UAE Announces €40 Billion Investment in Germany During Sheikh Mohamed’s Visit

During his state visit to Berlin UAE has committed to an investment worth EUR40 billion in Germany. It comes after talks with German Chancellor Friedrich Merz and will foster economic and technological ties between the two countries.

The new pledge on investment follows the UAE’s already established presence in Germany with some €34 billion invested. The broadened partnership involves strategic sectors with the potential to shape the future of both economies such as artificial intelligence, digital infrastructure, advanced manufacturing, clean energy, and more.

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AI and Digital Infrastructure at the Centre

Investment in the digital economy in Germany will be a key priority in the investment programme. Projects sponsored by the UAE are likely to fund highly- developed data-centre facilities, consisting of roughly one gigawatt of capacity.

AI and digital infrastructure underscore the increasing role of computing power, data centers and cutting-edge technologies in Germany’s industry competitiveness. The partnership may also lead to possibilities for German technology companies and UAE investors to collaborate on ventures.

€10 Billion Investment Planned for Bavaria

The Italian state’s investment strategy calls special attention to Bavaria where investment of €10 billion will be made in the state of Bavaria. There are significant industrial, engineering, automotive and technology capabilities present in the area.

The allocation could enhance linkages of manufacturing and research abilities from Germany and investment by the UAE. It also shows that the cooperation is not limited to Berlin but is also taking place in the most important industrial port cities of Germany.

Focus on Industry and Clean Energy

The investment programme is also anticipated to help in promoting advanced manufacturing and the industries of the future. Germany’s engineering offers opportunities for long-term international partnerships with UAE’s capital.

A key component of the economic relationship is clean energy and green hydrogen. Joint collaboration has the potential to help the two countries tackle energy transition towards a lower carbon sector and build future energy security.

€9.4 Billion in Corporate Agreements

In addition to the overall investment pledge, 29 commercial pledges valued at over €9.4 billion were signed by companies from the UAE and Germany. These pledges include those relating to energy matters, defence cooperation and logistics.

As a combination of investment and corporate partnerships, they represent a greater shift in the UAE-Germany business relationship from simply trade to technology and infrastructure, industrial development and strategic sectors.

FAQs

How much is the UAE investing in Germany?

UAE has pledged a £40 billion investment in Germany while visiting the country.

In which sectors will investing take place?

The investment programme supports investments in artificial intelligence, digital infrastructure, advanced manufacturing and other important industrial sectors related to clean energy.

How much does the “earmarking” amount to in Bavaria?

Approximately €10 billion of the committed investment funds will be allocated to projects within Bavaria