Italy & UAE Finalise USD 40 B Investment Deal Across Key Sectors

Italy and the United Arab Emirates have finalised a USD 40 billion investment agreement. The deal positions Italy as the UAE’s top non-oil trading partner in Europe, and marks one of the largest foreign investments in the country’s history.

UAE President Mohamed bin Zayed travelled to Italy to conclude the agreement with Prime Minister Giorgia Meloni, with the announcement made at the Italy-UAE Business Forum in Rome. More than 40 bilateral agreements were signed across key sectors, including energy, artificial intelligence, telecommunications and defense.

Major Italian companies such as Eni, Enel, Cassa Depositi e Prestiti, Fincantieri, Leonardo, Intesa Sanpaolo, and TIM will play central roles in implementing the investment plan. The agreement places a strong emphasis on future-oriented industries, with a focus on digital connectivity, advanced manufacturing, critical minerals, and space exploration. Two space-sector agreements were signed, including Italy’s involvement in the Rashid Rover 3 mission and the Emirates’ asteroid mission.

Beyond economic collaboration, the deal expands defense cooperation, shifting from military collaboration to industrial partnerships. Discussions also addressed the development of an economic corridor linking India to Europe via the Middle East, a project expected to significantly reduce trade transit times. Italy’s investment in the UAE has grown by 50% in the past five years. Non-oil bilateral trade between the two nations reached USD 14.1 billion in 2024, marking a 21.1% increase from the previous year.