Abu Dhabi delegation heads to Tel Aviv to explore business cooperation with Israeli companies

During the visit of an official delegation from the UAE capital to Tel Aviv, Abu Dhabi and Israeli entities signed agreements and discussed ways of further cooperation.This is as the two countries seek to strengthen bilateral commercial ties after signing the agreement Comprehensive Economic Partnership Agreement this May.

During the two-day visit to Israel, the delegation participated in a joint business forum jointly organized by the Tel Aviv Stock Exchange and Israel. Abu Dhabi Global Market (ADGM)in cooperation with the UAE Embassy in Israel.

During the event, ADGM on Tuesday signed three preliminary agreements with Israeli entities to strengthen business cooperation in the areas of data protection, innovation and fintech initiatives, the statement said.

“I would like to see leading companies from both countries cooperate and establish business ties on a solid basis, including our CEPA trade agreement, and create new businesses to enter new markets,” said Mohamed Al Khaja, UAE Ambassador to Israel.

“This in turn will create jobs and drive further economic growth for the benefit of all Israelis and Emiratis.”

ADGM has signed one of the preliminary agreements with Start-up Nation Central, an Israeli organization that connects the country’s innovation ecosystem to global opportunities.

The agreement aims to further develop the innovation ecosystem of both countries through various initiatives. These include business partnerships and collaborations, as well as the opening of commercial establishments in Abu Dhabi and Israel. Inputs on policies and funding could also be exchanged, the statement said.

ADGM Academy signed another agreement with Israel’s Avnon Group Middle East, which includes the establishment of a framework for cooperation and information exchange related to the development of the “ADGM Digital Asset Knowledge Center”. This will focus on cybersecurity, artificial intelligence and blockchain.

The third agreement between the ADGM Data Protection Office and the Israel Privacy Protection Authority aims to promote mutual understanding of the legislative, procedural and information technology frameworks in the field of data and privacy protection in their respective jurisdictions.

In addition to ADGM, the Abu Dhabi delegation to Tel Aviv included the Abu Dhabi Development Fund; Mubadala; Mubadala Petroleum; Advertising; Abu Dhabi Stock Exchange; Health Authority – Abu Dhabi; Abu Dhabi Investment Office; AIQ – an Abu Dhabi-based artificial intelligence and cloud computing company; Ministry of Culture and Tourism; Abu Dhabi Chamber of Commerce; Hub71 and First Abu Dhabi Bank.

The official visit comes after the UAE and Israel normalized relations in September 2020, which led to dozens of preliminary agreements in areas such as aviation and technology.

“The Tel Aviv delegation is a testament to Abu Dhabi’s longstanding commitment to strengthening ties between the two countries and building bridges between Israel and the UAE,” said ADGM Chairman Ahmed Al Zaabi.

“According to estimates by the UAE-Israel Business Council, the existing UAE-Israel Economic Corridor already exceeds $1 billion. The projected growth for 2022 is said to be $2 billion,” said Mr. Al Zaabi.

As part of the CEPA agreement, the two countries aim to increase bilateral trade to more than US$10 billion within five years, increasing the UAE’s GDP by US$1.9 billion by 2030.

CEPA is expected to create new opportunities in important areas such as energy, environment and e-commerce. It also seeks to strengthen ties in hospitality, financial services, distribution and construction, while enabling SMEs in both countries to expand overseas.

“We must also open the Israeli market to the Eastern Hemisphere,” said Ittai Ben Zeev, chief executive of the Tel Aviv Stock Exchange.

“More diversification of economic relations will put Israel in a better position to cope with the rising cost of living. We are committed to continuously increasing the number and diversity of investors in Israel’s capital markets.”

ADGM said it also aims to leverage synergies across countries in high-potential areas such as fintech and entrepreneurship for shared growth.

“We are delighted to explore bilateral growth and investment opportunities through the joint efforts of our industries. We believe that these collaborative efforts will help realize the true potential of both markets,” said Mr. Al Zaabi.

Updated: September 6, 2022 at 2:57 pm