UAE and MENASA have a strong business relationship that has grown recently. More than 20 countries, including India, make up the MENASA area, with a population of 2.5 billion people. MENASA stands for Middle East, North Africa, and South Asia. It mainly comprises Islamic MENA and South Asian areas, with Dubai serving as the region’s hub. The region is sometimes referred to as SAMENA rather than MENASA. The UAE has excellent regional connections via seaport and airport gateways to countries in the Middle East, North Africa, and South Asia, resulting in cheaper shipping costs and better service.
Algeria, the United Arab Emirates, Bahrain, Egypt, Iraq, Iran, Jordan, Israel, Syria, Kuwait, Libya, Morocco, Lebanon, Qatar, Oman, Saudi Arabia, Tunisia, and Yemen are countries that make up MENASA.
Expo 2020 Dubai has provided several prospects for growth for companies contemplating expansion and foreign operations in the UAE and MENASA area. Continue reading to learn more.
According to World Bank figures, the UAE’s GDP increased from US$104 billion in 2000 to US$421 billion by 2020. The UAE’s GDP has increased four times in the last 20 years, giving it the highest per capita income globally at US$43,470. In addition, according to a World Bank survey, the UAE continues to be the top-ranked country in the Middle East and Arab Area.
There are many trade opportunities in the UAE, considering Dubai’s quickly rising and increasing market, as well as its link to the MENASA market, which surely provides it an advantage over the competitor countries; UAE and MENASA have long had trade and business relationships.
The Market Growth in UAE and MENASA
Dubai in the UAE, the most well-known of the seven emirates, is one of the world’s top business destinations due to its reputation for entrepreneurship and innovation. Its position as an economic hub has been established by a large open market, quick development, and favorable tax incentives.
According to a survey by STARTUP Overseas, in 2020, 88 percent of UK investors would choose Dubai over the other emirates since British goods and services are highly valued in Dubai. Many infrastructure opportunities are being explored despite the downturn caused by the COVID-19 epidemic.
Manufacturing, construction, travel, and tourism, as well as transportation and logistics, all benefit from Expo 2020. Education, training, and consulting are key priorities for the Emirate.
The United Nations named Dubai as the data hub for the UAE and MENASA region in 2017. It was an integrated program to harvest and manage the city’s information across boundaries, bringing in an era of smart technology. Among the goals were engaging corporate stakeholders, reviewing local and regional portfolios, creating analytics, and speeding up development.
Future Goals in the UAE and MENASA Business Market
Non-oil business sectors are growing increasingly popular as the UAE attempts to reduce its reliance on oil revenues. Creative sectors such as new media and publishing are also important. As a result, there is a higher need for skill training and investment in the emirates.
In the IT industry, computing services, technical education, and British consultancy are in high demand. Financial services are also gaining popularity. A robust financial market and different tax breaks offer appealing opportunities. Dubai also allows for 100% capital and profit return.
The UAE government has established a new Companies Law to encourage foreign direct investment (FDI). Foreign investors can own 100% of a specific share in free zones. The governing body’s regulatory and legal structure will also benefit local businesses.
The Final Word
The UAE and MENASA are working to establish long-term solutions that are both economically and environmentally friendly. The different efforts will contribute significantly to developing innovation and technology while maintaining Gulf tradition, spreading diverse Arab culture, protecting history, and leaving a legacy.
What are the primary trade relationships between the UAE and MENASA?
The main trade relationships between the UAE and MENASA are economic, political, and cultural.
What are the benefits of these trade relationships?
The benefits of these trade relationships include increased trade and investment, improved relations between the countries, and increased economic development.
What are the key challenges the UAE and MENASA face when trading?
The key challenges faced by the UAE and MENASA when trading include the lack of a free trade agreement, high tariffs, and non-tariff barriers.
Are there any special regulations I need to be aware of when shipping cargo from UAE to Egypt?
Yes, different countries have different regulations regarding cargo shipping. It is important to ensure that all necessary paperwork and permits are obtained prior to shipping cargo from UAE to Egypt.