The UAE Global Economic Agreements Program Achieved Significant Accomplishments in 2023
The UAE signed comprehensive economic partnership agreements (CEPA) with Turkey, Cambodia, and Georgia.
Also the UAE reached a comprehensive partnership agreement with Colombia.
Which paves the way for the first bilateral trade agreement between a country in the Arabian Gulf and a country in South America.
In 2022, the UAE signed agreements with three countries:
India, Israel, and Indonesia, bringing the total number of countries with which the UAE has signed agreements to seven in two years.
The UAE Global Economic Agreements will Extend More in the Next Years.
The Ministry of Economy is currently conducting negotiations with 12 countries and economic blocs to conclude CEPA agreements.
These countries include Costa Rica, Chile, Kenya, Ukraine, Thailand.
As well as the Eurasian Economic Union, Vietnam, Mercosur, Malaysia, and the Democratic Republic of the Congo.
The UAE also plans to sign 15 additional CEPA agreements with 15 countries in the future.
The UAE aims to sign CEPA agreements with 27 countries and economic blocs.
Including 103 countries, which account for up to 95% of global trade.
This will have a positive impact on increasing the country’s GDP in 2031 by 41.71 billion dollars.
The UAE Global Economic Agreements Program, which was announced as part of the “Projects of the 50,” is a key pillar in the country’s efforts to consolidate the UAE’s position as a global economic hub.
Turkey
On March 3, 2023, the UAE signed a CEPA agreement with Turkey to usher in a new era of strategic partnership between the two countries.
Under the agreement, tariffs are eliminated or reduced on more than 93% of the value of non-oil trade.
Which is expected to boost bilateral trade between the two countries to 40 billion dollars in the next five years, compared to around 19 billion dollars currently.
Read More:
UAE Comprehensive Economic Partnership Agreements with Turkey & Indonesia.
UAE-Turkey Business Forum: New Cooperation Agreements
New cooperation between The UAE and Turkey.
Cambodia
In June 2023, the UAE and Cambodia signed a CEPA agreement.
With the aim of doubling non-oil trade from 407 million dollars in 2022 to one billion dollars within five years.
The agreement opens up broad horizons for elevating the trade and investment relations between the two countries to a new level of partnership and economic integration.
In particular, the two countries have a solid foundation to achieve the expected objectives of the agreement.
Non-oil trade between the two countries reached 407 million dollars in 2022.
Which is up 33% from 2021 and 28% more than 2019.
The UAE is also one of Cambodia’s most important trading partners in the Arab world.
With a share of 70% of its trade with the region, according to data on non-oil foreign trade in 2022.
As for mutual investments, there are broad prospects for development and growth if the agreement enters into force.
And also for creating opportunities for the business community and concluding investment partnerships.
Total UAE investment in Cambodia is around 3 million dollars.
While Cambodian investment in the UAE is around 1 million dollars.
According to the official website of the Ministry of Economy, the agreement ensures better access for UAE products to the Cambodian market.
Covering 92% of tariff lines and more than 93% of the value of non-oil trade with Cambodia.
The agreement with Cambodia provides the UAE with an important bridge in the heart of the rapidly growing Asian economy.
It also offers businesses in the two countries promising prospects for joint growth.
The agreement also provides a new platform to facilitate the flow of bilateral investments and create more opportunities for small and medium-sized enterprises in the two countries.
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— UAE Voice (@uae_voiceeng) December 30, 2023
Georgia:
The UAE signed a Comprehensive Economic Partnership Agreement (CEPA) with Georgia in October 2023.
Moreover, this agreement aims to remove or reduce tariffs on 95% of traded goods, representing over 90% of non-oil trade value.
While doubling non-oil trade from $481 million to $1.5 billion annually within five years is expected.
And enhanced economic and investment cooperation is anticipated.
Colombia:
The latest addition to the UAE’s foreign trade agenda is the CEPA with Colombia.
This agreement removes or reduces tariffs across most production lines, eliminating trade barriers, improving market access, and deepening cooperation.
Colombia, the fourth largest economy in South America and a major coffee producer, offers access to lucrative regional markets.
