Abu Dhabi: The UAE and Ukraine have finalized negotiations on a Comprehensive Economic Partnership Agreement (CEPA), marking a significant step in the UAE’s goal to boost non-oil foreign trade to AED4 trillion ($1 trillion) by 2031.
The signing of a joint statement by Yulia Svyrydenko, the first deputy prime minister of Ukraine and minister of economic development and trade, and Dr. Thani bin Ahmed Al Zeyoudi, the minister of state for foreign trade, marked the end of the negotiations.
After it is put into effect, the UAE-Ukraine CEPA will eliminate or lower tariffs on important product lines, get rid of needless trade restrictions, and encourage equal market access for exporters on both sides.
Crucially, it will aid in the rehabilitation of Ukraine’s major industries and infrastructure as well as the MENA region’s supply networks for important exports including metals, machines, and cereals.
Al Zeyoudi stated that, “Ukraine is a bridge to Europe for our exporters and an important ally in our food security imports. Once implemented, the CEPA will offer Ukraine’s industrialists and entrepreneurs a new platform from which they can expand into the growth markets of Asia and Africa through the UAE, while unlocking new investment pathways that can reconstitute sectors such as logistics, manufacturing and IT and rebuild essential infrastructure.”
“The agreement will play an active role in the revitalization of the Ukrainian economy, and we look forward toward the ratification of the deal and the new opportunities it will create for the business communities on both sides,” Al Zeyoudi added.
The UAE and Ukraine exchanged $385.8 million in non-oil commerce in 2023, and by the end of 2022, their combined foreign direct investment (FDI) stock was at US$360 million, spanning industries such as advanced technology, travel and tourism, and logistics and infrastructure.
The latest development in the UAE’s endeavors to broaden its trading partner network throughout international markets is the conclusion of the negotiations with Ukraine. It is an addition to the 14 Comprehensive Economic Partnership Agreements that cover more than a quarter of the world’s population and are strategically located in regions such as Africa, South America, Asia, and Europe. These agreements have been formally signed, are already in effect, or have been successfully negotiated.