November Edition 2020

18 The landmark agreement formalizing ties between Israel and the United Arab Emirates (UAE) has investors and entrepreneurs flush with genuine excitement. As delegations fly between the two countries, in this special feature, we keep track of all the latest known developments and catch up with leading experts as the story evolves. Israel and the UAE have always been fascinating places for the outside world; some still imagine it as a land of falafels, sandstorms and magic lamps, while others know them as modern, innovative and sophisticated countries exemplified by the hi-tech start-up scene in Israel and the engineering marvel, the Burj Khalifa in Dubai. While for a longtimeexistingties laymostlybeneaththesurface,thetransparency brought about the August agreement could be worth hundreds of millions of dollars a year to Israel in trade and investments, according to Israel’s Economy Ministry, with predictions suggesting UAE investm ents in Israel could reach USD 350 million a year. There are no official figures, but trade between Israel and the Gulf states, including the UAE, had probably reached at least USD 1 billion by about 2019, according to the Tony Blair Institute for Global Change, mostly through European and other subsidiaries. Right after the deal was announced, theUAE-Israel Business Council was established to boost economic cooperation an d since then, events have been moving at a sna ppy pace. In September, Israel and the UAE signed a Memorandum of Understanding (MoU) to set up a joint committee to advance cooperation in finances and investments, lowering financial impediments for investors and promoting joint investments in the capital markets. The MoU effectively sets up a technical Heading: Israel and the UAE: The Momentum Keeps On Growing Investments could reach up to USD 350 million a year Lowering impediments for investors