BERLIN, Nov 20 (KUNA) -- Kuwait and Germany signed here Thursday a deal to bolster economic and commercial exchange between both states.

The deal was signed by Kuwaiti Minister of Commerce and Industry and Minister of State for National Assembly Affair Ahmad Yaqoub Baqer Al-Abdullah and Bernd Pfaffenbach, State Secretary at the Federal Ministry of Economics, during the meeting for the German-Kuwaiti commercial and economic committee meeting.

Pfaffenbach said that the deal would create a great leap in bilateral relations, adding his country is very keen on investing the GCC region especially in Kuwait.

He revealed that German exports to Kuwait had increased in the first eight months of this year to Euro 724 million, USD one billion, which was a nine percent increase over the numbers in 2007.

Kuwait imports to Germany for the same period were at Euro 115 million, USD 140 million, revealed Pfaffenbach.

Kuwait is embarking on ambitious development plans which Germany would help to develop, said the German official, adding that there were possible business propositions between the GCC states and counterparts at EU.

Baqer on his part said was vital for Kuwait and Germany to hold meetings to bolster economic and commercial relations.

Baqer, who is heading a delegation of Kuwait public and private sector officials, affirmed the strong historic relations with Germany, adding that the European state plays a paramount role in world economy. The fact that German is a world economic power made Kuwait export goods worth about KD 12 million to Germany in 2007 while imports from Deutschland were estimated at KD 400 million for the same year. KD one equals USD 3.6.

He indicated that Kuwait was keen on diversifying the exports to Germany to boost bilateral relations.

Baqer revealed that Kuwait was embarking on several plans to boost national economy by attracting foreign investors, saying that taxes on goods were dropped to 15 percent to encourage investments.

Efforts on the economic and commercial deal dated back to 2005, said Baqer who affirmed that the signing today has fulfilled visions for bolster relations between both nations.

The Kuwaiti official arrived here Wednesday on a visit which would last till next Friday.