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Israel, UAE sign free trade agreement

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Reuters

March 26, 2023 at 9:55 pm

Last Modified: March 26, 2023, 10:04 PM

Flags of the United Arab Emirates, Israel and Expo 2020 Dubai fly during Expo 2020 Dubai Israel National Day celebrations in Dubai, United Arab Emirates, January 31, 2022.REUTERS/Christopher Pike

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Flags of the United Arab Emirates, Israel and Expo 2020 Dubai fly during Expo 2020 Dubai Israel National Day celebrations in Dubai, United Arab Emirates, January 31, 2022.REUTERS/Christopher Pike

Flags of the United Arab Emirates, Israel and Expo 2020 Dubai fly during Expo 2020 Dubai Israel National Day celebrations in Dubai, United Arab Emirates, January 31, 2022.REUTERS/Christopher Pike

Israel and the United Arab Emirates signed an effective free trade agreement on Sunday, reducing or eliminating tariffs on about 96 percent of goods traded between the two countries, Israel’s foreign ministry said.

The two countries first reached an agreement in May last year, pledging to boost bilateral trade after normalizing relations in 2020 in a U.S.-brokered deal.

The deal will also allow Israeli companies to gain access to government tenders in the UAE, the ministry said.

On Sunday, Israeli Foreign Minister Eli Cohen finally signed off on the tariff arrangement in the trade agreement, which he said would “strengthen” ties with the UAE, as Israel works to normalize relations with more Arab countries.



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