UAE President Welcomes Kurdistan PM for Strategic Dialog

UAE President His Highness Sheik Mohamed bin Zayed Al Nahyan met with Masrour Barzani, Prime Minister of the Kurdistan Region of Iraq, at Qasr Al Shati in Abu Dhabi to strengthen diplomatic relations. Their discussions focused on improving cooperation in sectors of all types that would benefit both nations.

The leaders explored opportunities to expand their partnership in economic, investment, and humanitarian areas. This builds on the deep friendship between both regions. The UAE has shown steady support to Kurdistan, especially with humanitarian aid and energy development. UAE-based Dana Gas has played a significant role in Kurdistan’s natural gas production since 2007.

Strategic Partnership Enhancement

UAE and Kurdistan Region’s mutually beneficial alliance has grown into robust economic cooperation. UAE ranks as the second-largest investor in Kurdistan and accounts for 25% of foreign direct investment. Five UAE companies have invested over AED 9.18 billion in the region together.

Both regions have built stronger trade relations, pushing annual trade value to AED 11.02 billion. UAE has become a key market for Kurdish agricultural products, which shows progress in non-oil exports. Kurdish pomegranates made their debut as the first non-oil product in UAE’s market. On top of that, both parties signed an agreement to export 5,000 tons of potatoes.

Abu Dhabi National Energy Company (Taqa) made big moves in the energy sector by acquiring a 50% stake in a 750MW independent power project at Sulaymaniyah. This project will grow to 1,000MW with an extra 250MW unit. UAE’s Crescent Petroleum and its partners in the Pearl Petroleum consortium want to boost gas production at the Khor Mor field to 1 Bcf/d from the current 440 MMcf/d.

Six Emirati banks are looking to open branches in Kurdistan, showing promise in the banking sector. Both regions proposed creating the UAE-Kurdistan Economic Council to boost economic cooperation. This partnership also covers agriculture and food security. UAE-based companies are studying the feasibility of large-scale agricultural and livestock production in Kurdistan.

Regional Development Initiatives

The UAE and Kurdistan Region have strengthened their ties through several development initiatives. A groundbreaking digital education project will help one million students in Kurdistan over five years. The project has two phases – the first phase will introduce Arabic digital educational tools in 50 schools. The second phase will focus on developing Kurdish-language materials.

Both regions have formed a strategic collaboration in government modernization. Kurdistan wants to leverage UAE’s expertise to speed up economic diversification through the Government Experience Exchange Program. Multiple cooperation agreements have emerged from this partnership, particularly in governance and human resource development.

Major infrastructure projects mark another area of collaboration between the regions. The AED 73.44 billion Development Road Project stands out as it will link the Gulf to Europe through Iraq’s transportation network. The project will create the Grand Faw Port with a smart industrial city nearby.

Key development initiatives include:

• Implementation of the Technology Transformation Program
• Establishment of the UAE-Kurdistan Economic Council
• Development of renewable energy projects
• Creation of digital government services

Kurdistan Region and UAE will soon open an economic center in Erbil to connect Kurdish and Emirati businesses. This center supports Kurdistan’s strategy to modernize its governance systems and enhance public service delivery.

Kurdistan plans to tap into UAE’s expertise in green hydrogen production for renewable energy. The goal is to generate 1,000 megawatt per hour of electricity. This builds on UAE’s AED 198 billion investment in renewable energy.

Future Cooperation Framework

The UAE and Kurdistan Region share numerous investment possibilities. The Kurdistan Regional Government has mapped out 11 industrial zones across its territory. Eight of these zones already have designated land allocations.

Kurdistan has pinpointed several key sectors that welcome private investment as part of its economic diversification:

• Agriculture and water resources
• Industrial manufacturing
• Tourism development
• Infrastructure and transportation
• Banking and financial services

Kurdistan’s agricultural sector shows great promise. The region plans to export pomegranates, apples, grapes, and potatoes to the UAE. Local farmers expect to send 90% of their potato production to UAE markets. The region’s agricultural growth pairs well with its water development plans. Studies show 41 proposed ponds and 11 water projects are ready for implementation.

The UAE-Kurdistan Economic Council will be the life-blood of future economic partnerships between the two regions. Six Emirati banks currently explore opportunities to open branches in Kurdistan. UAE-based companies also study the feasibility of large-scale agricultural and livestock projects.

Tourism creates another path for partnership. Kurdistan’s complete tourism development master plan has identified 40 high-potential sites ready for development. The region’s focus on infrastructure development includes roads, services, and railways. These projects present valuable opportunities for UAE investors.

Both regions collaborate on renewable energy projects. Kurdistan wants to generate 1,000 megawatt per hour of electricity using green hydrogen technology. This builds on UAE’s AED 198 billion investment in renewable energy infrastructure.

The UAE and Kurdistan Region’s strategic collaboration represents a key achievement in regional cooperation. UAE has become the second-largest investor in the region. Five major companies have invested AED 9.18 billion there. The newly formed UAE-Kurdistan Economic Council will boost business ties in many sectors.

Both regions work together in key areas like digital education that reaches one million students. The Experience Exchange Program helps modernize government operations. This partnership lets both sides share their knowledge about economic diversity and building strong infrastructure. The AED 73.44 billion Development Road Project proves their shared goal of continuous connection in the region.

Kurdistan’s industrial zones and priority sectors offer great opportunities to UAE investors. Their agricultural partnership has already shown results through pomegranate and potato exports. Both regions also focus on renewable energy projects that match their sustainability goals. This partnership shows how regional cooperation can work when built on mutual respect and shared economic interests.

The growing bond between UAE and Kurdistan Region helps both sides and adds to regional stability and economic growth. Their shared approach to development combines smart investments with knowledge sharing. This creates a solid base for continued success over the last several years.