Abu Dhabi-Tokyo Investment Forum launched in Tokyo

Tokyo - FEb 7, 2012 (WAM) - Chairman of Abu Dhabi Department of Economic Development (DED) Nasser Al Suwaidi on Monday opened the Abu Dhabi-Tokyo Investment Forum 2012 which aims to strengthen the strategic partnership with Japan. The forum was organised by DED in cooperation with the Higher Corporation for Specialised Economic Zones (ZonesCorp). A senior delegation from government departments, companies and national banks are taking part in the event. In opening remarks, Al-Suwaidi said: "for more than 40 years of mutual cooperation between Japan and the United Arab Emirates in general, and the Emirate of Abu Dhabi in particular, the two sides have experienced growing and sound bilateral relations within the international community. "The markedly dynamic relations between Abu Dhabi and Japan, is tan outcome of genuine and keen desire of top officials in both sides, to continuously promote and deepen mutual ties. This is evidenced by the reciprocal high delegations formal and regular visits. These outstanding relations have been furthered by the establishment of the "Abu Dhabi-Japan Economic Council (AJEC)" last January. The newly formed council is highly regarded as a landmark along the prominent path of joint cooperation; set with main aim to strengthen links between the two sides, facilitate ongoing trade relations and boost investments," he added. "Moreover, it is worth noting that the accelerating homogeneity of the Abu Dhabi-Japanese relations, perfectly enabled Abu Dhabi to become a key player in Japan-Middle East relations. This fact is clearly manifested, by the Department of Economic Development in Abu Dhabi, hosting of the office of the "Japanese Cooperation Centre for the Middle East (JCCME)" in its headquarters since 2009, which in turn paved the way for the (35th Japan Cooperation Forum for the Middle East) to convene in Abu Dhabi in 2010," he further said. He cited recent statistics which show that the value of total trade between the UAE and Japan during the period (Jan-Jun) 2011 increased by 30.5%, to reach US$23.82 billion, compared to the same period in 2010. Moreover, UAE's overall exports to Japan during the first half of 2011 amounted to US$20.65 billion, compared to US$14.67 billion for the same period in 2010, marking an increase by approximately 40%. On the other hand, figures of non-oil trade between UAE and Japan during the first half of 2011 revealed a reduction by 9%, compared to the same period in 2010, where the drop was mainly in the Japanese exports to UAE, which decreased by 11%. The decline in Japanese exports to the UAE could primarily be attributed to the impact of the great East Japan earthquake on the 11th of March 2011, and its implication on various sectors. "In Abu Dhabi we perceived the latest world financial and economic crises, as a practical examination for checking the efficiency of our national economy, and our ability to deal with or adapt to sudden regional and international developments, in addition to realising the degree of our openness towards the world economic system. The regional ongoing challenges, which include both economic slowdown and regional unrest, have undoubtedly proven, that the economic progress and stability that the emirate had accomplished over the last few years, was neither a coincidence nor a short-lived booming; however, it was the result of the sensible vision, sound planning and lucid thought of the emirate's leadership. Evidently, Abu Dhabi's economy has experienced an important shift along the recovery path in 2010, where total output grew by 15.9%, whereas non-oil GDP increased by 5.5% in 2010 compared to 1.3% in 2009, which in turn reflects improvement within non-oil activities. Moreover, non-oil GDP captured 50.3% of the emirate's total GDP, while oil GDP accounted for 49.7% in 2010. This also mirrors the steady progress along the emirate's diversification path," Al-Suwaidi added. "Based upon Abu Dhabi's firm fundamentals, it is clear that the emirate stands as a promising hub for investments and partnerships, stirred particularly by the government-targeted 10 focus sectors. These sectors enjoy great and effective government support, backed by huge infrastructure investments. In fact, Abu Dhabi offers a considerable package of incentives to foreign investors and companies wishing to invest in the emirate, including world-class infrastructure, free flow of capital, exemption from corporate and individual income tax, full repatriation of capital, free transfer of profits, in addition to full exemption of duties on capital and intermediate goods within the manufacturing industry. Moreover, the strategic geographical location reflects positively on the marketing ability of companies operating in the Emirate." He noted that the Department of Economic Development is working on the setting of a dedicated Investment Promotion Agency, which will act as the focal point for all foreign direct investors, to facilitate and promote inward investment in the emirate, provide proper feedback and furthermore act as an aiding tool to policy makers in order to regularly enhance the investment regulating framework. Besides, the agency will open international offices to promote the emirate as a globally competitive destination. The new agency will seek to identify areas of opportunities for potential investors, and serve as a one-stop shop for licensing and registration of business enterprises and venture projects. He also noted that Abu Dhabi government prioritises the boosting of FDI as a key priority, as the Abu Dhabi Economic Vision 2030 targets FDI to capture 23% of GDP by 2030. He described the prospective joint investments by UAE and Japan as promising. The UAE, he explained, is Japan's second largest provider of crude oil, which, in general, has attracted many Japanese investments to the energy sector. Investments figures also reveal that UAE is regarded as a major and primary destination for Japanese investments in the MENA region, as UAE is increasingly becoming home to major Japanese companies operating in the region. Recent statistics show that Japanese FDI in the UAE reached more than US$ 370 million by the end of 2010. He commended "the exceptional efforts of the Japanese authorities and the people of Japan to overcome the impacts of the Great East Japan Earthquake. "Since March 11th earthquake and tsunami, Japan took great strides along the path of recovery and healing, where the government quick efforts and actions were widely hailed in Japan and worldwide. Hence, we praise and honour the magnificence and cohesion of the Japanese society, where every individual did perform his role efficiently. I do believe that the disaster has revealed the actual solidity and resilience of the Japanese society and the country's technical advancement. Japan is a nation that deserves respect and appreciation. Personally, I highly regard the leading role of the Japanese SMEs in the speeding up of recovery, which, surely, entails several success stories. Therefore, I cordially encourage the Japanese government to share the accumulated experiences and skills that enabled the harmonious coexistence with nature. I believe the Japanese dissemination of this kind of expertise would enrich the international community with lustrous wealth and primacy of how to cope with natural disasters. During the sixty-sixth session of the United Nations General Assembly last September, H.E. Mr. Yoshihiko Noda, Prime Minister of Japan, revealed key guidelines regarding the realisation of the sustainable growth of the Japanese economy, through the promotion of a low-carbon society and the transition into a green economy. He also said that the Prime Minister of Japan had identified technological innovation in areas of renewable energy, energy saving, and clean use of fossil fuels as key leverage for Japan's sustainable growth. He stressed that "with Abu Dhabi's promising future and prospects of becoming a regional and international powerhouse for knowledge and technology in renewable and sustainable energy, the conditions now are favourable and the way ahead is paved. Today, this forum represents the ideal platform for tapping current, potential and forthcoming investment opportunities. In addition, the designation of Abu Dhabi, as the headquarters of the International Renewable Energy Agency (IRENA), emphasises Abu Dhabi's position as the promising hub for renewable energy, and reaffirms its contribution to the global renewable energy industry. Al-Suwaidi urged Japanese and UAE investors to work in cooperation and aim high to attain the objectives of our societies. - Emirates News Agency, WAM