KHALEEJ TIMES, Thursday, Sep 17, 2020 | Muharram 29, 1442
UAE-Israel business ties in the fast lane
Emirates:
As the UAE and Israel signed the Abraham Accord in Washington DC to set
up diplomatic ties and normalise relations, private and public sector
companies are gearing to explore trade and investment opportunities in both
countries.
Industry sources and private sector officials said at least half-a-dozen deals
are in the pipeline that will foster bilateral annual trade up to $4 billion by
2022.
In addition, both the countries will be exploring investment opportunities in
key sectors, including financial, aviation, real estate, travel and tourism,
among others.
The Abu Dhabi Investment Office (ADIO) plans to open a network of international
offices to support global companies looking to establish and expand their
operations in the UAE capital. Its first international office will be located in
Tel Aviv and will focus on facilitating connections between innovation-focused
companies and organisations in Abu Dhabi and Israel.
"The opening of an international network of investment offices will create new
opportunities to connect with innovators from around the world and work together
to solve challenges of global importance," said Mohammed Ali Al Shorafa,
chairman of the Abu Dhabi Department of Economic Development.
Leading banks in the UAE and Israel have already signed initial memoranda of
understanding in the past three days to explore areas of economic and commercial
cooperation.
First Abu Dhabi Bank, Emirates NBD and Abu Dhabi Islamic Bank (ADIB) signed
agreements with Israel's biggest lender Hapoalim and oldest Bank Leumi Le-Israel
in line with the Abraham Accord to promote sustainable development in the
region.
"The deal is intended to open new business and trade opportunities for
customers, and support individuals travelling to Israel or businesses looking to
benefit from access to new market," ADIB said on Wednesday.
DP World and Dubai Customs signed a deal with a leading Israeli group to explore
opportunities to develop bilateral trade links. DP World will join Israel's
DoverTower to bid for one of Israel's two main ports and to examine opening a
direct shipping line between the two Middle East states.
"Our work to build trade routes between the UAE, Israel and beyond will help our
customers to do business in the region more easily and efficiently," he said.
DoverTower is owned by Israeli businessman Shlomi Fogel, a shareholder in Israel
Shipyards and a partner in Eilat port.
Israel Shipyards and Dubai's Drydocks World will also examine partnering in
producing and marketing products in Dubai.
"DP World and Israel Shipyards will collaborate to establish a joint venture
that will participate in the tender for privatisation of the Port of Haifa,"
Shlomi Fogel said in a statement on Wednesday.
Israeli investors have also expressed interest in the UAE's infrastructure
development and real estate projects in Dubai.
"We have received many enquiries from Israel to invest in Dubai's property
sector. We are confident of converting these enquiries into sales order and will
share details in due course of time," according to a leading Dubai-based
developer.
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