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UAE leans on trade deals for growth as non-oil trade jumps 15% in 2024

February 5, 2025 at 11:18 am

An aerial view of Dubai Creek Port welcoming ships that carry cargo from many countries, including Iraq, Iran, Yemen, Somalia and India and only wooden ships are allowed to enter on February 01, 2024, in Dubai, United Arab Emirates. [Fadel Dawod – Anadolu Agency]

The United Arab Emirates’ non-oil trade in goods touched a record three trillion dirhams ($817 billion) in 2024, up 14.6 per cent from the previous year, as the Gulf oil exporter leans on its trade strategy to spur future growth, Reuters has reported. UAE Trade Minister Thani Al-Zeyoudi announced the figures in a post on social media.

Earlier, Prime Minister Mohammed Bin Rashid Al-Maktoum wrote on X that the country had already reached 75 per cent of its target of four trillion dirhams for non-oil trade set for 2031.

The UAE is considered widely to be the region’s tourism and business hub, and it has invested heavily in trade and logistics infrastructure and devised a policy to help accelerate efforts to diversify its economy.

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Since 2021 it has initiated a raft of bilateral trade, investment and cooperation deals called Comprehensive Economic Partnership Agreements (CEPAs). So far, it has negotiated deals with countries ranging from India and Indonesia to politically opposed nations such as Israel and Turkey, as well as smaller states.

The share of exports in the UAE’s total non-oil trade rose to 18.7 per cent last year, from 11 per cent in 2015, said Zeyoudi.

The value of exports to partner CEPA countries jumped 42.3 per cent year on year in 2024, and accounted for about a quarter of overall non-oil exports, which reached 561.2 billion dirhams last year.

“Through our CEPA programme, we are securing partnerships with those nations who share our belief that open, rules-based trade is an essential driver of economic growth, development and diversification,” explained Al-Zeyoudi in emailed comments to Reuters. “The UAE will always take a long-term view.” He added that the country’s economic strategy is not informed by day-to-day headlines.

The UAE is hoping to kick-off trade talks with the European Union in 2025, a move which has the support of many EU member states.

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