Dominic Johnson Explores Kuwait and UAE for a Piece of Gulf’s Trade and Investment Pie

Post-Brexit, the UK has gotten very ambitious to stay ahead of Europe in terms of trade and investment. It has been expanding its horizons from Asia-Pacific, to Africa, and now to the Gulf. Dominic Johnson, the UK’s minister for investment, is vying for multi-billion-dollar trade and investment relationships in Kuwait and UAE. 

Johnson met Sheikh Salem Abdullah Al-Jaber Al-Sabah, Kuwait’s Minister of Foreign Affairs, on Wednesday. They discussed the historical ties and strategic partnership between the two countries, the need to attract investors and encourage British companies to invest and establish a presence in Kuwait. 

“The UK and Kuwait have a growing, dynamic trade and investment relationship, and I’m delighted to be here this week as the Kuwait Investment Authority celebrates 70 years since it was the first sovereign wealth fund to be created in the Gulf. We want to forge a new industrial partnership between our two great nations, which already enjoy huge levels of investment between each other.” 

In the UAE, the UK minister will hold roundtable talks with representatives of Rolls Royce and BAE, meet officials from the Dubai International Financial Center, the Investment Corporation of Dubai, and other key stakeholders. Besides promoting the United Kingdom, Johnson will emphasize a trade deal with the GCC as a huge catalyst for investment. He described the United Arab Emirates as a significant partner for the UK. “In 2021, we had over £12 Billion of investment stock and nearly £22 Billion of bilateral trade, and through a UK-GCC trade deal we can strengthen our lives with the UAE and Kuwait even further.” 

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According to the Department for Business and Trade, the value of inward FDI stock in the UK from Kuwait, in 2021, was £367 Million, a 14 percent increase year-on-year. Between the UK and Kuwait, the total value of trade in goods and services was £21.6 Billion in the four quarters to the end of 2022 – an increase of 63 percent. Moreover, the UAE was the UK’s 19^th largest trading partner during the four quarters to the end of 2022. 

UK Trade Secretary Anne-Marie Trevelyan said the UK-GCC deal would mean significant benefits for British farmers and producers, as the Gulf is highly dependent on imported food. The deal would help unlock more opportunities for investment between the UK and GCC countries.