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    Home » UAE and Germany strengthen relations through €40 billion investment initiative by their respective governments
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    UAE and Germany strengthen relations through €40 billion investment initiative by their respective governments

    September 11, 2026
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    BERLIN, GERMANY / RankWire.AI / – During a state visit to Berlin, the United Arab Emirates and Germany formalized a Strategic Dialogue and reached an agreement to create a bilateral Investment Council. UAE President Sheikh Mohamed bin Zayed Al Nahyan and German Chancellor Friedrich Merz observed the unveiling of 12 government-level accords, memoranda, and declarations. These initiatives encompass sectors such as investment, energy, technology, aviation, security, legal cooperation, environmental issues, data systems, and culture. They serve to expand the scope of the longstanding UAE-Germany Comprehensive Strategic Partnership, established in 2004.

    UAE and Germany deepen ties with €40 billion investment
    UAE and Germany expand cooperation across investment, trade, energy and technology.

    The Strategic Dialogue aims to facilitate collaboration across regional security, defense, commerce, investment, energy, climate initiatives, digitalization, transportation, education, and emerging technologies. Both nations also signed a declaration of intent to launch the German-UAE Investment Council, which will act as a forum for public and private sector collaboration on investment ventures. Additionally, officials resumed activities of the Joint Economic Committee, creating another formal avenue for bilateral economic and trade discussions.

    Among the government accords are new arrangements facilitating air transport access for UAE national carriers to Berlin Airport. The agreements also cover cooperation on passenger procedures, crime prevention, and mutual legal assistance in criminal cases. Separate documents outline collaborations in defense and security, environmental policy, data hosting, and information systems. Both countries also committed to further expanding energy cooperation and signed a memorandum on cultural exchange.

    Economic impact of investment plan becomes evident

    The visit resulted in a UAE investment package worth €40 billion designated for Germany. This package focuses on developing advanced digital infrastructure and establishing new data centers with an approximate capacity of 1 gigawatt. Moreover, companies from both nations signed 29 commercial agreements and memoranda valued at over €9.356 billion. These deals complement the government agreements announced during the visit and broaden the economic dimension of the bilateral engagement.

    Trade and investment figures highlight the depth of existing economic ties, with non-oil trade between the UAE and Germany reaching $15.5 billion in 2025—an increase of over 14% compared to the previous year. Cumulative investment flows between the two countries exceeded $10 billion from 2021 to 2025. Both governments also acknowledged ongoing negotiations toward a comprehensive trade agreement between the UAE and the European Union.

    Cooperation in energy, technology, and transportation deepens

    The investment strategy includes further joint projects involving companies like Covestro, RWE, ADNOC, and Masdar. Existing UAE-related investments in Germany include XRG’s approximately €15 billion investment in Covestro. Both governments identified liquefied natural gas, renewable energy, and hydrogen as key sectors for continued energy collaboration. Their agreements also extend to digital infrastructure, artificial intelligence, and other cutting-edge technologies within the broader bilateral framework.

    The visit took place from September 9 to September 11 and marked the first time a UAE president conducted a state visit to Germany. Discussions in Berlin covered economic cooperation, technological development, energy, cultural exchanges, education, and regional issues. The establishment of the Strategic Dialogue, Investment Council, and associated agreements provides the two nations with formal channels to manage their cooperation. Collectively, the initiatives announced in Berlin encompass government policies, investments, private-sector agreements, transport access, and large-scale infrastructure projects.

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