MESOPOTAMIA NES FOCUS : Israel-UAE relations economic milestones: The dynamic relationship develops

 Israel and UAE economic initiative news By SETH J. FRANTZMAN  20 Oct 2020

Israel and the UAE are rapidly fostering relations that look set to build a powerful alliance between two of the Middle East’s most dynamic economies. The two states share much in common in terms of regional strategic views and also having carved out economic success in a region that has many states that are struggling economically or may be worse off in some ways than they were decades ago. When it comes to infrastructure, Israel and the UAE are putting in place new roads and railways and buildings at a rapid pace as their populations grow and they become world leaders in parts of the global economy.

The only surprise here may be that this alliance didn’t emerge decades ago. Nevertheless as it comes into fruition, with cultural, religious and now visa-free travel, it has a lot of potentil.

This post will include some details about the new relationship, and may be updated as things develop.

HH Sheikh Abdullah bin Zayed writes in today’s @WSJ on how to convert this historic diplomatic achievement into lasting peace and prosperity.https://t.co/6Syrbmemo3

هند مانع العتيبة Hend Al Otaiba (@hend_mana) September 15, 2020

First, a UAE delegation arrived in Israel on October 20. Four cooperation agreements have been signed. These included the visa-free travel, and deals relating to investment, science and technology and flights. The agreements also include an Abraham Fund that will start with $3 billion in trilateral investment. The Jerusalem Post notes “US International Development Finance Corporation CEO Adam Boehler announced the fund on the tarmac at Ben-Gurion Airport, where a ceremony was held in honor of the first Emirati government delegation to Israel, led by UAE Financial Affairs Minister Obaid Humaid Al Tayer. Prime Minister Benjamin Netanyahu ‘asked us to come to do everything we could to turn the words of the accords into action and invest behind these accords and support other countries as they support these accords,’ Boehler said. ‘People are tired of the same and want economic security and jobs that come from enduring peace.’”

Important US and UAE officials are linked to this. These include Al Tayer and US Secretary of the Treasury Steven Mnuchin, as well as Avi Berkowitz, the US Special representative for international negotiations.

Much progress has already been made. Let’s remember the context.

Back in October 2018 Netanyahu made a trip to Oman that marked a major breakthrough in Israel’s attempts to develop ties with Gulf Arab countries. Subsequent months involved a Chad

leader’s surprise meeting with Israel’s Prime Minister and then in June 2019 Bahrain hosted the

“Peace to Prosperity” workshop prior to the January 24, 2020 Trump rolling out the peace plan. A February 4, 2020 Uganda secret Sudan meeting followed and on May 19 Israeli officials said a UAE flight delivered humanitarian aid to Israel during the Covid crisis. This was a symbolic flight. A second flight took place soon after. On June 12 the UAE’s ambassador to Washington Yousef Al Otaiba wrote an oped in Israel’s largest circulation daily. On July 6 IAI and Rafael and the UAE’s Group 42’s CEO Peng Xiao, signed a deal to work together against Covid. On August 13, 2020 UAE Minister of State for Foreign Affairs, Anwar Gargash, announced the UAE’s agreement to normalize relations with Israel. On August 31 the first flight from Israel with the EL Al Kiryat Gat plane flew from Israel to the United Arab Emirates. On September 4 a deal with Kosovo and Serbia was pushed through by Trump and on September 11, Bahrain says it would establish full diplomatic relations with Israel. Days later on September 15 the Abraham Accords were signed in Washington.

UAE Foreign Minister Abdullah bin Zayed said ““I stand here today to extend a hand of peace and receive a hand of peace.”

Israel entered a lockdown soon after. Rumors about Sudan normalizing relations were dashed on September 26 (“sources say US officials indicated they wanted Khartoum to open ties with Israel, following in the UAE and Bahrain’s steps”) but revived on October 19 when the US announced it would take Sudan off its terror sponsor list. Oman said it welcomed an agreement but would wait. Kuwait’s Emir died and Morocco slammed Israel at the UN.

On Sunday October 18 Israel and Bahrain signed an agreement to normalize ties as the first Israeli flight arrived in Manama. Bahrain Foreign Minister Abdullah Bin Rashid Al-Zayani, who had signed the declaration in DC and Undersecretary of International Affairs Abdullah bin Ahmed bin Abdullah Al-Khalifa greeted the Israeli delegation.

On October 20 Mnuchin came with the UAE delegation to Israel.  He said he was honored to represent President Trump. He had recently participated in a business confab in Abu Dhabi between Israel and the UAE. He flew on the first commercial flight from the UAE to Israel. He said the new ties create a tremendous foundation for innovation, prosperity and economic growth. Stronger security would follow, he said. He also said that the US, UAE and Israel share views on threats in the region.

The dawn of a new era.
pic.twitter.com/5Xdg6jw356

— Etihad Airways (@etihad) October 20, 2020

An Israeli pipeline company EaPC will also conduct a preliminary deal to transport oil from the UAE to Israel through a pipeline from Eilat to Ashkelon.

Etihad airlines calls it a dawn of a new era.
Mohammed Bin Zayed said on October 12: “During a phone call with Israeli Prime Minister Benjamin Netanyahu, we discussed strengthening bilateral ties and examined prospects for peace and the need for stability, cooperation and development in the region.”

On October 6 the UAE’s Abdullah Bin Zayed and Israel’s FM Gabi Ashkenazi went to the Holocaust memorial in Berlin.