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Since the beginning of this year, the UAE has remarkably tended to conclude comprehensive economic partnership agreements with a number of countries in the world, first with India, then Israel, and finally Indonesia at the beginning of this month. Reports indicate that negotiations on a fourth association agreement with Colombia are approaching. Meanwhile, negotiations are well underway on the conclusion of the fifth and sixth partnership agreements with Turkey and Georgia, which means an Emirati approach means that comprehensive partnerships are a side branch of a diversified economy.
Over the past year, on the occasion of the celebration of the golden jubilee of the founding of the state, and also with the aim of responding to the economic challenges caused by the outbreak of the “Covid 19” pandemic, the UAE the “50 Projects”, a series of daring initiatives aimed at more than doubling the value of the UAE economy, from 1.4 billion dirhams to 3 trillion dirhams within 10 years.
Since last September, the UAE government has been working to conclude a number of comprehensive economic cooperation agreements aimed at increasing the ability of exports to access markets, accelerate trade flows, stimulate investment opportunities and create platforms for small and medium-sized enterprises. to support.
And according to what His Excellency Dr. Thani bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade, confirmed to Al Bayan that the comprehensive economic partnership agreements that the UAE has signed since the beginning of this year are one of the main pillars of the country’s new economic agenda in the fifty years have been accepted. He explained that the concept of comprehensive economic partnership agreements is based on the establishment of deeper and stronger trade and investment ties with various countries around the world, with the aim of transferring products, services, investments and talents across borders between nations. to facilitate participating. in these agreements.
This can be achieved not only by removing tariffs and other trade barriers, but also by establishing digital trade, e-commerce frameworks, intellectual property protection and dispute resolution mechanisms, and establishing platforms to support SMEs and help them grow. He said that comprehensive economic cooperation agreements go beyond free trade agreements, as they create more integrated economic relations between countries with similar orientations.
Regarding the expected contribution of comprehensive economic cooperation agreements to the UAE economy, and their expected share in the country’s GDP, Al Zeyoudi said: “The three comprehensive economic cooperation agreements we have concluded with India, Israel and Indonesia open a market where the total number of consumers is estimated at about 1.7 billion people for our exporters. He added, “This will increase the value of our exports by more than 2.6 percent, equivalent to $ 13.2 billion.” Together, we expect these three agreements to add about $ 20 billion to our GDP by 2030. ”
He continued: “It is also important to emphasize our conviction that the comprehensive economic cooperation agreements we conclude will not only stimulate long-term sustainable economic growth in this critical time, but will also work to ensure supply and supply chains, a able to create. of security in the global trading system and build resilience in the face of all kinds of shocks we have seen over the past two years, including the specter of rising inflation. ”
Abdullah Al Saleh, Deputy Secretary of the Ministry of Economy, confirms that the comprehensive economic partnership agreements are part of the new trade policy pursued by the state. Al Saleh said in an email to the Indian website Money Control, which specializes in economic affairs: “The comprehensive economic partnership agreements are part of the new trade policy pursued by the UAE. The benefits and benefits expected by the UAE and the countries with which these agreements will be concluded include the granting of businessmen and investors of the other country the right to own 100% of their companies and businesses in the UAE, the amendment of the visa and residence system in the country, reducing the cost of doing business, facilitating access to new markets, and making opportunities available to expand business activities.
In his statements, Al Saleh also touched on the partnership agreement that the UAE has concluded with India in particular, saying: “The joint partnership agreement concluded with India will lead to the creation of millions of jobs over the years. The agreement will provide SMEs from the UAE and India with a platform to expand on an international scale by giving them access to new clients and new networks of international relations and groupings.
According to Sachin Keror, President of the Middle East, “Reed Smith”, an American international legal consultant, the Comprehensive Economic Partnership Agreements create an economic ecosystem and a framework for closer economic relations between countries. “The comprehensive economic partnership agreements also open up new markets and opportunities for foreign direct investment, traders and bilateral partnerships,” Kerror said.
He added: “The objectives and preamble of the agreement between the UAE and the Gulf Cooperation Council countries accurately summarize the obligations and aspirations that generally result from such agreements.”
Regarding the importance of Comprehensive Economic Partnership Agreements, Keror states: “Their importance lies in providing more security and opportunities in terms of access to national markets. It encourages trade and increases the resilience of economies by strengthening long-term trade relations. ”
He emphasized that the idea of a comprehensive economic partnership agreement was not new or emerging today. In fact, the UAE-India Comprehensive Economic Partnership Agreement has its roots in the 2004 India GCC Framework Agreement. . ”
Commenting on the UAE’s tendency to significantly conclude a number of comprehensive economic partnership agreements since the beginning of this year, Keror said: “The UAE is seeking significant economic benefits through access to commercial markets, the movement of skilled resources “As the UAE is serious about developing its economy significantly over the next 10 to 15 years, Comprehensive Economic Partnership Agreements (CEPAs) will greatly help attract capital to the UAE.”
Keror concluded by referring to the expected impact of the comprehensive partnership agreement concluded with India on the labor market in the UAE, saying: “The numbers talked about as expected results of the partnership are truly astonishing. The statistics are also impressive, stating that the comprehensive economic partnership agreement between India and the UAE will add $ 100 billion in non-oil trade between the two countries and create 250,000 jobs.
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