Israel and the United Arab Emirates are pursuing joint ventures in Africa, Israel Hayom learned Monday.
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The foreign ministries in Jerusalem and Abu Dhabi are currently working on a shared database that would link Israeli and Emirati companies seeking such ventures, particularly in the fields of agriculture and water, communications, and digital endeavors.
Since the 2020 Abraham Accords were inked, bilateral trade between Israel and the UAE has soared by 438%, reaching 3.7 billion shekels (just over $1 billion) in 2021. Economists project trade will expand exponentially in the coming years, and will accelerate further given that the Jewish state and the Gulf kingdom signed a free-trade agreement in May.
"The past two years have seen a significant leap in mutual trade, and such business cooperation strengthens ties between economies and adds a dimension of depth to all relations between the two countries," said Yael Ravia-Zadok, head of the Economic Diplomacy Division at the Foreign Ministry.
The Emiratis, she explained, "Are well aware of Israeli companies' reputation in heading projects in Africa and there's great economic potential here. There is also great importance to dealing with global challenges together, chief among them is climate change and its effects on the Middle East and Africa."
The current initiative calls of Israeli and UAE companies to apply for a joint database with the aim of creating mutual opportunities to explore and promote projects in Africa. The Jerusalem and Abu Dhabi foreign ministries will then assist companies in dealing with the various governments on the continent.
The project will focus on ventures in Uganda, Kenya, Nigeria, Ghana, Ivory Coast and Senegal, chosen according to criteria such as their ability to promote business deals, diplomatic maturity, pending projects, the relative advantages of UAE and Israeli companies for projects in these countries, etc.
According to Ravia-Zadok, Africa's population is expected to grow from 1.3 billion people in 2020 to 2.5 billion by 2050, meaning the continent will be home to about a 25% of the world's population.
"According to the African Development Bank, the continent needs investments of between $130 billion and $170 billion in infrastructure, so it's enough to have a small share to generate a huge profit.
"Israel brings with it world-class capabilities and a reputation of the highest level in the fields of agriculture and water. Israel is also a world leader in digital technology and communications. The projects we are looking into deal with a wide range of issues – mobile, fintech, accessible government and more are all in great demand in Africa," she said.
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