Ukraine’s Cabinet of Ministers has approved a draft law to ratify the Comprehensive Economic Partnership Agreement (CEPA) with the United Arab Emirates last week, advancing the process toward implementing a free trade regime between the two countries.
The bill will now be submitted to the Verkhovna Rada for ratification. The agreement aims to liberalise trade in goods and services, offering Ukrainian exports full access to the UAE market.
“The Comprehensive Economic Partnership Agreement improves opportunities for Ukrainian businesses on the global market,” said First Deputy Prime Minister and Minister of Economy Yulia Svyrydenko. She emphasized that the agreement would reduce tariff barriers and support the growth of Ukrainian production and exports.
Exports are expected to increase in sectors such as metallurgy and the food industry, including flour milling and oil production. The agreement also removes a 49% limit on foreign capital ownership by Ukrainian businesses in the UAE, allowing ownership of up to 70% in general sectors and up to 100% in select fields such as commercial services, education, healthcare, and construction. In free economic zones, Ukrainian firms can fully own their operations.
The agreement covers digital trade by removing tariffs on electronic transmissions and setting standards for digital payments, data protection, and cross-border e-commerce.
The CEPA excludes territories under foreign occupation until Ukraine restores full control. It will enter into force 60 days after both parties exchange official diplomatic notes confirming completion of internal procedures.
