UAE invests $10bn into Turkey, signing deals to improve ties

Turkish President, Recep Tayyip Erdogan, has today hosted Abu Dhabi’s Crown Prince Mohammed bin Zayed, inking major deals as the two countries set out to improve bilateral relations after years of rivalry.

In what was the first meeting between the two leaders in almost a decade since the Crown Prince’s last visit to Turkey in 2012, Erdogan welcomed bin Zayed at the presidential palace in the capital, Ankara, today.

According to reports, they held talks with one another regarding expanded cooperation and various regional and international developments, before the President dined with the Crown Prince as is customary.

Following the meetings, the chairman of UAE state investment fund, ADQ, Mohammed Hassan Al-Suwaidi, announced to Turkish media that Abu Dhabi will be investing $10 billion into Turkey through a variety of agreements and projects.

Signed between the ADQ and the Turkey Wealth Fund and Presidential Investment Office, the investment agreements include those in ports and logistics by the Abu Dhabi Port Company and cooperation between the two countries’ stock exchanges.

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An agreement was struck for direct investments and cooperation in the sectors of energy, petrochemicals, technology, transportation, infrastructure, health, financial services, food and agriculture.

Additionally, investments are to be pumped into renewable energy in Turkey, covering both existing and new projects. A memorandum of understanding was also made in order to generally strengthen ties in trade, energy and environmental issues.

According to the Emirati Industry Minister, Sultan Al-Jaber, the main purpose of the Crown Prince’s visit was to increase partnerships in trade and business between the two countries through a set of sustainable investments.

The improvement in Ankara and Abu Dhabi’s relations comes after years of rivalry and hostility between them, in which Turkey supported popular protests and movements in the Arab Spring while the UAE attempted to undermine Turkey’s interests and its allies in Libya and Syria.

Following the failed coup attempt in Turkey in 2016, the government also accused the UAE of being involved in the plot, leading to the deterioration in relations and the subsequent boycott of Turkey and its goods by the UAE and other Gulf Arab states, such as Saudi Arabia.

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