UAE, Israel to cooperate on financial services, investment

ISLAMABAD: The United Arab Emirates and Israel agreed on Tuesday to set up a joint committee to cooperate on financial services, aiming to promote investment between the two countries, an Israeli statement said.

An Israeli delegation was in Abu Dhabi on a historic trip to finalise a pact marking open relations between Israel and the Gulf state, international media reported. Representatives from both countries signed the understanding, Israeli Prime Minister Benjamin Netanyahu said in the statement.

One focus, Netanyahu said, would be on “cooperation in the field of financial services and removing financial barriers for making investments between the countries, as well as promoting joint investments in the capital markets.”

The countries will also collaborate in banking services and payment regulations, he said. The US-Israeli delegation left Abu Dhabi after the visit. Jared Kushner, President Donald Trump’s son-in-law and White House adviser, led the delegation that arrived in the Emirati capital Monday on the first ever direct commercial flight from Ben Gurion Airport near Tel Aviv. The Israeli press celebrated the historic flight, which was also allowed to cross the airspace of Saudi Arabia.

Kushner also visited a UAE air base Tuesday where the US operates F-35 stealth fighter jets coveted by Abu Dhabi — the thorniest issue in the Emirates´ newly established ties with Israel.

Israel has denied reports that the deal hinges on the sale of US F-35s to the UAE, with Prime Minister Benjamin Netanyahu saying he opposes a move that could reduce its strategic edge in the region.

The national security advisors, Israel´s Meir Ben-Shabbat and the UAE´s Sheikh Tahnoun bin Zayed, joined Kushner for the talks on cooperation between the two highly developed Middle East economies.

Meanwhile, after the UAE visit, Kushner set off on a tour of other Gulf capitals on Tuesday, looking for more Arab support. In remarks reported by the UAE state news agency WAM, Kushner suggested other Arab states could follow quickly. Asked when the next would normalize ties with Israel, he was quoted as saying: “Let’s hope it’s months.”

Kushner later flew to Bahrain, and is expected also to visit Saudi Arabia and Qatar. In Bahrain, which houses the U.S. naval headquarters for the region, the state news agency reported that during his meeting with Kushner, King Hamad bin Isa Al Khalifa had praised the role the UAE has played in defending Arab and Islamic interests.

Meanwhile, Iran´s supreme leader Ayatollah Ali Khamenei accused the United Arab Emirates of betraying the Muslim world with its agreement to normalise relations with Tehran´s arch-foe Israel.

“The UAE betrayed the world of Islam, the Arab nations, the region´s countries, and Palestine,” Khamenei said in a speech, excerpts of which were broadcast by state television.

“Of course, this betrayal won´t last long but the stigma will stay with them,” he added.

“I hope the Emiratis soon wake up and compensate for what they have done,” Khamenei said.

“The UAE rulers opened the door of the region to the Zionists, and they have ignored and normalised the question of Palestine.”