UAE allocates $10bn to support investments in Egypt, Jordan

UAE allocates $10bn to support investments in Egypt, Jordan

WAM: The United Arab Emirates, the Arab Republic of Egypt and the Hashemite Kingdom of Jordan have announced an Industrial Partnership for Sustainable Economic Growth in Abu Dhabi to unlock new industrial opportunities and enhance sustainable economic growth in the three countries, across 5 sectors.

HH Sheikh Mansour bin Zayed Al Nahyan, Deputy Prime Minister and Minister of Presidential Affairs, witnessed the signing of the partnership, which is designed to achieve sustainable economic growth across food and agriculture, fertilisers, pharmaceuticals, textiles, minerals, and petrochemicals.

In order to accelerate the partnership objectives, a $10bn investment fund has been allocated and will be managed by ADQ Holding.

Dr. Mostafa Madbouly, Prime Minister of Egypt, and Dr. Bisher Al Khasawneh, Prime Minister of Jordan, witnessed the signing alongside His Highness.

The partnership agreement was signed by Dr. Sultan bin Ahmed Al Jaber, Minister of Industry and Advanced Technology, Dr. Nevein Gamea, Egyptian Minister of Industry and Trade, and Yousef Al Shamali, Jordan Minister of Industry, Trade and Supply.

HH Sheikh Mansour bin Zayed Al Nahyan stated: “The partnership embodies the vision of President His Highness Sheikh Mohamed bin Zayed Al Nahyan, to enhance industrial integration with Arab nations and the rest of the world so we can achieve a major leap in the industrial sector and transform its potential an economic driver. Industry is the backbone of the world’s largest economies. Through its capabilities, effective policies and current focus on developing advanced technology and logistics infrastructure, we are confident that the UAE can build a global economic powerhouse by leveraging industrial partnerships across the region.”

HH Sheikh Mansour added: “Advancing the industrial sector in the UAE, Egypt and Jordan will help strengthen and diversify the economy in each nation and increase the contribution of industry to the national GDP. This partnership is also a testament to its signatories’ ability to strengthen their relations and introduce new projects and industries within an integrated industrial ecosystem, while unlocking promising opportunities for future generations.”

The three nations who are party to this partnership have diverse resources and unique competitive advantages, including access to raw materials. In particular, they enjoy robust capabilities in the pharmaceutical industries, with clear ambition to develop and expand them further and increase their production capacity. They also wish to strengthen manufacturing capabilities in the steel, aluminum, petrochemicals and derivatives sectors.

The three nations’ combined industrial capacity represents around 26% of the total industrial capacity of the MENA region. These countries also enjoy a highly developed logistical infrastructure, including airports, ports and strategic transport corridors such as the Suez Canal; major companies with distinct capabilities in the main focus areas of the partnership; and access to capital and smart financing solutions. Almost half the total population of the partner countries comprising 122 million people are young people, who represent both a large market and an emerging workforce.

Dr. Bishr Al-Khasawneh delivered remarks at the signing ceremony highlighting that the partnership is a testament to the depth of the historic relationship between the 3 countries; emphasizing that that the partnership enhances integration, protects supply chains, empowers import substitution, and promotes sustainable economic development; all of which will result in economic growth, job creation and other benefits.

Dr. Al-Khasawneh thanked the leadership of the UAE for their efforts towards strengthening relations and economic cooperation in the region.

Al-Khasawneh said, “The continued active interaction and coordination at the leadership level confirms the strength of these relations with the industrial sector at the center of the partnership. In Jordan, an attractive investment destination, industry contributes to 24% of the GDP, and account for 21% of the countries employment. Jordan exports to many countries around the world and is empowered by supportive laws and regulations.

Jordan is eager to expand its global trade as the world recovers from the Covid 19 pandemic and continues to address global challenges.

For his part, Egyptian Prime Minister Mostafa Madbouly thanked the leaders of Egypt, Jordan and the UAE for a significant partnership that embodies the depth of relations between the countries.

He stressed that the support of the leadership in the three nations facilitated effective consultations and discussions between the stakeholders and specialists, resulting in the conclusion of these important agreements.

Mostafa Madbouly said: “The pandemic and the Russian-Ukrainian crises revealed beyond any doubt the need for integration between our Arab countries in a way that helps achieve the interests of our peoples in Egypt, the UAE and Jordan and could become the seed for a stronger and broader cooperation.”