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10/18/24, 9:57 AM UAE Signs CEPA with Non-WTO Member Serbia
UAE-Serbia CEPA Expected to Boost UAE

GDP by US$351 Million by 2032

October 7, 2024 by Middle East Briefing

The Comprehensive Economic Partnership Agreement (CEPA) between the UAE and Serbia is set to
add US$351 million to the UAE’s GDP by 2032, according to Dr. Thani bin Ahmed Al Zeyoudi, UAE
Minister of State for Foreign Trade. The agreement, the first under the UAE’s comprehensive
economic partnership program with a non-World Trade Organization (WTO) member country,
represents a significant stride in the UAE’s broader efforts to enhance global trade relations.

CEPA will eliminate up to 96 percent of customs tariffs across several categories, setting a new
standard for trade partnerships outside WTO frameworks. This agreement aims to unlock substantial
non-oil trade potential between the UAE and Serbia. In 2023, non-oil trade between the two nations
reached US$122.9 million, and projections suggest that trade could exceed US$500 million over the
next five years.

“This CEPA creates a vital bridge to the Balkans and Southeast Europe, opening doors for substantial
economic cooperation. It’s a reflection of the shared ambition between the UAE and Serbia,” Dr. Al
Zeyoudi stated after the agreement’s signing, highlighting the economic potential it presents for both
nations.

Key areas of focus include bolstering trade and investment flows, fostering private-sector partnerships,
and promoting knowledge exchange. The deal will enable joint development projects in critical sectors
such as logistics, food security, and infrastructure, further cementing the UAE’s position as Serbia’s
largest trading partner in the Gulf Cooperation Council (GCC), accounting for 55 percent of Serbia’s
trade with the region.

In addition to trade, foreign direct investment (FDI) between the two countries has also increased,
particularly in high-priority sectors like renewable energy, agriculture, and infrastructure. Serbia’s
manufacturing capabilities, skilled labor force, and abundant natural resources are expected to
complement the UAE’s economic growth objectives, while the CEPA serves as a catalyst for deeper
bilateral cooperation.

This agreement also plays a crucial role in the UAE’s ambitious trade agenda, part of its broader
strategy to double foreign trade to AED4 trillion by 2031. As the UAE continues to forge strategic
economic partnerships globally, the CEPA with Serbia sets a promising precedent for future non-WTO
agreements, driving sustainable economic growth and diversification.

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