New electronic system to ensure UAE Labours’ rights

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.

Dubai, Apr 22: Saudi Arabia's Health Ministry registered 1141 new Coronavirus cases, 172 new Recoveries and 5 new deaths in the last 24 hours by 22nd April 2020 (3:40 PM), Most of  the Corona infected patients are in stable condition, while 82 cases are on critical condition and are being treated in various hospital's Intensive Care Unit, All the confirmed and suspected cases are isolated and are being treated in the country, the Total Covid-19 cases as of Today are as follows
 
Infections : 12772
Recovered : 1812
Deaths : 114
Active Cases : 10846
Critical : 82

-  The Spokesperson of Ministry of Health said Total laborartory tests exceeded 200,000. 

-  You should continue to socialize and stay at home, especially for those aged 65 and over or who suffer from chronic diseases.

-  Half a million field assessments under active survey, 50 government agencies involved in anti-virus efforts, 150 field teams participating in the active examination in the Kingdom.

- The Health Ministry said, Maintaining hand-washing and keeping away from gatherings is an important step, and we should all be responsible.

- Worldwide Covid-19 infection details as of Today (22nd April) are

Infections : 2,580,729
Recovered : 693,093
Deaths : 178,371

- Among the 1141 new infections, most of the cases are on active survey results, 868 cases from new infections are discovered from active survey field testing. The city wise total active cases excluding recoveries and deaths by 22nd April are

Makkah : 2472
Madina : 1944
Riyadh : 1762
Jeddah : 1679
Dammam : 678
Hofuf : 507
Taif : 131
Tabuk : 128
Jubail : 97
Qatif : 73
Buraidah : 46
Khamis Musaith : 44
Khobar : 38
Dhahran : 36
Yanbu : 36
Khalis : 24
Ar Ar : 16
Khafji : 15
Ras Tanura : 12
Zulfi : 11
Onaiza : 9
Al Maqwat : 9
Al Dariya : 8
Al Kharj : 8
Samita : 8
Bisha : 7
Najran : 7
Al Khanfadah : 7
Hail : 6
Al Baha : 6
Sabit Alaya : 5
Muhayil Asir : 5
Ahad Rafidah : 4
Muwiya : 4
Ar Ras : 4
Al Qurayyat : 3
Al Muzilaf : 3
Sharura : 3
Al Jafar : 2
Al Lais : 2
Al Hanakiya : 2
AlMabraz : 2
Al Qawiya : 2
Al Tawal : 2
Al Misan : 2
Al Qariya : 2
Hada : 2
Rabig : 2
Sabia : 2
Saihat : 2
Azam : 1
Al Aiz : 1
Al Bakariya : 1
Al Dawadmi : 1
Al Majmaah : 1
Al Mada : 1
Al Shamli : 1
Al Ala : 1
Al Wajha : 1
Al Arida : 1
Beesh : 1
Diba : 1
Sakaka : 1
Sariban : 1
Sharura : 1
Riyad Al Khabra : 1

Abu Dhabi, Jun 2: The United Arab Emirates on Monday recorded 635 new coronavirus cases, taking the total number of infections in the country to 35,192, the UAE’s Ministry of Health and Prevention said in a statement carried by state news agency WAM.

The new cases were detected after the health authorities conducted 30,147 additional COVID-19 tests citizens and residents.

The ministry also announced that 406 more patients have fully recovered after receiving the necessary medical care, raising the total number of recoveries in the country to 18,338.

The announcement was made during the regular media briefing held in Abu Dhabi, wherein Dr. Amna Al Dahak Al Shamsi, official spokesperson for the UAE government, provided an update on coronavirus-related developments and measures taken to mitigate its impact.

During the briefing, Dr. Al Shamsi also announced the death of two patients from COVID-19, taking the total number of deaths in the country to 266.

"The number of COVID-19 cases still receiving treatment now stands at 16,588 from different nationalities," she added, noting that more than 650,000 COVID-19 tests have been conducted over the past two weeks.

"Since the onset of the crisis, the UAE has focused on select segments of society, primarily the elderly and patients with chronic diseases, in order to ensure they survive the crisis," she added.

"We believe it is particularly morally important to support and stand by them, provide them with their daily needs, and keep them from harm’s way," she added.

Dr. Al Shamsi asserted that all precautionary measures announced, including the updated fines and penalties, will be enforced against violators, including citizens and residents.

"The law does not differentiate between citizens and residents. We are living in one homeland, which is for all of us," she continued.

"Your safety and health are a priority. We must comply with all precautionary measures. Though restrictions have been relaxed, caution must continue to be exercised."

Dr. Al Shamsi also warned, "Recklessness may undermine the efforts made by our frontline defenders. It is the responsibility of every individual to support protective efforts to ensure the safety of all."