The United Arab Emirates (UAE) and Bahrain have initiated the implementation of their bilateral Investment Promotion and Protection Agreement. This agreement officially came into effect on Thursday, May 8, after both countries completed the necessary legal procedures.

This pact emphasizes the strong fraternal ties and the growing economic partnership between the two nations. It reaffirms their commitment to enhancing investment cooperation that benefits investors from both sides and aligns with the sustainable development goals of each country.

The agreement offers a comprehensive legal framework designed to provide full protection for investments. It aims to strengthen mutual investor confidence by ensuring fair and equitable treatment and establishing clear mechanisms for resolving disputes.

Given the rapid advancements in the digital economy, the agreement highlights the importance of collaboration in areas related to digital trade. This includes data protection, privacy, cybersecurity, intellectual property rights, and electronic signatures and authentication. It also encourages the exchange of best practices and the development of technical capacities.

Shaikh Salman bin Khalifa Al Khalifa, Bahrain’s Minister of Finance and National Economy, emphasized the significance of opening new avenues of cooperation with the UAE. He noted that bilateral agreements are crucial for advancing joint efforts, reflecting the visions and aspirations of the leadership of both countries.

He also mentioned Bahrain’s ongoing commitment to strengthening investment cooperation at both regional and international levels, having signed nearly 40 agreements aimed at promoting and protecting investments.

Mohamed bin Hadi Al Hussaini, UAE Minister of State for Financial Affairs, remarked that the agreement’s enactment symbolizes a shared desire to deepen bilateral economic relations and marks an important milestone towards greater Gulf economic integration.

He stressed that the agreement represents a proactive and adaptable response to the evolving regional and global economic landscape, particularly in light of current challenges. The minister indicated that it will enhance the competitiveness of both economies and open new opportunities for high-quality investments in prioritized economic sectors.

Furthermore, he stated that the agreement lays the foundation for expanding the strategic partnership between the UAE and Bahrain by encouraging mutual investments, facilitating capital flows, and creating an investment environment characterized by transparency, fairness, and institutional integration.