UAE retailers warned against selling unlicensed, fake telecom devices

October 27, 2016

Oct 27: UAE's Telecommunications Regulatory Authority (TRA) has called on telecommunications devices retailers to avoid selling unapproved and unlicensed devices in the country and make sure these devices have authentic stickers provided by suppliers before selling them to customers.

UAEThe TRA has made the warning during an awareness workshop organised in Al Ain City in collaboration with the Abu Dhabi Department of Economic Development, which aims to inform sellers and users about the risks of unapproved telecommunication devices or connect the devices to any telecommunication network in the country before approval. It could threaten the security and safety of users as well the telecoms networks, health, environment and social safety. Sales staff may verify the safety of devices by matching the IMEI number registration inside the device, which will be displayed on the device's screen once the code *#06# is pressed.

The TRA said fake devices can be detected through various ways such as removing the brand logo from the main screen of the device as genuine devices have their brand names etched on the device. The accompanying music when the device is turned on can also show indication if it is counterfeit, as well by checking if the brand name is correctly spelled.

Majed Sultan Al Mesmar, TRA's Deputy Director-General for Telecommunications Sector, said that all imported telecommunications devices are being checked for quality based on the country's standards, which include users' and network's safety. The Type Approval system is approving and registering the telecommunications devices in the UAE before being imported according to specific laws, regulations and technical specifications.

"The TRA is coordinating with government entities to push for monitoring the market, as well as land and sea ports to limit the entry of counterfeit devices and facilitate the efforts to eliminate illegal commercial activities in the country that could threaten the security and safety of the society," Al Mesmar added.

Ahmad Al Shamsi, Senior Manager, Type Approval Section, noted: "We place high priority in the TRA to ensure the certification of all telecommunication devices available in the markets through the implementation of the Type Approval system. Unlicensed devices only poses risks to users' health and general safety due to bad quality and failure to observe safety requirements by manufacturers. These counterfeit brands also lack global technical and health standards. These devices may not be compatible with the approved frequencies in the country and without prior approval from authorised entities, it could lead to technical issues that may affect the user and the network."

"TRA is implementing various inspections in collaboration with its partners to check telcom stores to limit the sale of these unauthorised devices in the country. All consumers should be made aware of the consequences of buying devices that are not certified by the TRA or by trusted outlets. Consumers should get the warranty from the manufacturer or the authorized distributors and they should take a warranty from the store and sales receipt which provides the details about the device," Al Shamsi added.

The Type Approval system for radio and telecommunication devices is a method to verify that gadgets being imported or in-country manufactured devices do match the technical specifications and are duly noted through a registration with the TRA before being sold to retail markets, including tests that ensure the device will not have an adverse impact to consumers or network's employees, and other technical devices, once connected.

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News Network
July 1,2020

Riyadh, Jul 1: Saudis braced Wednesday for a tripling in value added tax, another unpopular austerity measure after the twin shocks of coronavirus and an oil price slump triggered the kingdom's worst economic decline in decades.

Retailers in the country reported a sharp uptick in sales this week of everything from gold and electronics to cars and building materials, as shoppers sought to stock up before VAT is raised to 15 percent.

The hike could stir public resentment as it weighs on household incomes, pushing up inflation and depressing consumer spending as the kingdom emerges from a three-month coronavirus lockdown.

"Cuts, cuts, cuts everywhere," a Saudi teacher in Riyadh told AFP, bemoaning vanishing subsidies as salaries remain stagnant.

"Air conditioner, television, electronic items," he said, rattling off a list of items he bought last week ahead of the VAT hike.

"I can't afford these things from Wednesday."

With its vast oil wealth funding the Arab world's biggest economy, the kingdom had for decades been able to fund massive spending with no taxes at all.

It only introduced VAT in 2018, as part of a push to reduce its dependence on crude revenues.

Then, seeking to shore up state finances battered by sliding oil prices and the coronavirus crisis, it announced in May that it would triple VAT and halt a cost-of-living monthly allowance to citizens.

