In a significant development for international economic relations, Sheikh Mohamed bin Zayed Al Nahyan, President of the United Arab Emirates, and Ilham Aliyev, President of Azerbaijan, witnessed the signing of a comprehensive economic partnership agreement between their nations. This agreement aims to enhance and diversify mutual economic growth, reflecting the strategic ties that unite the UAE and Azerbaijan. The new partnership marks a pivotal moment, setting the stage for collaboration to achieve shared developmental goals while fostering stability and opportunity for future generations.
Strengthening Economic Cooperation
Sheikh Mohamed bin Zayed emphasized that this comprehensive economic partnership agreement aligns with the UAE’s commitment to constructing developmental partnerships globally. “This agreement embodies the aspirations of the UAE and Azerbaijan to continue building a resilient economy based on knowledge and innovation, which meets developmental requirements,” he stated. The UAE’s proactive approach aims to enhance peace, stability, and opportunities, making this agreement a crucial juncture in Emirati-Azerbaijani relations.
Key Signatories and Objectives
The partnership agreement was signed by Dr. Thani bin Ahmed Al Zeyoudi, UAE Minister of Foreign Trade, and Mikayil Jabbarov, Azerbaijan’s Minister of Economy. The agreement focuses on boosting investment flows and creating opportunities in key sectors such as renewable energy, tourism, logistics services, and construction. Additionally, it aims to enhance cooperation in the private sector, support supply chains, and empower entrepreneurs and small to medium-sized enterprises to expand their businesses on a global scale.
A Historic Milestone in Trade Relations
This comprehensive economic partnership agreement represents a significant addition to the UAE’s ongoing program of economic partnership agreements, initiated in September 2021. It is founded on years of close cooperation between the two countries, characterized by a robust increase in non-oil trade, which soared by 43% year-on-year to reach $2.4 billion by the end of 2024. The UAE stands as Azerbaijan’s key trading partner, with investments exceeding $1 billion, underscoring the commitment to strengthen economic ties.
Future Prospects and Growth Targets
The economic partnership program is a cornerstone of the UAE’s foreign trade agenda, aiming to elevate non-oil trade to $1.1 trillion by 2031. In 2024, it was a driving force behind a record non-oil trade volume of $816 billion, marking a 14.6% annual increase. Having signed 27 agreements thus far, the UAE reaffirms its dedication to open, rule-based trade that promotes economic growth, diversifies its economy, and broadens opportunities for Emirati companies in high-growth international markets comprising over a quarter of the world’s population.