing a nationwide lockdown in late May.

In Saudi hospitals, sources say intensive care beds are fast filling up and a growing number of health workers are contracting the virus as the total number of cases has topped 130,000. Deaths surpassed 1,000 on Monday.

To counter the spike, authorities this month tightened lockdown restrictions in the city of Jeddah, gateway to the pilgrimage city of Mecca.

"Heartbroken"

"The hajj is the most important spiritual journey in the life of any Muslim, but if Saudi Arabia proceeds in this scenario it will not only exert pressure on its own health system," said Yasmine Farouk from the Carnegie Endowment for International Peace.

"It could also be widely held responsible for fanning the pandemic."

A cancelled or watered-down hajj would represent a major loss of revenue for the kingdom, which is already reeling from the twin shocks of the virus-induced slowdown and a plunge in oil prices.

The smaller year-round umrah pilgrimage was already suspended in March.

Together, they add $12 billion to the Saudi economy every year, according to government figures.

A negative decision would likely disappoint millions of Muslim pilgrims around the world who often invest their life savings and endure long waiting lists to make the trip.

"I can't help but be heartbroken -- I've been waiting for years," Indonesian civil servant Ria Taurisnawati, 37, told AFP as she sobbed.

"All my preparations were done, the clothes were ready and I got the necessary vaccination. But God has another plan."

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News Network
February 2,2020

Mount Maunganui, Feb 2: India registered a rare 5-0 whitewash against New Zealand after notching up a seven-run win in the fifth and final T20 International at Bay Oval here on Sunday.

Electing to bat, India posted 163 for three, riding on Rohit Sharma's 60 off 41 balls and a 33-ball 45 from K L Rahul.

The visitors then restricted the hosts to 156 for nine with Jasprit Bumrah claiming three wickets for 12 runs.

Chasing the target, the Black Caps were tottering at 17 for three in 3.2 overs.

Tim Seifert (50) and Ross Taylor (53) then added 99 runs for the fourth wicket as New Zealand recovered to 116.

Seifert clobbered a 30-ball 50 studded with five fours and three sixes, while Ross Taylor hit two sixes and five fours in his 47-ball 53-run innings.

However, once Seifert was dismissed in the 13th over, the hosts suffered a collapse, losing five wickets, including Taylor, for 25 runs to loss the plot in the end.

Brief Score:

India: 163 for 3 in 20 overs (Rohit Sharma 60; S Kuggeleijn 2/25)    

New Zealand: 156 for 9 in 20 overs (Ross Taylor 53, Tim Seifert 50; Jasprit Bumrah 3/12).

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News Network
June 9,2020

New Delhi, Jun 9: A record rise in COVID-19 cases in India for the seventh consecutive day has pushed the tally to over 2.6 lakh on Tuesday, with the daily nationwide spike in coronavirus cases inching close to 10,000.

The rise in cases comes at a time when the country has stepped out of a 75-day coronavirus lockdown with malls, religious places and offices opening in several parts of the country under strict conditions.

Since the onset of June, the country has also been witnessing over 200 COVID-19 fatalities each day that has taken the country's death toll to 7,466.

India is the fifth worst-hit nation by the COVID-19 pandemic after the US, Brazil, Russia and the UK, according to the Johns Hopkins University data.

Several states like Haryana, Jammu and Kashmir, Assam, Haryana, Karnataka, Chhattisgarh and Tripura among others have been showing a spurt in cases.

A total 266 new COVID-19 fatalities and 9,987 cases have been reported in the last 24 hours till Tuesday 8 am, according to the Union Health Ministry data.

The country has registered over 9,000 coronavirus infection cases for the sixth day in a row taking the country tally to 2,66,598.

The number of active novel coronavirus cases stands at 1,29,917, while 1,29,214 people have recovered and one patient has migrated, according to the Health Ministry data updated till 8 am.

"Thus, 48.47 per cent patients have recovered so far," a ministry official said.

According to the ICMR, a total of 49,16,116 samples have been tested as on 9 am, Tuesday, with 1,41,682 samples been tested in the last 24 hours.

Out of the total 7,466 fatalities reported till Tuesday 8 am, Maharashtra tops the tally with 3,169 deaths followed by Gujarat with 1,280 deaths, Delhi with 874, Madhya Pradesh with 414, West Bengal with 405, Tamil Nadu with 286, Uttar Pradesh with 283, Rajasthan with 246 and Telangana with 137 deaths.

The death toll reached 75 in Andhra Pradesh, 64 in Karnataka and 53 in Punjab.

Jammu and Kashmir has reported 45 fatalities due to the coronavirus disease, while 39 deaths have been reported from Haryana, 31 from Bihar, 16 from Kerala, 13 from Uttarakhand, nine from Odisha and seven from Jharkhand.

Himachal Pradesh and Chandigarh have registered five COVID-19 fatalities each and Assam and Chhattisgarh have recorded four deaths each so far.

Meghalaya and Ladakh have reported one COVID-19 fatality each, according to ministry data.

More than 70 per cent of the deaths are due to comorbidities, the ministry's website stated

The highest number of confirmed cases in the country are from Maharashtra at 88,528 followed by Tamil Nadu at 33,229, Delhi at 29,943, Gujarat at 20,545, Uttar Pradesh at 10,947, Rajasthan at 10,763 and Madhya Pradesh at 9,638, according to the Health Ministry's data updated in the morning.

The number of COVID-19 cases has climbed to 8,613 in West Bengal, 5,760 in Karnataka, 5,202 in Bihar and 4,854 in Haryana.

It has risen to 4,851 in Andhra Pradesh, 4,285 in Jammu and Kashmir, 3,650 in Telangana and 2,994 in Odisha.

Punjab has reported 2,663 novel coronavirus cases so far, while Assam has 2,776 cases. A total of 2,005 people have been infected by the virus in Kerala and 1,411 in Uttarakhand.

Jharkhand has registered 1,256 cases, while 1,160 cases have been reported from Chhattisgarh, 838 from Tripura, 421 from Himachal Pradesh, 330 from Goa and 317 from Chandigarh.

Manipur has 272 cases, Puducherry has 127 and Nagaland has reported 123 cases till now.

Ladakh has 103 COVID-19 cases, Arunachal Pradesh has 51, Mizoram has 42, Meghalaya 36 while Andaman and Nicobar Islands has registered 33 infections so far.

Dadar and Nagar Haveli has 22 cases, while Sikkim has reported seven cases till now.

The ministry's website said that 8,803 cases are being reassigned to states and "our figures are being reconciled with the ICMR".

State-wise distribution is subject to further verification and reconciliation, it said.

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