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GCC Scope > Business > UAE Pledges €40 Billion Investment in Germany to Boost Key Sectors
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UAE Pledges €40 Billion Investment in Germany to Boost Key Sectors

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Last updated: September 24, 2026 12:53 pm
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UAE President Sheikh Mohamed bin Zayed Al Nahyan and German Chancellor Friedrich Merz attend the announcement of agreements during the UAE state visit to Germany. | Emirates News Agency (WAM)
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The pledge forms part of a joint declaration issued after the UAE president’s state visit and comes on top of an existing €34 billion in UAE investments in Germany, according to Reuters. It encompasses projects in advanced digital infrastructure including new data centres with a combined capacity of approximately 1 gigawatt, for which Germany committed to fostering a favourable implementation environment. The two sides also announced the creation of a UAE-Germany Investment Council aimed at advancing opportunities between public and private sectors.

UAE and German companies signed 29 agreements and memoranda of understanding worth more than €9.4 billion during the visit, Reuters reported. Separate pacts involving ADNOC, its international arm XRG and Masdar with German firms such as RWE, SEFE and Luxcara could generate more than €5 billion in additional investments across LNG, renewables and industrial projects, an ADNOC statement said. These include a letter of intent for LNG offtake agreements starting in the early 2030s and cooperation on offshore wind auctions scheduled for 2027.

UAE Minister of Industry and Advanced Technology Sultan Ahmed Al Jaber, who also serves as ADNOC chief executive, described Germany as an important strategic and economic partner for decades in remarks carried by Reuters. In a Bloomberg TV interview, Minister of Foreign Trade Thani bin Ahmed Al Zeyoudi highlighted the drive for diversification, stating that the UAE seeks connections to economic hubs worldwide. “The main message here again is diversity, ensuring that we have alternates and new markets,” Al Zeyoudi said.

Roughly €10 billion of the new package will target Bavaria, according to multiple reports citing the visit outcomes. Non-oil trade between the countries reached $15.5 billion in 2025, an increase of more than 14 percent from the prior year, AGBI data shows. Cumulative investment flows between the two exceeded $10 billion from 2021 to 2025, the same assessment found.

The energy-focused deals build on prior cooperation, with Masdar and RWE agreeing to explore joint participation in German offshore wind projects that could exceed €3 billion in value, Reuters reported. ADNOC and RWE also plan terms for up to two long-term LNG sales agreements supplying Germany, Europe and Asia from UAE and international sources. Additional memoranda cover energy storage, advanced materials and potential artificial intelligence applications.

Emirates airline received additional traffic rights to launch regular Berlin-Dubai services, as noted in the joint outcomes. The discussions between the leaders addressed broader cooperation in security, defence and trade while reviewing regional stability efforts and progress toward a UAE-European Union comprehensive economic partnership agreement. The announcements reflect sustained momentum in bilateral ties that have developed over more than 50 years.

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