Morocco-UAE: Fruitful economic relations serving two-countries’ progress & prosperity

Morocco and the United Arab Emirates enjoy multidimensional, strong and long-term strategic relations, supported by a strong political will repeatedly expressed by the Heads of State of the two countries to establish this exceptional partnership as a model.

The official visit that King Mohammed VI will pay to the United Arab Emirates as of Monday, is in line with this virtuous momentum of all-out cooperation and confirms the determination of Rabat and Abu Dhabi to move forward in strengthening and diversifying their partnership, based on the values of genuine brotherhood, respect and mutual esteem.

This historic visit, the first of the Sovereign after the Federal Supreme Council of the State elected, on May 14, 2022, HH Sheikh Mohammed Ben Zayed Al Nahyan as President of the United Arab Emirates, will give strong impetus to the partnership relations between the two countries, which are marked by active brotherhood and unfailing solidarity.

This active solidarity between the two countries was illustrated after the violent earthquake that struck several provinces of the Kingdom on September 8, when the United Arab Emirates dispatched a research and relief team to participate in the rescue efforts, a generous humanitarian action that embodies the deep bonds of immutable brotherhood uniting the two heads of State and the two peoples.

Under the enlightened leadership of King Mohammed VI and His brother Sheikh Mohammed Ben Zayed Al Nahyan, Morocco-UAE political relations have always been marked by continuous consultation and convergence of views between the two Heads of State and mutual support in regional and international forums.

It is important to cite, in this respect, the constant position of the Kingdom, reaffirmed last October by Ambassador Permanent Representative of Morocco to the United Nations, Omar Hilale, before the 4th committee of the UN General Assembly, through which Morocco affirms its “firm and constant” support for the sovereignty of the United Arab Emirates over the islands of the Greater and Lesser Tunbs and Abu Musa

Morocco also condemned, in January 2022, the heinous attack perpetrated by the Houthi militia and its supporters against the Musaffah region and the Abu Dhabi airport in the United Arab Emirates.

For their part, the United Arab Emirates have repeatedly reaffirmed their constant support for Morocco and its territorial integrity, as evidenced in particular by the UAE statement following the vote by Council members on resolution 2703 extending MINURSO’s mandate by one year.

This constant position was anew expressed on the occasion of the opening, on November 4, 2020, by this brotherly country of a consulate general in Laâyoune.

Rabat and Abu Dhabi constantly coordinate their respective positions on regional and international issues and adopt a moderate and balanced foreign policy, based on the principles of non-interference in the internal affairs of countries, respect for national sovereignty and international legality, and the fight against all forms of extremism and terrorism.

Such a policy has enabled, according to many observers, the two countries to position themselves as major players in their regional environment and on the international stage.

The multidimensional cooperation between the two brotherly countries, the Kingdom of Morocco and the State of the United Arab Emirates, is reinforced on the occasion of the official visit of King Mohammed VI to the United Arab Emirates. A visit which will give strong momentum to the Morocco-UAE strategic partnership in different aspects of bilateral cooperation.

Economic and trade relations between Morocco and the United Arab Emirates experienced significant development over the years, strengthening fruitful and strong ties that serve the progress and the prosperity of the two brotherly countries.

Fueled by a common vision of economic development and strategic cooperation, Morocco-UAE relations have promoted a fruitful partnership, dynamic exchanges and mutually beneficial investments.

Regarding bilateral trade, Morocco and the United Arab Emirates have reached record levels, with constant growth in both imports and exports.

The Kingdom exports to the United Arab Emirates a diverse range of products, such as agricultural products, textiles and phosphates. In return, Morocco imports several Emirati products, including petroleum and chemical products and electronic equipment.

This momentum is the fruit of the efforts made by the two countries to remove tariff barriers to boost their bilateral trade.

According to statistics of the Foreign Exchange Office, Moroccan exports to the United Arab Emirates reached more than 1.41 billion dirhams in 2022, compared to 494.38 million dirhams in 2018. For the first six months of this year, Morocco’s exports to the UAE exceeded 1 billion dirhams.

Regarding Morocco’s imports from the United Arab Emirates, they increased from 7.68 billion dirhams in 2018 to more than 14.48 billion dirhams in 2022. They stood at 8.37 billion dirhams in the first half of 2023.

Morocco Attracts Emirati investors

In terms of investments, the United Arab Emirates have always shown particular interest in investment opportunities in Morocco, particularly in real estate, finance and infrastructure sectors. An interest which continues to materialize with increasing Emirati foreign direct investments (FDI) in Morocco.

According to statistics of the Foreign Exchange Office, the United Arab Emirates have the second largest stock of FDI in Morocco, with more than 137.43 billion dirhams in 2021.

For their part, Moroccan companies have also found favorable ground in the United Arab Emirates to invest and expand their activities in the Gulf region, to benefit from the attractiveness of the market and the dynamic business environment.

Morocco’s outstanding direct investments in the United Arab Emirates increased from 525 million dirhams in 2018 to 1.55 billion dirhams in 2021, according to the Foreign Exchange Office.

It is clear that Morocco-UAE relations are characterized by active and diversified collaboration, going beyond simple trade exchanges. This is a strong partnership which aims, through tapping into current synergies, to promote a prosperous and sustainable economic future.