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Italian govt, UniCredit failed to agree on Monte dei Paschi acquisition

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The talks between the Italian government and UniCredit to acquire troubled lender Monte dei Paschi di Siena (MPS) have reportedly collapsed.

Sources said the decision of negotiations between the Italian minister of finance and UniCredit is expected to be announced in the next few days.

According to the negotiators, both sides failed to reach a deal during the last round of talks over how much capital the government would need to rescue the Tuscan lender.

An Italian official said that the acquisition costs too heavy to the government.

Earlier, the Treasury department showed its willingness to provide up to 2.5 billion euros capital for the acquisition procedure. However, UniCredit would need up to 7 billion euros, which would be unacceptable for the government.

“No option has left for both sides, but to leave the negotiating table,” said another official.

Milan-based UniCredit has already told the government that any agreement to acquire Monte dei Paschi di Siena must be reached by the end of October as it intends to present a new business strategy in the fourth quarter of the year.

Both parties have declined to comment on the negotiations.

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Companies

Dubai warns engineering firms over costly villa designs

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Dubai Municipality has issued warnings to several engineering consultancy offices after finding that they exaggerated structural designs for citizens’ villas.

According to officials, these inflated designs went against the Dubai Building Code and led to unnecessary construction costs for property owners, without any real engineering need.

The move is part of the Municipality’s efforts to regulate Dubai’s construction sector and protect residents from extra financial burdens. Consultancy offices across the emirate had already been reminded through circulars to strictly follow approved engineering standards.

Eng. Maryam Al Muhairi, CEO of the Buildings Regulation and Permits Agency, said:

“Compliance with the Dubai Building Code is not only a legal requirement but also a professional and ethical responsibility. The goal is to ensure safe, high-quality construction without forcing citizens to pay more than necessary.”

She added that Dubai Municipality will continue to monitor consultancy offices and contractors to prevent excessive use of building materials, including steel, and ensure construction remains efficient, safe, and cost-effective.

Repeat offenders could face disciplinary measures, including poor annual evaluations or even suspension. Earlier this year, two consultancy offices were banned from licensing new projects for six months due to violations.

By cracking down on such practices, Dubai Municipality says it aims to strengthen the emirate’s construction sector, cut waste, and support sustainable urban growth.

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Business

UAE urges businesses to file Corporate Tax returns on time to avoid fines

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The Federal Tax Authority (FTA) has reminded companies in the UAE to finalise their financial records, submit their Corporate Tax returns, and pay any tax due within the official deadlines to remain compliant with the law.

In a statement today, the FTA stressed that all Corporate Tax taxpayers, including exempt persons required to register, must file their returns (or annual declarations) and settle outstanding tax within nine months from the end of each tax period.

The Authority underlined that timely filing and payment are legal obligations, with non-compliance exposing businesses to fines and penalties for delays or non-submission.

To ensure smooth and accurate filing, the FTA advised companies to begin preparations early by compiling essential documents such as commercial licences, financial statements, and business activity details. Early readiness, it said, allows registrants to meet obligations “efficiently and on time.”

Highlighting its role in supporting businesses, the FTA stated that it remains committed to enhancing services in line with global best practices. Digital filing and payment can be completed via the EmaraTax platform, available 24/7, which offers “clarity, ease, and speed.”

The Authority also urged taxpayers to ensure that submissions are complete and accurate. Corporate Tax returns can be filed directly through EmaraTax or with the assistance of authorised tax agents listed on the FTA’s website.

Stakeholders seeking detailed guidance on Corporate Tax law, implementing decisions, and related regulations can access resources directly at tax.gov.ae.

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Announcements

You might stop getting bank OTPs via SMS in UAE : Here’s why

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In a landmark move to boost digital banking security, banks across the UAE will begin phasing out one-time passwords (OTPs) sent via SMS and email starting Friday, July 25, 2025. The transition comes in line with new directives issued by the UAE Central Bank, mandating the adoption of app-based authentication for all local and international banking transactions.

The shift will be implemented in stages, with customers required to activate app-based verification systems to continue approving transactions. The complete phase-out of SMS and email OTPs is expected by March 2026.

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The UAE Central Bank’s initiative marks a significant departure from traditional OTP delivery methods, which have increasingly become targets for cyber threats. In contrast, app-based verification offers a more secure and reliable method for transaction approvals, leveraging advanced technology to safeguard user data and banking operations.

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