ABU DHABI, 19th July, 2023 (WAM) — The UAE and Turkiye are forging ahead with their strong and dynamic partnership, as evidenced by the recent signing of the Comprehensive Economic Partnership Agreement (CEPA). This landmark agreement opens up new avenues for sustainable growth and economic prosperity, promising numerous trade and investment opportunities for the benefit of both nations. Under the leadership of both countries, the UAE and Turkiye have cultivated close trade and investment ties, aiming to elevate their relations to a broader partnership and drive economic development. The CEPA, signed during a virtual summit in March 2022 with the participation of President His Highness Sheikh Mohamed bin Zayed Al Nahyan and President Recep Tayyip Erdogan of Turkiye, has been officially ratified by their governments in preparation for its implementation. The UAE-Turkiye CEPA heralds a new era of bilateral cooperation between the two countries that stimulates trade, increases investment flow, and creates joint opportunities in priority sectors. In 2022, non-oil bilateral trade between the two countries surged by 40 percent, reaching US$18.9 billion, firmly establishing Turkiye as one of the UAE’s top ten trading partners, accounting for over three percent of the UAE’s non-oil foreign trade. Total Emirati investments in Turkiye reached some US$7.8 billion by the end of 2021, spanning several sectors, such as financial services, real estate, transportation, renewable energy, ports and logistical services. With the implementation of the CEPA, customs duties on 82% of goods and products, representing more than 93% of non-oil trade, will be eliminated or reduced. Moreover, the agreement improves market access to Turkiye for UAE exporters, particularly in sectors such as construction, metals, polymers, and other manufactured goods. The CEPA sets ambitious goals for non-oil bilateral trade, aiming to surpass US$40 billion annually within five years. It also aims to increase Emirati exports to Turkiye by 21.7 percent, while encouraging investments in key sectors such as logistical services, e-commerce, food security, and renewable energy. Both countries play a pivotal role in facilitating international trade flows as vital economies, fostering regional progress and prosperity while advancing economic relations, including the establishment of multibillion-dollar investment funds and cooperation agreements in critical sectors, such as advanced technologies, logistical services, and partnerships to support the development of emerging e-commerce. The CEPA creates a platform for exporters of goods and services to tap into these markets and the wider region, fostering collaborations and partnerships among small and medium-sized enterprises and entrepreneurs from both nations. It positions the region at the centre of international trade, serving as a catalyst and hub for global growth. Prominent Emirati companies with major investments in Turkiye include ADQ Holding, Emirates NBD Bank, Emaar Properties, International Holding Company (IHC), the Abu Dhabi Investment Authority (ADIA) and Mubadala Investment Company.

Source: Emirates News Agency (WAM)