Top economic officials from the UAE and France met recently to discuss enhancing trade ties between the two countries.
Abdullah bin Touq Al Marri, UAE minister of economy, met Olivier Becht, French minister-in-charge of Foreign Trade, Attractiveness, who is on an official visit to the UAE. The French minister was accompanied by Nicolas Niemtchinow, French ambassador to the UAE, and other senior government officials from France.
Officials from both sides discussed potential areas of collaboration. Among the priority sectors that were identified include technology, entrepreneurship, and tourism. In addition, the officials discussed possible partnerships on the circular economy, family businesses, renewable energy and agriculture.
According to a report from the Federal Competitiveness and Statistics Centre, bilateral trade between France and the UAE experienced a significant surge in 2022.
Trade reached AED29.44 bn ($8 bn), a 16.8 percent increase from the previous year’s AED25.2 bn. Imports accounted for AED25.2 bn, with exports and re-exports at around AED4.2 bn.
Over the past three years, bilateral trade in goods and services surged by 49 percent. Trade reached AED19.7 bn in 2020, defying global trade disruptions caused by Covid-19 lockdowns.
UAE-France Business Council
The recent establishment of the UAE-France Business Council has served as a vital platform for enhancing cooperation between both nations.
The council facilitates trade ties and fosters investment exchanges between numerous French and UAE companies across various sectors.
Al Marri highlighted the robust and sustainable strategic partnerships that define UAE-French relations across all fields. He attributed these partnerships to the visionary support of their respective leaders. He said, “The recently established UAE-France Business Council now facilitates the strengthening of economic and trade cooperation between the two countries. The UAE is eager to enhance our investments in French markets to support the sustainable development of both economies.”
Meanwhile, the French minister said, “France and the UAE enjoy strong economic and trade relations, with the UAE being one of our key trade partners in the region.”
Read: UAE, France sign cooperation partnership agreement in energy sector
Boosting trade and investments
Furthermore, both nations agreed to boost SMEs in their respective markets, recognizing their significant role in economic growth.
Currently, programs and facilities are being developed to stimulate investments in technology, AI, and the circular economy. Moreover, efforts are being made to enable SMEs to access new markets within both France and the UAE.
Likewise, initiatives are being planned to create a supportive ecosystem for SMEs, including funding mechanisms, mentorship programs, and simplified regulatory frameworks.
These strategic moves consequently aim to boost the contribution of SMEs to the GDP of both countries.
By fostering entrepreneurship, the UAE and France, therefore, hope to empower SMEs for economic growth and cross-border collaborations.
Tourism and aviation cooperation
In addition, the UAE and France are focusing on enhancing air connectivity and facilitating travel between the two countries.
With 282 flights per month connecting the UAE and France, there is an ongoing effort to strengthen these activities further. In 2022, French tourists visiting the UAE numbered 490,000, with over 30,000 French residents forming the UAE’s diaspora.
Both sides aim to enhance tourism cooperation by expanding air routes, improving infrastructure, and streamlining visa processes. The objective is to create seamless travel, cultural exchanges, and leverage tourism as an economic growth driver.
Economic performance
The UAE’s remarkable economic performance was highlighted during the discussions. France lauded the UAE’s 7.9 percent GDP growth and the substantial 17 percent year-on-year increase in non-oil foreign trade.
Additionally, the UAE successfully attracted $23 billion in foreign direct investment (FDI), marking a 10% rise compared to the previous year.
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