It is also new trade corridor between the Middle East and South America.
Encompassing over 800 million consumers, will benefit the private sector upon implementation.
National Goals:
Expanding the network of trade partners through CEPAs is the key to achieving the UAE’s economic goals outlined in the “We the Emirates 2031” vision.
These goals include:
- Doubling non-oil foreign trade to AED 4 trillion.
- Increasing non-oil exports to AED 800 billion.
- Implemented CEPAs with India, Indonesia, Israel, and Turkey are anticipated to positively impact market movement.
In addition to accelerating the growth of diversified UAE exports. - Streamlined supply chains will enhance market access, offer competitive advantages for traded products.
And also remove non-tariff barriers hindering export opportunities. - CEPAs are crucial for driving sustainable long-term economic growth, solidifying the UAE’s position as a global economic hub.
And surely strengthening bilateral ties with promising countries and strategically important markets.
The largest hospital for free treatment of heart and digestive diseases in Africa and the Middle East
The delegation discussed the needs of medicines, devices, medical staff, and ways and possibilities to provide the support they need, in addition to visiting sick children. pic.twitter.com/uvsblieM2o
— UAE Voice (@uae_voiceeng) December 30, 2023
Steps Taken to Develop the UAE Global Economic Presence.
The Ministry of Economy is moving by a precise scientific manner in the program of global economic agreements.
Since the Ministry conducted extensive surveys about the CEPAs to know the opinions of the businessmen.
In addition to the economic leaders in the UAE private sector.
Mentioning that benefiting from the expertise of company owners, factories, and entrepreneurs is really important.
In order to support the negotiation plans when concluding comprehensive economic partnership agreements.
The UAE negotiation team benefits from the expertise of the private sector in order to conclude competitive agreements for national companies.
By ensuring access to export markets for UAE goods and services and removing all customs and non-tariff barriers.
And also creating an appropriate climate for UAE investors in the targeted countries.
The studies conducted by the Ministry of Economy have an important role in the negotiations and comprehensive partnership agreements.
In order to enable the private sector to access markets for products, services, and investments.
Comprehensive partnership with Congo opens up new horizons between the two countries
Just days before the end of the current year, the United Arab Emirates and the Republic of the Congo (Brazzaville) successfully completed the talks.
Which aimed at reaching a comprehensive economic partnership agreement.
In order to elevate the trade and investment relations to new horizons of cooperation, building partnerships between business communities and stimulating joint economic growth.
His Excellency Dr. Thani bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade, and Jean-Baptiste Ondaye, Minister of Economy and Finance in Brazzaville, Congo, signed a joint statement to announce the completion of the talks and the conclusion of the terms of the agreement, in a ceremony held via video conferencing.
The comprehensive economic partnership agreement aims to contribute to increasing the flows of non-oil trade between the two countries.
Which recorded $2.1 billion in the first half of 2023, with growth of 134% compared to the first half of 2022.
It also aims to facilitate the flow of investments between the two countries, which are distributed over a number of vital sectors.
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The UAE Global Economic Trade: The Eighth largest market for Congo Brazzaville’s exports.
Congo Brazzaville (officially known as the Republic of the Congo) is located in west-central Africa.
Bordered by Gabon, Cameroon, the Central African Republic, the Democratic Republic of the Congo, and Angola.
And is the sixth largest oil producer in Africa.
The total value of non-oil trade between the UAE and Congo Brazzaville was about $2.2 billion in 2022.
Up 5% from 2021 and up 29% and 26% from 2020 and 2019 respectively.
According to data from 2022, Congo Brazzaville is the twelfth commercial partner of the UAE among non-Arab African countries.
It has a share of about 4% of the non-oil trade of the UAE with non-Arab African countries.
In the same year, the UAE was the eighth largest market for Congo Brazzaville’s exports.
With a share of 2% of its total exports, and the UAE ranked thirteenth as the largest market for Congo Brazzaville’s imports with a share of 2% of Congo Brazzaville’s imports.
The UAE’s share is about 72% of Congo Brazzaville’s non-oil trade with Arab countries.
