Dr. Thani Ahmed Al Zeyoudi, the Minister of Foreign Trade, emphasized that the United Arab Emirates, guided by the wise leadership, is steadily advancing towards enhancing its international partnerships and solidifying its position as a global hub for trade and investment.
He highlighted that the recent signing of a new agreement on trade in services and investment with the Russian Federation complements the previously established economic partnership agreement with the Eurasian Economic Union, which includes Russia, along with Armenia, Kazakhstan, Kyrgyzstan, and Belarus.
Ongoing Bilateral Negotiations
Regarding the progress of negotiations with other members of the Eurasian Union on trade in services and investment agreements, Al Zeyoudi stated, “This agreement is the second of its kind following the similar one with Belarus.
The third agreement with Armenia has also been finalized, and negotiations for similar agreements with Kazakhstan and Kyrgyzstan are expected to conclude soon.”
He expressed hope to finalize trade in services and investment agreements with the remaining five countries by the end of this year, thereby strengthening the framework for complete economic partnership with the Eurasian Economic Union.
Growing Expansion
In an interview with Emirates News Agency (WAM), Al Zeyoudi said, “The second agreement of its kind reflects the growing expansion of relations between the UAE and the countries of the Eurasian Economic Union, focusing on supporting and liberalizing vital sectors, including financial services, fintech, consulting services, hospitality, logistics, renewable energy, and infrastructure, ensuring fluid investment and supporting economic diversification plans for both parties.”
He noted that UAE-Russian relations are experiencing significant growth, with non-oil trade volume between the two nations reaching approximately $11.5 billion in 2024, marking a nearly 5% increase from the previous year.
Data for the first half of this year indicated an extraordinary growth rate of up to 75% compared to the same period last year, driven by the overall strengthening of economic ties.
Trade Openness
The UAE and the Russian Federation signed the trade in services and investment agreement recently during Sheikh Mohammed bin Zayed Al Nahyan’s visit to Moscow. This agreement aims to enhance constructive cooperation, facilitate access to markets for services, and increase mutual foreign investment flows.
Al Zeyoudi explained that the agreement with Russia augments the trade openness approach adopted by the UAE, following the economic partnership agreement with the Eurasian Economic Union countries signed about a month ago, which included 95% liberalization of total trade and 85% of tariff lines.
He emphasized the importance of the partnership with the Eurasian Union, noting that it represents a strategic destination for UAE’s trade expansion, given that the region houses over 200 million people.
Additionally, he mentioned that trade with the Eurasian group increased by about 27% last year, reaching approximately $30 billion, underscoring the significance of the economic openness strategy pursued by the UAE.