The austerity push underscores how Saudi Arabia's once-lavish spending is becoming a thing of the past, with the erosion of the welfare system leaving a mostly young population to cope with reduced incomes and a lifestyle downgrade.

That could pile strain on a decades-old social contract whereby citizens were given generous subsidies and handouts in exchange for loyalty to the absolute monarchy.

The rising cost of living may prompt many to ask why state funds are being lavished on multi-billion-dollar projects and overseas assets, including the proposed purchase of English football club Newcastle United.

Shopping malls in the kingdom have drawn large crowds in recent days as retailers offered "pre-VAT sales" and discounts before the hike kicks in.

A gold shop in Riyadh told AFP it saw a 70 percent jump in sales in recent weeks, while a car dealership saw them tick up by 15 percent.

Once the new rate is in place, businesses are predicting depressed sales of everything from cars to cosmetics and home appliances.

Capital Economics forecast inflation will jump up to six percent year-on-year in July, from 1.1 percent in May, as a result.

"The government ended the country's lockdown (in June) and there are signs that economic activity has started to recover," Capital Economics said in a report.

"Nonetheless, we expect the recovery to be slow-going as fiscal austerity measures bite."

The kingdom also risks losing its edge against other Gulf states, including its principal ally the United Arab Emirates, which introduced VAT at the same time but has so far refrained from raising it beyond five percent.

"Saudi Arabia is taking massive risks with contractionary fiscal policies," said Tarek Fadlallah, chief executive officer of the Middle East unit of Nomura Asset Management.

But the kingdom has few choices as oil revenue declines.

Its finances have taken another blow as authorities massively scaled back this year's hajj pilgrimage, from 2.5 million pilgrims last year to around a thousand already inside the country, and suspended the lesser umrah because of coronavirus.

Together the rites rake in some $12 billion annually.

The International Monetary Fund warned the kingdom's GDP will shrink by 6.8 percent this year -- its worst performance since the 1980s oil glut.

The austerity drive would boost state coffers by 100 billion riyals ($26.6 billion), according to state media.

But the measures are unlikely to plug the kingdom's huge budget deficit.

The Saudi Jadwa Investment group forecasts the shortfall will rise to a record $112 billion this year.

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Khaleej Times
June 7,2020

Dubai, Jun 7: Emirates airline on Sunday confirmed that it extended the period of reduced pay for its staff for another three months as airlines around the world struggle to preserve cash due to the grounding of fleets.

An e-mail has been sent across to Emirates employees about extending the wage cuts till September 30. In some cases, the salary will be reduced by 50 per cent.

Emirates had previously reduced basic wages by 25 to 50 per cent for three months from April, with junior employees exempted.

The Dubai-based world's largest international carrier employs around 60,000 people across its spectrum. While the parent Emirates Group employs over 100,000 workers.

On Thursday, Abu Dhabi-based Etihad Airways confirmed to Khaleej Times that it also extended salary cut of its employees till September 2020.

"Regretfully, Etihad has extended its salary reduction until September 2020, with 25 per cent reduction for junior staff and cabin crew, and 50 per cent for employees at manager level and above. Housing allowance and a number of benefits continue to be paid," the airline's spokesperson said in a statement last week.

In March, Etihad had announced temporary reduction of basic salaries for the month of April to all staff, including executives, between 25 to 50 per cent.

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News Network
March 16,2020

Cairo, Mar 16: Saudi crown prince Mohammed bin Salman said G20 summit will work to combat coronavirus and coordinate efforts to ease its economic burdens, state news agency SPA said on Sunday.

In a phone call with British Prime Minister Boris Johnson, Salman discussed international efforts to fight the flu-like disease, saying the next G20 summit, which will be hosted by the Kingdom, will work on finding medical solutions, SPA added.

The G20 Summit is an annual gathering of representatives of the world's largest economies.

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