Bilateral non-oil trade between the UAE and Morocco has surged to US$1.3 billion in 2023, marking a remarkable 30 percent increase compared to 2022.
RABAT, Morocco: The United Arab Emirates and the Kingdom of Morocco have successfully concluded the Comprehensive Economic Partnership Agreement (CEPA), heralding a new era of trade and investment collaboration. This milestone was officially announced through a joint statement signed by key government officials from both nations.
Once implemented, the UAE-Morocco CEPA will streamline the flow of goods and services by lowering tariffs, eliminating trade barriers, improving market access, enhancing customs procedures, and establishing flexible rules of origin. Additionally, it will create investment and collaboration platforms in key sectors such as renewable energy, tourism, infrastructure, mining, food security, transport, logistics, and information and communication technology.
The two countries reported US$1.3 billion in non-oil trade in 2023, an impressive 30 percent increase from the previous year and an 83 percent rise since 2019. The UAE stands as the largest Arab investor in Morocco, with over US$15 billion dedicated to a multitude of strategic initiatives.
A UAE government official emphasized the significance of this agreement:
“The UAE-Morocco Comprehensive Economic Partnership Agreement enriches our CEPA program. Our two nations share strong economic ties, and this agreement will bolster areas of mutual interest, particularly in tourism, energy, manufacturing, and agriculture, driving long-term prosperity for our populations. Morocco is among the largest and most competitive economies in Africa, and we are eager to create new opportunities for our private sectors together.”
A Moroccan official highlighted the importance of the agreement:
“Today, we signed a joint declaration finalizing our negotiations on the Comprehensive Economic Partnership Agreement. This agreement fulfills the vision expressed by our leaders, aiming to forge a resilient and innovative partnership between our countries.”
“This accord strengthens our legal framework, fostering trade and investment development by creating new opportunities for enhanced cooperation in economic and commercial spheres,” he added.
As the sixth-largest economy in Africa, Morocco’s GDP reached US$152.4 billion in 2023 and is projected to grow by 3.5 percent in 2024. While agriculture is the largest employer, the services sector dominates the GDP contribution at 54 percent, with the industrial sector contributing 23 percent.
The UAE’s CEPA program is designed to elevate the nation’s non-oil foreign trade to AED4 trillion by strengthening relationships with strategically significant markets globally. In 2023, the UAE achieved a record-breaking US$710 billion in non-oil goods trade, reflecting a 12.6 percent rise from 2022 and a 34.7 percent increase from 2021. With Morocco’s agreement, the UAE further extends its footprint in Africa, following similar agreements with Mauritius, Kenya, and Congo-Brazzaville.
