Ankara and Abu Dhabi sign contracts worth $50 billion during Erdoğan’s visit to the UAE

Turkish President Recep Tayyip Erdoğan concluded a Gulf tour that witnessed, at its last stop in Abu Dhabi, on Wednesday, the signing of contracts between Türkiye and the UAE worth more than $50 billion.

In addition to the UAE, Erdoğan’s three-day tour included Saudi Arabia and Qatar, where agreements were signed to revive the Turkish economy, which is suffering from hyperinflation and a collapse in the exchange rate of the national currency.

UAE President Sheikh Mohammed bin Zayed al Nahyan received his Turkish counterpart on the podium of honor at the Presidential Palace in Abu Dhabi.

The two presidents witnessed “an exchange of memorandums of understanding and agreements worth $50.7 billion.

These agreements aim to diversify the areas of the comprehensive strategic partnership between the two countries and expand its horizons in a way that achieves the aspirations of the two countries for sustainable economic growth and prosperity.

The two presidents also witnessed the announcement of a joint agreement to establish a supreme strategic committee between the two countries.

During their meeting at the presidential palace, the Emirati and Turkish presidents reviewed all regional and international issues and developments of concern to the two countries and exchanged views on them.

The two presidents stressed, according to the same source, that dialogue and diplomatic solutions are the way to deal with the various challenges and crises facing the region.

They also stressed the need for effective cooperation and joint action to build relations based on mutual respect, trust and common interests, in a way that enhances stability, peace and development in the region.

Sheikh Mohammed bin Zayed al Nahyan told Erdoğan that Abu Dhabi considers Ankara an essential partner, and has a strategic direction to push relations with it to higher levels, especially in the fields of trade, technology, energy, food security, and others.

The Turkish president arrived in the UAE from Qatar, where he met the Emir of the country, Sheikh Tamim bin Hamad al Thani.

During their talks, the two sides affirmed the strong desire of the two countries to deepen bilateral cooperation between them by enhancing trade exchange and economic relations, according to the Qatar News Agency.

This is Erdoğan’s second visit to the UAE since the return of warmth to relations between the two countries in late 2021, after witnessing several periods of tension in the past decade.

The UAE and Türkiye supported two conflicting parties in the war in Libya, and they differed over the issue of gas exploration in the Mediterranean.

Ankara also provided support to members of Islamic groups, including the “Muslim Brotherhood”, which is classified as a “terrorist” organization in the Emirates and the Gulf States.

Relations were also strained due to the boycott imposed by Saudi Arabia, the United Arab Emirates, Bahrain and Egypt on Qatar, Ankara’s closest ally, and it lasted from mid-2017 until early 2021.

Tensions exacerbated between Ankara and Saudi Arabia, due to the case of the murder of Saudi journalist Jamal Khashoggi in Istanbul in 2018.

Also, Ankara, had accused Abu Dhabi of supporting the failed coup attempt in Türkiye in July 2016, however, relations returned to improvement with a visit to Türkiye by the Emirati president in November 2021 while he was holding the position of Crown Prince of Abu Dhabi, followed by a visit to the UAE by Erdoğan in February 2022.

Last month, the Emirati president met his Turkish counterpart in Istanbul, shortly after Erdoğan was re-elected president for a third term following a second election in May.

The Turkish Vice President Cevdet Yılmaz also met Sheikh Mohammed bin Zayed during a visit to the UAE in June.

The return of Turkish-Gulf relations opened the door to increasing investments in the Turkish economy.

Last March, the UAE and Türkiye signed a comprehensive economic partnership agreement aimed at increasing the value of non-oil trade to $40 billion annually within 5 years.

In 2021, a $10 billion fund established to support investments in Türkiye.

The total non-oil trade between the UAE and Türkiye amounted to nearly $19 billion in 2022, an increase of 40% over 2021 and 112% over 2020, making Türkiye among the UAE’s top 10 trade partners.