Bahrain, UAE announce entry into force of Investment Promotion and Protection Agreement

TDT | Manama

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The Kingdom of Bahrain and the UAE have officially announced the entry into force of the Investment Promotion and Protection Agreement, signed by both governments, effective yesterday.

The move follows the completion of the required legal procedures and marks a significant step in strengthening bilateral economic cooperation.

The agreement aims to provide a comprehensive legal framework that guarantees full protection for investments, ensures fair and equitable treatment for investors, and offers clear mechanisms for dispute resolution.

Investor confidence

It is expected to boost investor confidence and further solidify the strong economic ties between the two nations.

Reflecting the evolving landscape of the global economy, the agreement places particular emphasis on digital trade cooperation.

It highlights key areas such as data protection, cybersecurity, intellectual property rights, and electronic authentication, aiming to foster innovation and support digital transformation.

Both countries have also committed to exchanging best practices and developing technical capabilities to advance mutual economic competitiveness.

Cooperation

His Excellency Shaikh Salman bin Khalifa Al Khalifa, Minister of Finance and National Economy, emphasised the importance of deepening cooperation with the UAE, noting the agreement reflects the close fraternal ties and shared vision between the leaderships of both nations.

He reaffirmed Bahrain’s commitment to expanding its global investment network, with nearly 40 similar agreements signed to date.

Shaikh Salman praised the agreement as a reflection of the aspirations of His Majesty King Hamad bin Isa Al Khalifa and His Highness Sheikh Mohamed bin Zayed Al Nahyan, President of the UAE, who have long embodied a model of strategic partnership and regional cooperation.

Integration

Meanwhile, His Excellency Mohamed bin Hadi Al Hussaini, UAE Minister of State for Financial Affairs, described the agreement’s implementation as a new milestone in advancing Gulf economic integration.

He underlined the need for continuous coordination between relevant authorities to ensure the effective implementation of the agreement’s provisions.

New avenues

He added that the accord enhances both countries’ economic resilience amid global challenges, opens new avenues for high-quality investment, and supports priority sectors.

The agreement is expected to facilitate capital flows, encourage mutual investments, and provide a transparent and fair investment environment.

Both nations see the agreement as a foundation for a modern, innovation-driven economic partnership that aligns with their shared goals of diversification and long-term sustainable development.