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Germany Secures EUR40 Billion Investment Package from UAE

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Germany Secures EUR40 Billion Investment Package from UAE

Germany locked in an investment commitment of 40 billion euros from the United Arab Emirates for the improvement of the European country's industrial competitiveness.

The investment package will be used to advance Germany's technological leadership and long-term economic growth, according to a Thursday release. A portion of the package will be spent on advanced digital infrastructure, including the development of data centers with a capacity of 1 gigawatt.

Representatives from both countries unveiled the investment package during UAE President Mohamed bin Zayed Al Nahyan's ongoing state visit to Germany. Areas of discussion included international and regional security, trade and investment, energy and climate, and emerging technology, among others.

The countries also disclosed that German and Emirati companies entered into a total of 29 memoranda of understanding and deals for transactions with a combined value surpassing 9.36 billion euros. Germany and the UAE committed to establishing a council to oversee investments between the two countries.

Beyond the 40-billion-euro package, some companies also entered into corporate investments and partnerships, including German chemicals company Covestro (1COV.F), German energy group RWE (RWE.F), Abu Dhabi National Oil Co., or Adnoc, and Abu Dhabi Future Energy Co., d/b/a Masdar.

Al Nahyan is visiting Germany while the UAE is negotiating a free trade agreement with the European Union. Both countries expressed support for "a comprehensive, commercially ambitious agreement" that is expected to generate economic benefits for both parties.

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