The United Arab Emirates (UAE) and Turkey have signed several bilateral agreements and memorandums of understanding worth an estimated $51bn during an official visit by President Recep Tayyip Erdoğan to Abu Dhabi, according to a report by the state-operated Emirates News Agency.
UAE President and Abu Dhabi ruler Sheikh Mohamed bin Zayed Al Nahyan and President Erdoğan attended a signing ceremony on 19 July.
Erdoğan’s visit to the UAE was part of a wider Gulf tour, which included trips to Saudi Arabia and Qatar, to attract funds to boost reconstruction efforts after February’s devastating earthquake, as well as investment into Turkey’s struggling economy.
The agreements with the UAE include the creation of a Joint Economic and Trade Commission, judicial cooperation in civil and commercial matters, as well as pledges in energy, natural resource development, space and defence.
The deal includes an agreement between Abu Dhabi state-owned investment company ADQ and the Turkish Ministry of Treasury and Finance to finance up to $8.5bn of earthquake relief financing bonds to accelerate reconstruction efforts.
ADQ also signed an agreement with the Export Credit Bank of Turkey to finance an export credit facility worth up to $3bn for Turkish companies to boost bilateral trade with the UAE and other markets.
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These agreements seek to diversify the framework of the UAE-Turkey Comprehensive Economic Partnership Agreement (CEPA) and deepen investment between both countries across strategic sectors. Under the agreement, both sides aim to increase bilateral trade to $40bn in the next five years.
The UAE ratified its CEPA with Turkey in May 2023. The UAE has increasingly pursued independent bilateral trade agreements in recent years, bypassing the Gulf Cooperation Council, the Saudi Arabia-led regional political and trade bloc.