Dr. Thani bin Ahmed Al Zeyoudi, UAE minister of State for Foreign Trade, announced that the newly signed Comprehensive Economic Partnership Agreements (CEPAs) between the UAE and Kenya, New Zealand, and Malaysia will significantly enhance the ongoing achievements in 2025.
“The UAE fosters economic growth through stronger open trade and investment policies. The country’s business community is expected to reap further commercial and investment benefits from these agreements, as we continue our efforts to expand our network of trade and investment partners and build developmental partnerships around the world,” the minister informed the Emirates News Agency (WAM).
Read more: UAE and New Zealand sign CEPA, targeting $5 billion bilateral trade by 2032
Importance of Comprehensive Economic Partnership Agreements for global trade
Dr. Al Zeyoudi elaborated that the signing of these agreements, coinciding with Abu Dhabi Sustainability Week 2025, illustrates the UAE’s profound understanding of the significance of open and rules-based trade. “The country continues to adopt policies that open up more commercial and investment opportunities globally through its Comprehensive Economic Partnership Agreements Programme,” he added.
Commitment to expanding Comprehensive Economic Partnership Agreements in 2025
In December 2024, Dr. Al Zeyoudi confirmed that the UAE will persist in increasing its Comprehensive Economic Partnership Agreements (CEPAs) in 2025, aiming to engage with additional nations to maximize benefits for the UAE and its international trade partners. Minister Al Zeyoudi stated that these agreements will reinforce rules-based international trade, stimulate sustainable development, elevate investments, and enhance opportunities for trade in goods, services, and re-exporting.
UAE-Malaysia Comprehensive Economic Partnership Agreement details
On Tuesday, the UAE and Malaysia formalized a Comprehensive Economic Partnership Agreement (CEPA) during a ceremony attended by President His Highness Sheikh Mohamed bin Zayed Al Nahyan and His Excellency Anwar Ibrahim, prime Minister of Malaysia. This agreement is intended to accelerate bilateral trade, promote private sector collaboration, and create new investment opportunities in high-growth sectors. The UAE-Malaysia CEPA aims to reduce or eliminate tariffs on a wide array of goods, streamline trade procedures, and improve market access for service exports. Malaysia, the fourth-largest economy in Southeast Asia, is already one of the UAE’s primary trading partners in the ASEAN region, with non-oil bilateral trade reaching $4.9 billion in 2023 and $4 billion in the first nine months of 2024.
The UAE is also Malaysia’s second-largest trade partner in the Arab world, accounting for 32 percent of Malaysia’s trade with Arab nations. This agreement is expected to establish the UAE as a strategic hub for Malaysian exports to the Middle East, North Africa, and beyond while opening the ASEAN market to UAE investors and entrepreneurs.
UAE’s CEPA program as a cornerstone of trade strategy
The UAE’s CEPA program is a fundamental aspect of its strategy to elevate non-oil foreign trade to AED4 trillion ($1.1 trillion) by 2031 and promote international cooperation with key markets, such as the ASEAN bloc, which boasts a GDP exceeding $2.9 trillion and a population of 647 million people. With CEPAs already in effect with Indonesia and Cambodia, the UAE is strengthening its connections to the region and solidifying its status as a global trade hub that links high-growth economies and expands opportunities for the private sector across Asia.
UAE-Kenya Comprehensive Economic Partnership Agreement highlights
Additionally, on the same day, the UAE and Kenya formalized a CEPA at Qasr Al Bahr in Abu Dhabi, aimed at deepening trade and investment relationships, strengthening supply chains, and enhancing market access throughout the Middle East and Africa. President His Highness Sheikh Mohamed bin Zayed Al Nahyan and Dr. William Samoei Ruto, president of Kenya, oversaw the signing. Sheikh Mohamed welcomed this agreement as a testament to the UAE’s commitment to enhancing economic ties across Africa and generating new opportunities for businesses and investors. He stated that the CEPA will not only boost trade and investment but also promote innovation and sustainable growth in key sectors such as agriculture, retail, healthcare, financial services, technology, and tourism. The UAE looks forward to deepening its relations with Kenya and further expanding its developmental partnerships in Africa.
Kenya’s economy and its potential within the Comprehensive Economic Partnership Agreements
Dr. William Samoei Ruto, president of Kenya, expressed his appreciation to His Highness Sheikh Mohamed bin Zayed Al Nahyan for his dedication to strengthening ties between the UAE and Kenya. He characterized the CEPA as a significant advancement in their economic relations and reaffirmed Kenya’s eagerness to achieve its mutual goals for the benefit of both nations. The UAE-Kenya CEPA was signed by His Excellency Dr. Thani bin Ahmed Al Zeyoudi, UAE Minister of State for Foreign Trade, and His Excellency Dr. Musalia Mudavadi, Prime Cabinet Secretary and Cabinet Secretary for Foreign and Diaspora Affairs of Kenya.
Kenya’s economy, one of the most promising in Africa, recorded real GDP growth of 5.6 percent in 2023, with projections indicating it will average 5.2 percent between 2024 and 2026. Its services sector, which constitutes 53.6 percent of Kenya’s GDP, along with its agriculture sector, which accounts for around 25 percent of national GDP, presents vast potential for UAE businesses seeking to expand into the region.
Comprehensive Economic Partnership Agreement with New Zealand and its implications
On the same Tuesday, the UAE also signed a CEPA with New Zealand at the Abu Dhabi National Exhibition Centre (ADNEC). This CEPA aims to enhance bilateral trade and create new investment opportunities. The UAE-New Zealand CEPA builds on the strengthening economic relations between the two nations, with bilateral non-oil trade reaching $642 million in the first nine months of 2024—an 8 percent increase compared to the same period in 2023. Under the CEPA, New Zealand will provide 100 percent duty-free access for imports from the UAE, while the UAE will extend duty-free access to 98.5 percent of New Zealand’s products, increasing to 99 percent within three years. This agreement is anticipated to elevate bilateral trade to $5 billion by 2032, essentially tripling the five-year average trade of $1.5 billion shared between the UAE and New Zealand from 2019 to 2023.
The CEPA marks New Zealand’s first trade agreement with a Middle Eastern country and stands as one of the UAE’s most comprehensive CEPAs to date, covering areas such as indigenous trade, sustainable development, women’s economic empowerment, and transparency.
