Emirati-Saudi Arabian Relations
Relations between the United Arab Emirates (UAE) and Saudi Arabia have been characterised by a strong alliance for decades. Historically, the two states have cooperated economically and politically, and particularly with regards to security policies in the Middle East. Currently, those ties are stronger than ever due to a some recent developments and initiatives.
For starters, the Saudi-UAE Coordination Council was formed in 2017, which led to some new projects deriving from cooperation between the two monarchies. These projects are mainly focused on economic development, including new plans for economic growth and construction. Saudi Arabia has invested a lot of resources in modernising ports in the UAE.
Moreover, the creation of the Saudi-Emirati Coordination Council has also made political ties between the countries even stronger. President of the UAE, Sheikh Khalifa bin Zayed Al Nahyan and King Salman of Saudi Arabia have made several public appearances together and are working towards reducing regional differences and stabilising the tensions in the Middle East.
Analysts from the International Centre for Studies (ICS) in Abu Dhabi explain how the UAE and Saudi Arabia have been working together in a bid to promote stronger economic ties between the countries. The two countries have signed a Memorandum of Understanding which aims to increase trade and investment flow between the two countries and which will also support the development of mutually beneficial projects.
The UAE and Saudi Arabia have also worked together on a number of initiatives related to the improvement of the environment. Unlike previous years, when the two countries focused mostly on the development of economic ties, in recent years they have shifted focus to environmental protection initiatives. The Saudi-Emirati Coordination Council has developed plans to improve water management, waste management and energy efficiency, with various initiatives at both the governmental and non-governmental levels.
Most recently, the UAE and Saudi Arabia have signed an agreement to build a bridge connecting the two countries. This bridge will be used to improve transportation links between the two countries, as well as increasing the flow of trade and investment.
Cooperation in Energy Sector
The UAE and Saudi Arabia have also cooperated in the energy sector. The UAE is positioned to become a leader in renewable energy production and research, with Saudi Arabia providing support in areas such as energy financing, and technology and infrastructure development.
The Saudi-Emirati Coordination Council has invested massive amounts of money in oil production and solar energy ventures. This has led to an increase in investment opportunities in both countries, and has also produced various initiatives related to energy security and sustainable energy development.
In addition, Saudi Arabia and the UAE have also cooperated in the area of nuclear power. They have jointly funded the development of a nuclear energy plant in Abu Dhabi, which is aimed at providing a long-term energy supply for both countries.
Finally, the UAE and Saudi Arabia have signed an agreement to cooperate on research and development of new technologies in the energy sector, such as Carbon Capture and Storage (CCS) technology. This agreement is helping both countries to further reduce their carbon footprints, while helping them to diversify their energy sources, making them less dependent on a single energy source.
Cultural and Tourism Exchange
Alongside geopolitical cooperation between the two countries, their relationship has extended beyond the political sphere, particularly in regards to cultural and tourism exchange. Recently, the Saudi-Emirati Cooperation Council has signed an agreement that will encourage both countries to open their doors to each other’s citizens and allow them to visit both countries for either leisure or business purposes.
Tourism has become a key component of the partnership between Saudi Arabia and the UAE. The UAE is one of the world’s most popular holiday destinations and is visited by millions of tourists each year. Saudi Arabia too is home to a number of popular tourist destinations, including the historic city of Riyadh and the stunning beaches of the Red Sea.
In addition, the two countries are looking towards establishing various cultural and educational initiatives. For example, the Saudi government has recently announced plans to open several cultural centres in the UAE, which will help promote Saudi culture in the region.
Furthermore, the Saudi and UAE governments have also agreed to build a research university in Abu Dhabi, which will serve as a hub for scientific research and facilitate the exchange of knowledge and ideas between the two countries.
Investment Opportunities
The UAE and Saudi Arabia are actively encouraging investment between their two countries in order to further develop their economies and create more job opportunities. In 2018, the two countries signed an agreement to encourage joint investment funds and to boost foreign direct investment (FDI).
The Saudi-Emirati Coordination Council has also signed several agreements that focus on enabling more efficient business operations between the two countries. For instance, they have agreed to ease visa restrictions for business travellers to both countries. This will help to attract more foreign investors, and thus stimulate economic growth.
Additionally, both countries have committed to investing in infrastructure projects across the Middle East. This is aimed at providing better access to education, healthcare and other basic services, and is an area where UAE and Saudi business have the potential to significantly contribute.
The Role of Saudi Arabian Armed Forces
The bilateral relationship between the two countries also extends to the realm of defence and security. The Saudi Arabian Armed Forces (SAAF) have been providing security for the UAE since the formation of the Federation in 1971. The SAAF has also been actively involved in training and equipping Emirati troops, and assisting the UAE in its security operations.
The UAE relies heavily on the support of the SAAF and is grateful for their assistance in securing the country’s borders and protecting its citizens. As such, the UAE and Saudi Arabia have a strong military cooperation, which is beneficial for both countries.
The two countries have also signed an agreement which allows them to share intelligence and cooperate closely on security matters in the region. The agreement helps to ensure that both countries are able to act quickly and decisively in responding to security threats.
Development Projects
The cooperation between Saudi Arabia and the UAE extends to the realm of development projects, with the two countries actively working on a number of initiatives aimed at developing their economies and creating jobs. One example of this is the Al-Rajhi free trade zone, an investment project which is being developed by both countries in the port of Jeddah.
The project is expected to create thousands of jobs for Saudi and Emirati citizens and will also contribute to economic development in the region. The free trade zone is meant to be a hub of international trade and commerce and is seen as a long-term investment in the future of both countries.
Furthermore, the two countries are working together on the $1.3 billion Arab Union Project, which is a joint development effort involving the UAE and Saudi Arabia. This project will help to connect the two countries and also facilitate regional trade and investment opportunities.
In addition to that, the two countries have also agreed to open promotional offices in each other’s countries in order to promote investments from foreign investors. These offices will provide potential investors with the information they need in order to make informed decisions regarding business and investment opportunities in both countries.
Conclusion
The partnership between Saudi Arabia and the UAE has become increasingly strong in recent years, and the two countries are now firmly working together on economic, security, defence and development initiatives. This is evident from the many agreements that have been signed between the two countries which promote mutual cooperation and trust.
The current partnership between the UAE and Saudi Arabia has the potential to be a major driver of prosperity across the region, and could potentially unlock even more collaborative opportunities in the future.
