The Comprehensive Economic Partnership Agreement (CEPA) between the United Arab Emirates and Jordan comes into effect tomorrow, ushering in a new phase of economic cooperation.
This is the UAE’s first CEPA with an Arab country, aimed at deepening trade and investment ties, supporting SMEs, and driving growth in priority sectors.
The two countries plan to raise non-oil trade to over USD 8 billion by 2032, following a 34.1 percent increase from 2023 to 2024, reaching USD 5.62 billion. The agreement will reduce tariffs, eliminate trade barriers, and enhance access to regional and global markets.
Dr Thani bin Ahmed Al Zeyoudi, UAE Minister of State for Foreign Trade, said the agreement establishes a framework for joint prosperity, adding that Jordan has long been a valued economic partner.
Trade between the UAE and Jordan has grown significantly over the past decade, with non-oil trade rising by 138 percent. The UAE is Jordan’s fifth-largest trading partner and its top foreign investor, with mutual investments estimated at USD 22.5 billion.
The CEPA is expected to generate opportunities in clean energy, logistics, tourism, and pharmaceuticals. Jordan’s industrial strengths and skilled workforce align well with the UAE’s expertise in energy, infrastructure, and finance, enhancing their global competitiveness.
Concluded after three negotiation rounds, the agreement will also benefit SMEs by reducing trade restrictions and encouraging collaboration. It supports the UAE’s broader goal of boosting non-oil trade to over USD 1.1 trillion by 2031 and doubling the economy to USD 800 billion by 2030.
