The United Arab Emirates and the Kingdom of Bahrain have officially enforced a bilateral Investment Promotion and Protection Agreement, effective 8 May 2025, solidifying their commitment to deepening economic cooperation and advancing sustainable development in both countries.
Signed by the governments of both nations, the agreement follows the completion of all legal procedures and aims to provide a robust legal framework for investors. It guarantees fair treatment, transparent dispute resolution, and protection for investments, reinforcing investor confidence on both sides.
The move reflects the longstanding ties between the UAE and Bahrain and marks a significant step toward broader Gulf economic integration. Officials from both nations have emphasized the agreement’s role in promoting high-quality investments and creating a stable, attractive environment for capital flows.
In response to rapid digital transformation, the agreement also highlights the importance of cooperation in digital trade. Key areas include data protection, cybersecurity, intellectual property, and electronic authentication, ensuring both countries remain aligned with global economic trends.
Bahrain’s Minister of Finance and National Economy, Sheikh Salman bin Khalifa Al Khalifa, underscored the importance of expanding partnerships with the UAE, citing the vision of the two nations' leaders and the strategic value of over 40 similar agreements signed by Bahrain.
UAE Minister of State for Financial Affairs, Mohamed bin Hadi Al Hussaini, described the agreement as a milestone that not only enhances bilateral ties but also responds to evolving regional and global challenges. He stressed the importance of continued coordination to ensure its successful implementation.
The agreement is expected to open new avenues for joint investment, particularly in priority sectors, and support both countries' goals of building diversified, innovation-driven economies rooted in transparency and mutual trust.
News Source: Emirates News Agency
