Good afternoon, friends, and happy almost weekend. It’s a busy afternoon in the global press, with Trump’s trade war on India still in the spotlight.

THE BIG STORY TODAY-

The Finance Ministry has been meeting with contractors and real estate developers to finalize the executive regulations for the latest VAT amendments, government sources told EnterpriseAM. Representatives of the Egyptian Federation for Construction and Building Contractors and the Egyptian Tax Authority (ETA) were also in attendance.

REMEMBER- VAT amendments were ratified in July, subjecting construction and contracting services to the standard 14% VAT rate. Under the previous system, construction and contracting services were taxed at a flat 5% schedule rate without allowing companies to deduct input VAT.

The meetings addressed several key challenges, such as the intertwined details of the e-invoicing system, the awarding entities, and the tax calculation method for projects that were awarded before the VAT amendments passed or are still under construction. While the ETA insists on enforcing the new law from the date of issuance, investors are pushing for a more lenient approach to address issues related to projects that are already underway, our sources said.

What’s next? All issues surrounding the VAT amendments to construction and contracting services will be resolved by next month with technical support committees set up to assist small contractors to join the new tax system, government sources told EnterpriseAM.

In the fourth issue of our Destination Sahel series, we’re bringing you the latest updates on New Alamein City and a look at the best investments in Sahel today. We also investigate the growing issue of beach erosion and its impact on our shores.

Look for Destination Sahel, Issue IV, in your inbox on Wednesday, 3 September.

Missed the first three issues? Tap here to read the full series.

THE BIG STORY ABROAD-

It’s a busy afternoon in the global press, with a hodge podge of stories getting plenty of ink. Among the stories getting top billing:

US President Donald Trump’s hefty 50% tariffs on imports from India are now in effect. The punitive 25% tariffs, dealt to India over its purchases of discounted Russian oil, add to an existing 25% already in effect since earlier this month. This brings the total tariffs to 50%, putting them among the highest ever charged by the US — and on par with the tariffs on Brazil and China. The move risks significant damage to India’s economy and global supply chains. (Guardian | CNN | New York Times | BBC | Reuters | Financial Times)

MEANWHILE– The Trump administration put over a dozen Federal Emergency Management Agency employees on leave after 182 current and past employees signed an open letter on Monday criticizing the agency’s direction and its leaders’ “inexperience.” The letter calls for qualified leadership, noting that the agency is well on its way to a “Katrina-level disaster.” (Washington Post | Associated Press | Axios)

REGIONALLY– Trump is set to chair a meeting on Gaza in the White House today, with hopes of settling the war “one way or another” by year’s end. “It’s a very comprehensive plan we’re putting together,” US special envoy Steve Witkoff said in an interview with Fox News on Tuesday. The news follows Israel ramping up its offensive in Gaza, having called on 60k reservists to join the war. (Reuters | Guardian)

☀️ TOMORROW’S WEATHER- The weather is cooling down as we approach fall territory, with temperatures in Cairo peaking at just 33°C, before dropping to 21°C. Up north, we’re in for a high of 28°C and a low of 25°C, according to our favorite weather app.

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