In a significant move to enhance economic ties, the UAE and Tunisia have launched negotiations for a Comprehensive Economic Partnership Agreement (CEPA). This announcement was made by Dr. Thani bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade of the UAE, and Samir Obeid, Minister of Trade and Export Development of Tunisia, during a virtual meeting on March 20, 2025. Both officials expressed their commitment to strengthening bilateral relations and expanding trade and investment opportunities.

The proposed CEPA aims to increase trade and investment between the two nations by reducing tariffs and trade barriers, improving market access, and creating pathways for investment in various sectors. Dr. Al Zeyoudi emphasized the importance of this partnership, noting that Tunisia offers a diverse range of trade and investment opportunities that could foster mutual economic growth. He remarked, “The start of negotiations towards a Comprehensive Economic Partnership Agreement represents a pivotal opportunity for both the UAE and Tunisia to deepen our economic ties and unlock new avenues for trade and investment.”

In 2024, non-oil trade between the UAE and Tunisia reached approximately US$350 million, marking a 7.7% growth compared to the previous year. The UAE has become Tunisia’s primary trade partner in the Gulf Cooperation Council (GCC) region, underscoring the significance of enhancing these bilateral efforts. Obeid also highlighted the transformative potential of the CEPA, stating that it would create a comprehensive new framework for economic and trade collaboration that serves the interests of both nations.

As negotiations advance, both parties will define specific chapters and provisions of the CEPA to ensure a fair and balanced agreement. Once finalized, the CEPA is expected to unlock substantial investment opportunities in Tunisia, which boasts a robust export portfolio in key sectors such as agriculture, manufacturing, and renewable energy. This agreement seeks to act as a catalyst for UAE investors to explore Tunisia’s high-potential sectors while also improving Tunisia’s access to GCC and global markets.

The launch of negotiations with Tunisia aligns with the UAE’s broader strategy to double its economy and strengthen its role in international trade. With 26 CEPAs already concluded and several existing agreements, the UAE’s CEPA program has facilitated access to high-growth markets. In 2024, the UAE achieved a record total trade of US$816 billion, reflecting a significant increase of 14.6% from 2023. This CEPA initiative represents a mutual aspiration to advance economic collaboration and open new avenues for investment between the two countries.