The Industrial Partnership for Sustainable Economic Growth will seek to grow the food and agriculture, fertilizer, pharmaceutical, textile, mineral, and petrochemical sectors.
The UAE, Egypt and Jordan have signed the Industrial Partnership for Sustainable Economic Growth to bolster cooperation across the food and agriculture, fertilizer, pharmaceutical, textile, mineral, and petrochemical industries. The three states also wish to strengthen manufacturing capabilities in the steel, aluminum and derivatives sectors. A USD 10 billion investment fund has been allocated to support the initiative and will be managed by ADQ Holding.
The agreement was signed by the UAE’s Minister of Industry and Advanced Technology Dr. Sultan bin Ahmed al-Jaber, Egyptian Minister of Industry and Trade Dr. Nevine Gamea, and Jordan’s Minister of Industry, Trade and Supply Yousef al-Shamali.
“A global economic powerhouse”
Combined, the three countries have access to a wide range of resources and raw materials and seek to benefit from enhanced cooperation, “Through its capabilities, effective policies and current focus on developing advanced technology and logistics infrastructure, we are confident that the UAE can build a global economic powerhouse by leveraging industrial partnerships across the region,” said, UAE’s Deputy Prime Minister and Minister of Presidential Affairs Sheikh Mansour bin Zayed Al Nahyan at the signing.
26% of MENA’s industrial capacity
The three countries combined represent approximately 26% of the MENA region’s total industrial capacity. The partnership foresees the launching of joint industrial projects to promote economic growth and industrial integration, achieve self-sufficiency, and integrate value chains across the UAE, Egypt and Jordan.
Egyptian Minister of Trade and Industry, Nevin Gamea stated that the agreement includes several projects broken down into three phases, projects to be carried out urgently, medium-term projects, and a group of projects that will take place over the long term.
The projects are designed to support economic compatibility among the three countries and to ensure economic returns for the UAE, Egypt and Jordan. Gamea indicated that Egypt would work on several strategic sectors, including fertilizers, petrochemicals and foodstuffs, pharmaceuticals and textiles, all of which will benefit from direct interaction with UAE stakeholders.
H.E. Dr. Bisher Al Khasawneh, Prime Minister of Jordan said of the agreement, “The continued active interaction and coordination at the leadership level confirms the strength of these relations with the industrial sector at the center of the partnership. In Jordan, an attractive investment destination, industry contributes to 24% of the GDP, and accounts for 21% of the country’s employment. Jordan exports to many countries around the world and is empowered by supportive laws and regulations. Jordan is eager to expand its global trade as the world recovers from the Covid 19 pandemic and continues to address global challenges.”
Emirates Development Bank (EDB) will act as a partner for the program by offering a range of financing solutions to UAE-based companies seeking to take advantage of the new partnership.
Egypt and the UAE recently discussed ways in which to bolster their bilateral relations at a meeting in Cairo.