Today's Edition
KHALED AL KHAWALDEH (ABU DHABI)
Established in 1985, the relations between Singapore and the UAE have grown over the years to be characterised by strong political, economic, and socio-cultural ties.
In 2014, both countries launched the Singapore-UAE Joint Committee, a biennial platform led by the Foreign Ministers aimed at deepening cooperation across multiple sectors.
Additionally, Singapore maintains close links with individual emirates, strengthening ties on both a federal and local level.
The Abu Dhabi-Singapore Joint Forum, established in 2006, was the first bilateral economic platform of its kind, underscoring the UAE's commitment to cultivating a strong economic relationship with Singapore.
This forum remains a focal point for economic collaboration, with areas of focus including infrastructure, energy, and logistics.
Moreover, Singaporean companies are well-represented across the UAE, with a notable presence in Abu Dhabi and Dubai, as well as in the northern emirates, where they are active in sectors such as infrastructure, real estate, information technology, and water treatment.
Now as His Highness Sheikh Khaled bin Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi, sets to make a historic visit, the relations are set to once again evolve, deepening what is already one of the nation's most strategic and fruitful partnerships.
Regional Connectivity and Strategic Partnerships
The UAE in the Middle East and Singapore in Southeast Asia serve as gateways to their respective regions.
This shared status as regional hubs has led to a high level of connectivity and cooperation, particularly between Singapore and Dubai.
Both cities have partnered to advance initiatives in smart city development, digital technology, and innovation, paving the way for future-focused collaboration in areas like artificial intelligence, e-governance, and urban sustainability.
Direct flights between the UAE and Singapore, facilitated by Emirates and Singapore Airlines, have made it easy for business and leisure travellers to visit both nations, promoting tourism, cultural exchange, and trade.
The UAE hosts the largest Singaporean community in the Middle East, making it a vibrant centre of Singaporean culture and presence in the region.
Economic, Trade, and Cultural Exchanges
The UAE is Singapore's largest trading partner in the Middle East, and their trade volume continues to grow.
Singaporean companies have established a robust presence across various emirates, contributing to key sectors such as construction, communications, technology, and transportation.
The economic relations between Singapore and the UAE are further bolstered by regular dialogue through the Singapore-UAE Joint Committee and the Abu Dhabi-Singapore Joint Forum, both of which facilitate deeper ties and collaborative projects.
In 2008, the Gulf Cooperation Council (GCC) and Singapore signed a Free Trade Agreement (GSFTA), representing a landmark partnership, marking the first FTA for the GCC and the second for Singapore with the Middle East.
The agreement provides comprehensive provisions covering trade in goods and services, rules of origin, customs procedures, and government procurement.
It allows GCC goods duty-free access to Singapore, while 99% of Singapore's exports to the GCC qualify for tariff-free entry, benefiting key sectors like petrochemicals, machinery, and jewellery.
Additionally, the GSFTA enhances the movement of professionals and service providers, establishes mutual recognition arrangements for technical standards, and sets dispute resolution mechanisms to ensure smooth trade.
Through this FTA, Singapore and the GCC commit to liberalising sectors beyond WTO agreements, granting the GCC preferential access in areas such as business services, construction, education, and health in Singapore, with reciprocal benefits for Singaporean businesses in the GCC.
According to the Observatory of Economic Complexity in 2022, the UAE exported $14.4 billion worth of goods to Singapore, primarily crude petroleum ($8.22b), refined petroleum ($4.07b), and gold ($743m), reflecting an annual growth rate of 10.8% since 2017.
During the same period, Singapore exported goods worth $4.6 billion to the UAE, with key exports including jewellery ($630m), gas turbines ($595m), and broadcasting equipment ($574m), growing at an annual rate of 11.1% since 2017.
Speaking to CNBC from Singapore last week, Abdullah bin Touq Al Marri, Minister of Economy, said the time had come to update and upgrade the current FTA between the two nations, believing there were substantial benefits in capitalising on technological and scientific know-how.
Socio-Cultural Ties and People-to-People Connections
In addition to economic and political ties, Singapore and the UAE share a vibrant socio-cultural connection, fostered through education, tourism, and cultural exchange programmes.
These people-to-people exchanges have strengthened mutual understanding and appreciation between the citizens of both countries.
The regular exchange of knowledge and expertise, particularly in urban planning, digital innovation, and environmental sustainability, has laid the foundation for future collaborations that address global challenges.
