The Philippines and the UAE strengthen relations anew in the field of trade and investment with the signing of the investment promotion and protection agreement (IPPA) on June 9, 2022 in Dubai, UAE.
Philippines’ Minister for the Department of Trade and Industry (DTI) Secretary Ramon Lopez, Jr. and UAE’s Ministry of Finance (MOF) Minister of State Hadi Al Hussaini jointly signed the IPPA – a landmark agreement that will boost bilateral investments and bolster economic cooperation between the two countries.
H.E. Hjayceelyn M. Quintana, Philippine Ambassador to the UAE, witnessed the signing of the IPPA and underscored its timeliness as both countries continue to expand the depth and breadth of cooperation across many areas, including trade and investment.
“This historic agreement is the first of a number of bilateral instruments that will further cement close ties between our two countries as the Philippines and the UAE mark 48 years of diplomatic relations this year. I am joined by my compatriots in the UAE in expressing our fervent hope that this IPPA will usher in an era of heightened investments as our two countries build confidence, creating a mutually favorable environment for investors of both sides,” said Amb. Quintana.
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The IPPA is a product of successful collaboration between DFA and DTI, including the coordination between the Philippine Embassy in Abu Dhabi and the Ministry of Foreign Affairs and International Cooperation (MOFAIC) in facilitating the IPPA negotiation meetings and exchange of drafts between BOI-DTI and the UAE MOF.
With the IPPA, the Philippines is set to heighten investment activities with the UAE, which ranked last year (2021) as the Philippines’ 20th trading partner (out of 223), 23rd export market (out of 205), and 18th import supplier (out of 210). Approved investments from the UAE in 2019 amounted to Php 685 million (ranked 17th) and Php 19 million in 2021 (ranked 27th). Between 2015 and 2020, the UAE contributed up to one-third of Outward Foreign Direct Investments (OFDIs), surpassing neighboring countries in the GCC.
