Israel UAE | Business Guide | 2021

U AE serves as a global business and commerce hub, connecting the Persian Gulf countries with the rest of theworld. From the Israeli perspective, UAE serves as a gate to other areas of the world. Among SMEs, there is scope for cooperation in Hi-Tech (includingmedical equipment anddevices, Cyber, Fin-Tech andmore), defense industries, agriculture and agro-tech, diamond merchants and more. Gateway to the Start-up Nation More than 300 international Hi-Tech companies are operating R&D centers in Israel. In addition, Israel has military R&D centers, which are aggregated under the Combat Equipment and Technological Infrastructures Research andDevelopment Administration of theMinistry of Defense, and develop defense-related technological infrastructures and combat equipment. Israel’s Hi-Tech industry has had 138 exit transactions in 2019 , for a total value of USD 21 . 7 Billion, of which 122 were M&A transactions. Despite the Pandemic, there were 52 exit transactions in the first half of 2020 valued at USD 5 . 8 Billion. Synergies between the Small Business sectors in Israel and UAE The numbers of SMEs and their contributions to local GDP are similar in both countries - more than 550 , 000 SMEs are operating in Israel and these businesses contributed 54 %to theGDP of the business sector. More than 400 , 000 SMEs are operating in UAE and contributed about 52 % of non-oil related GDP. The two countries also have several similar macro- economic characteristics. The monetary extent of GDP and the GDP per capitawere close to similar in 2019 . Both countries enjoy high credit rankings, AA for the UAE and AA- for Israel. What does the Israel-UAE normalization agreement deal mean for the UAE and Israeli SMEs? | Leroy Pinto Role of SMEs in UAE-Israel Relations The writer is Head of Sales &Marketing Solutions at CRIF Gulf DWC LLC SMEs < 47