The United Arab Emirates (UAE) proposed an implementation roadmap for specific projects aimed at establishing Cyprus as an energy hub for the wider region and Europe, according to information received.
Intensive high-level contacts preceded the visit of UAE President Mohammed bin Zayed al Nahyan to the Republic of Cyprus on Sunday, focusing on identifying projects aligned with the UAE’s investment interests. Government sources emphasized that the UAE’s interest in investing in Cyprus is “intense and high.”
On Saturday, the UAE Minister of Foreign Trade met with Cypriot Ministers to discuss specific investment opportunities. He also participated in a business forum organised by the Presidency, KEBE (Cyprus Chamber of Commerce and Industry), and Invest Cyprus. The forum included a representative from the Federation of UAE Chambers and Cypriot and Emirati businesspeople.
Focus on Strategic Energy Partnership
According to government sources, energy cooperation appears to be among the UAE’s top investment priorities for Cyprus. They submitted a proposal for drafting a Comprehensive Strategic Energy Partnership that will function as an implementation roadmap for specific projects. These projects aim not only to promote energy initiatives but also to establish Cyprus—through collaboration with the UAE—as an energy hub for the broader region and the EU. The plan encompasses a wide spectrum of energy sources, including Renewables (RES), Storage, Natural Gas, and more.
The same sources confirmed a clear willingness to explore specific investment projects, prioritising the LNG Terminal, which the UAE highlighted as the most mature project. Interest also includes participation in the Cypriot Exclusive Economic Zone (EEZ), AI-enabled Data Centres, and port infrastructure, such as the Larnaca port and the commercial port at Vasilikos.
The UAE also showed interest in private sector mixed-use development projects, subsea data cables, electricity interconnections, RES and Storage projects, and the technological park at Pentakomo. Information suggests the UAE will also extensively study Invest Cyprus’s project bank.
Furthermore, within the framework of the business forum, a Memorandum of Understanding (MoU) was signed between KEBE, Invest Cyprus, and the Federation of UAE Chambers of Commerce & Industry, establishing the UAE-Cyprus Joint Business & Investment Council. This Council will function as an institutionalised mechanism for bilateral cooperation, aiming to promote investments, strengthen business connectivity, and foster permanent dialogue among the involved economic bodies.
“The message is that a new chapter of ambitious, practical, and strategic cooperation is opening, where diplomacy translates into investments, political trust turns into growth, and Cyprus emerges as a stable and reliable hub in the Eastern Mediterranean—a country that can attract investments while strengthening the European Union’s role in its wider neighbourhood,” government sources noted.
The Significance of a Historic Visit
Government Spokesperson Constantinos Letymbiotis had already described today’s visit as “historic” in a written statement. Government sources pointed out that the UAE President rarely makes visits, and the UAE had made it clear that such a visit would only take place when bilateral relations reached a strategic point warranting it. “It is clear that its realisation reflects precisely this: that the Cyprus-UAE relationship now possesses the necessary political capital, institutional weight, and mutual trust to yield specific deliverables, signatures, and an implementation horizon,” the sources stated.
The visit provides a unique opportunity to capitalise on the UAE’s declared intent to invest in the Republic of Cyprus, as, for the UAE, economic relations constitute an integral and necessary part of bilateral relations. Their political objective for a more active presence in the Eastern Mediterranean visits a critical turning point to solidify political-level understandings and translate them into economic cooperation and investments.
The government assesses that the factor which decisively boosted the Republic of Cyprus’s image in the UAE was Cyprus’s initiative to design and implement the maritime corridor for humanitarian aid to Gaza under the Amalthea Initiative. Through the corridor, government sources believe, the image of the Republic of Cyprus was enhanced in the UAE, as it proved to be a reliable partner capable of carrying out difficult missions, mobilising cooperation with EU member states, and effectively promoting shared interests. “This specific collaboration strengthened our country’s profile at the international level, at a time when the UAE invests in using humanitarian aid as a foreign policy tool, making Amalthea and the cooperation with us a point of reference for reliability and operational capability,” the sources added.
Strengthening UAE-EU Relations During Cyprus’s Presidency
A key priority of the Cypriot Presidency of the Council of the EU (starting January 1, 2026) is the further strengthening of relations between the European Union and the Gulf Cooperation Council, with specific content and measurable steps. Within this framework, collaboration with the Republic of Cyprus on technical and political issues has proven invaluable, government sources assess. On a range of issues, such as initiating talks for an EU-UAE Free Trade Agreement (FTA), the Republic of Cyprus has substantially and effectively helped achieve positive decisions.
Negotiations with the European Commission for concluding an FTA are a major issue for the UAE. Four rounds of negotiations have already taken place in less than a year—a pace considered a record—and sources indicate that the UAE seeks further acceleration, potentially during the Cypriot Presidency.
Furthermore, the Republic of Cyprus is among the EU member states that responded to the UAE’s request to send a letter to the relevant Trade Commissioner, supporting the request to promote a separate FTA, with a letter from the Foreign Minister dated July 16, 2024. Cyprus intends to send a new letter to the President of the European Commission to expedite technical procedures.
Other Agenda Items
The agenda for the summit meeting covered four main axes: bilateral relations, the Cypriot Presidency of the EU Council, regional issues, and the Cyprus issue.
Regional issues discussed included Gaza and Israel, Amalthea, the Interreligious Centre, Syria, Lebanon, Sudan, and Ukraine. The aim was to identify new areas of cooperation and elevate the strategic relationship as a foundation for regional convergence and bridge-building.
Gaza: The framework of the two-state solution and commitment to progress towards a political solution were noted, along with the Republic of Cyprus’s 6-point proposal. For Amalthea, there is a prospect for further strengthening the Amalthea Fund.
Syria: Sources indicate the UAE seeks to function as a key Arab channel to the new Syria and has active economic involvement, citing DP World and the port of Tartus. DP World also manages the Limassol port.
Lebanon: The reopening of the UAE Embassy in Beirut in 2025 and Lebanon’s preference for UAE involvement in future funding of strategic projects, such as the electricity interconnection—for which the Republic of Cyprus and Lebanon have submitted a joint study proposal—were highlighted.
Ukraine: The International Coalition for the Return of Ukrainian Children was noted, and the Republic of Cyprus’s readiness to cooperate and assist in related initiatives was expressed.
On the Cyprus Issue, it was noted that the UAE traditionally supports a solution based on relevant United Nations resolutions, and an update on the latest developments was provided.
(information from CNA)