Fostering FDI: Dubai, US look to strengthen trade, investment ties

Several government and corporate stakeholders highlight opportunities and developments in Dubai that can be explored

  
U.S. Secretary of State Mike Pompeo speaks to reporters following a meeting with members of the U.N. Security Council about Iran's alleged non-compliance with a nuclear deal and calling for the restoration of sanctions against Iran at U.N. headquarters in New York, U.S., August 20, 2020.

U.S. Secretary of State Mike Pompeo speaks to reporters following a meeting with members of the U.N. Security Council about Iran's alleged non-compliance with a nuclear deal and calling for the restoration of sanctions against Iran at U.N. headquarters in New York, U.S., August 20, 2020.

REUTERS/Mike Segar/Pool

The United Arab Emirates (UAE) and the United States (US) have reiterated their intention to further strengthen the trade and investment opportunities between the two countries.

The Dubai Investment Development Agency (Dubai FDI), an agency of Dubai Economy, was recently in touch with potential investors and partners from the US to present opportunities in the emirate’s technology, healthcare and logistics sectors.

At least a couple of webinars have been held and attended by the US Consulate General in Dubai and US Commercial Service of the US Department of Commerce, as well as by other UAE representatives, according to a press statement issued by the Dubai Media Office on Wednesday.

The virtual talks are part of Dubai FDI’s “virtual engagement” strategy during the coronavirus pandemic, to continue to present the emirate as an ideal investment destination.

Strong ties

The US has been one of the UAE’s major trading partners, with trade volumes between the two countries increasing by more than 40 percent since 2009. In 2019 alone, the two countries logged about $24.3 billion in total trade, according to Fahad Al Gergawi, chief executive officer of Dubai FDI.

“The US and the UAE historically have a strong trading partnership. Since 2009, the UAE has been the top export market for US goods in the [MENA} region,” he said.

US Consul General Philip Frayne said the virtual dialog will help expand further the already strong bilateral trade and investment ties that the UAE and US enjoy.

“Once this pandemic passes, I look forward to greeting delegations of American businessmen coming to Dubai to explore the great partnership opportunities that still exist,” the statement quoted the US official as saying.

Webinars were held to bring together several government and corporate stakeholders in the technology, healthcare and logistics industries.

Representatives from from Dubai Exports, Dubai Future Foundation, Dubai International Financial Centre, Smart Dubai, Dubai Health Authority, Dubai South, Jebel Ali Free Zone (Jafza) and Dubai Airport Free Zone, among others, showcased the emirate as an attractive investment destination, highlighting the various opportunities and developments that can be explored.

FDI numbers

The US has been the largest source market for foreign direct investment (FDI) into Dubai, accounting for nearly $5 billion in the first nine months of 2019, according to the data from Dubai FDI Monitor.

“Despite the challenges posed by the COVID-19 pandemic, Dubai has maintained its leading position among global FDI destinations during the first six months of 2020, ranking third globally in greenfield FDI projects and fourth globally in FDI capital inflows,” said Ibrahim Ahli, director of investment promotion at Dubai FDI.

Ahli said that medium and high technology investments in Dubai also increased by 53 percent during the first half of the year, compared to the same period last year.

(Writing by Cleofe Maceda; editing by Seban Scaria)

Cleofe.maceda@refinitiv.com

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© ZAWYA 2020

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