The Kingdom of Bahrain and the United Arab Emirates announce the entry of an investment protection and encouragement agreement signed between the two governments of the two countries, starting from Thursday, May 8, 2025, after the two sides completed the necessary legal procedures, according to the provisions of the agreement.
This step comes within the framework of the established fraternal relations and the growing economic partnership between the two brotherly countries, and their keenness to enhance investment cooperation in a way that serves the interests of investors from both sides, and supports the sustainable development goals in both countries.
The agreement provides a comprehensive legal framework that guarantees full protection of investments, and enhances mutual trust between investors, by ensuring fair and equitable treatment, and providing clear mechanisms for settling conflicts.
In light of the rapid transformations in the digital economy, the agreement emphasizes the importance of enhancing cooperation between the two countries in the areas of digital trade, including data protection, privacy, cybersecurity, intellectual property rights, signatures and electronic documentation, as well as exchanging best practices and building technical capabilities. This is a qualitative step towards providing a modern and advanced investment environment, which reflects the aspirations of the two countries in supporting digital transformation and enhancing the competitiveness of the economy on both sides.
Sheikh Salman bin Khalifa Al Khalifa, Minister of Finance and National Economy, stressed that the Kingdom of Bahrain attaches great importance to opening new horizons of cooperation with the sisterly Emirates in light of the strong historical brotherly relations that link the two countries.
He pointed to the role of bilateral agreements between the two brotherly countries in pushing the paths of joint bilateral cooperation in order to achieve the visions and aspirations of His Majesty King Hamad bin Isa Al Khalifa, the King of the Kingdom of Bahrain, and his brother His Highness Sheikh Mohammed bin Zayed Al Nahyan, President of the United Arab Emirates, “may God protect and preserve them”, which embodies a model and an example to follow in the extended brotherly relations that are based on the deep bonds and common history.
He pointed to the continuation of the Kingdom of Bahrain to enhance investment cooperation at the regional and international levels, as in this regard multiple agreements were signed to encourage and protect investment, which amounted to about 40 agreements, which contributes to enhancing economic growth and contributing to creating more promising opportunities.
For his part, Mohamed bin Hadi Al -Husseini, Minister of State for Finance, stressed that the entry into force of the agreement embodies the common will to deepen bilateral economic relations, and represents a new station in the path of Gulf economic integration, and also reflects a flexible and conscious response to the changes in the regional and international economic environment, especially in light of the current global challenges that impose on countries to redouble efforts to create a more stable and attractive investment environment.
He pointed to the importance of continuing coordination between the concerned authorities in the two countries to activate the agreement and follow up its implementation, in a manner that ensures the achievement of the desired goals, and contributes to enhancing the competitiveness of the economy of the two brotherly countries, and opening new horizons for specific investments, especially in sectors of economic priority.
He also stressed that the agreement constitutes a starting point for expanding the horizons of the strategic partnership between the two countries, by stimulating mutual investments, facilitating the movement of capital, and providing an investment environment based on transparency, justice and institutional integration, indicating that this agreement is one of the pillars that reflects the two countries’ vision towards a diversified and competitive economy led by innovation.
