UAE, Cyprus strengthen trade ties; agree to establish business council

Dr Thani Bin Ahmed Al Zeyoudi, Minister of Foreign Trade, led a high-level government and private sector delegation to the Republic of Cyprus to strengthen trade and investment ties, in the presence of Mohammed Saif Al Shehhi, UAE Ambassador to the Republic of Cyprus.

During the visit, Al Zeyoudi met President Nikos Christodoulides and addressed the UAE-Cyprus Business Roundtable, in which he underlined the synergies between the two nations and the clear potential for collaboration in sectors such as oil and gas, renewable energy, logistics, real estate, technology and AI.

During the visit, the two sides also signed a Memorandum of Understanding (MoU), establishing the UAE-Cyprus Business Council. The Council will seek to boost private sector collaboration across a wide range of vital economic sectors.

Cyprus, which is a member of the European Union (EU), boasts a primarily services-based economy, with tourism, information and communications technology (ICT), and professional services serving as robust drivers of growth. Both the UAE and Cyprus are witnessing strong economic growth, fueled by economic diversification, technological innovation, tourism, and strategic investments. The UAE views Cyprus as an important gateway to Europe, while Cyprus is benefiting from UAE investments in sectors such as green energy, artificial intelligence, and infrastructure, which are fostering growing bilateral trade and private sector engagement.

In the first half of 2025, Cyprus’s GDP grew by 3.2%, supported by strong consumer spending and investment. While non-oil foreign trade between the UAE and Cyprus has remained constant over the last five years, the latest figures demonstrate significant growth. From January to September 2025, non-oil foreign trade reached US$176 million, reflecting a 39.4% increase compared to the same 9-month period in 2024 and an increase of 25.1% over 2023.

Al Zeyoudi stated, “Our visit to the Republic of Cyprus underscores the UAE’s commitment to enhancing economic partnerships and fostering private-sector collaboration with agile, high-growth economies around the world. The recent growth in trade between our nations highlights the potential for a more robust and mutually beneficial economic relationship. Today’s discussions will play an important role in this process by identifying the most promising sectors, establishing connections between our business communities and showcasing the opportunities in each other’s markets.” The UAE has established a dynamic and business-friendly ecosystem that fosters investment, collaboration, and innovation across a wide range of sectors, offering significant benefits to businesses from Cyprus and other nations with which the UAE has established strong economic ties. As part of its Comprehensive Economic Partnership Agreements (CEPA) programme, the UAE is focused on expanding foreign trade and investment, strengthening its position as a global trade hub that facilitates increased trade between nations and drives sustainable economic growth.

With nearly 1,850 Cypriot companies operating within the UAE market, Cyprus continues to serve as an important economic gateway for the expansion of UAE companies into key European markets. Through continued collaboration and shared initiatives, the UAE and Cyprus are poised to strengthen their bilateral relationship, paving the way for sustainable economic growth and mutual prosperity.

Earlier this month, Dubai Chamber of Commerce, one of the three chambers operating under the umbrella of Dubai Chambers, has announced the establishment of the Cyprus Business Council. The new council is dedicated to expanding cooperation between the business communities in Dubai and Cyprus, deepening trade and investment ties, and promoting bilateral partnerships across diverse sectors.

The launch of the council reflects Dubai’s prominent position as an international business hub for Cypriot companies and investors.

By the end of Q3 2025, a total of 612 Cypriot companies were registered as active members of Dubai Chamber of Commerce, with 71 new companies joining during the first nine months of this year.

The inaugural Annual General Meeting of the Cypriot Business Council was held recently in the presence of George Papanastasiou, Minister of Energy, Commerce and Industry of the Republic of Cyprus.

Participants included Abdullah Ahmed Al Saleh, Under-Secretary of the Ministry of Economy and Tourism, and Maha Al Gargawi, Vice President of Business Advocacy at Dubai Chambers.

During his welcome address at the meeting, George Papanastasiou stated, “The Cyprus Business Council provides a structured platform for businesses, investors, and innovators from both countries to connect, exchange knowledge, and create joint ventures that promote sustainable growth, technology transfer, and shared prosperity.

WAM