Introduction
The United Arab Emirates has established itself as a global trade hub through strategic economic partnerships that connect markets across continents. Two agreements that showcase this approach are the Comprehensive Economic Partnership Agreements with Mauritius and Serbia. These partnerships represent important milestones in the UAE’s trade strategy, connecting the Emirates to Africa and Eastern Europe respectively.
The UAE-Mauritius CEPA, signed on July 22, 2024, came into force on April 1, 2025, marking the first such agreement between the UAE and an African nation. The UAE-Serbia CEPA, signed on October 5, 2024, became operational on June 1, 2025, representing the first UAE partnership with a country outside the World Trade Organization framework, as Serbia is currently in the process of WTO accession. Together, these agreements form part of the UAE’s broader CEPA programme, which aims to increase total non-oil trade to USD 1.1 trillion by 2031.
Background and Context
UAE-Mauritius Partnership
The relationship between the UAE and Mauritius builds on nearly five decades of diplomatic ties. In 2023, bilateral non-oil trade reached USD 170.4 million, representing 14.5 percent growth compared to 2022. The UAE stands as the eighth-largest investor in Mauritius, with USD 13.2 billion invested in projects across tourism, real estate, renewable energy, and technology sectors. From January to April 2024, non-oil trade between the two nations reached USD 76 million, an increase of 82.5 percent over the same period in 2023.
The negotiations for the CEPA concluded remarkably quickly, with terms finalized just four months after the first round of talks in December 2023. The agreement was witnessed by Prime Minister Pravind Kumar Jugnauth of Mauritius and His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai. The signing ceremony in Dubai involved Dr. Thani bin Ahmed Al Zeyoudi, UAE Minister of State for Foreign Trade, and Maneesh Gobin, Minister of Foreign Affairs, Regional Integration and International Trade of Mauritius.
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UAE-Serbia Partnership
The UAE-Serbia economic relationship has grown substantially in recent years. Bilateral non-oil trade reached approximately USD 121.4 million in 2024, double the level recorded in 2021. The UAE is Serbia’s leading trading partner in the Gulf Cooperation Council, accounting for approximately 55 percent of Serbia’s total trade with the region in 2023.
The CEPA was exchanged in the presence of UAE President His Highness Sheikh Mohamed bin Zayed Al Nahyan and President Aleksandar Vučić of Serbia. The agreement was signed by Dr. Thani bin Ahmed Al Zeyoudi and Tomislav Momirović, Serbia’s Minister of Internal and Foreign Trade. During a Dubai Chambers mission to Belgrade in January 2026, discussions focused on strengthening trade and investment ties in priority sectors including food and agriculture, tourism, renewable energy, and logistics.
Aims of the CEPAs
Economic Growth Targets
The UAE-Mauritius CEPA is projected to enhance UAE GDP by 0.96 percent and add more than 1 percent to the Mauritian economy by 2030. The agreement aims to boost bilateral non-oil trade from its current level of approximately USD 209.8 million to USD 500 million within five years, including a fourfold increase in UAE exports to Mauritius.
The UAE-Serbia CEPA projects a substantial increase in bilateral trade that will contribute USD 351 million to UAE GDP by 2031. This growth is expected through enhanced market access and private sector collaboration across priority sectors.
Strategic Market Access
For the UAE, Mauritius serves as a gateway to African markets. The island nation’s location in the Indian Ocean and its economic dynamism make it a valuable partner for expanding UAE business interests across the African continent. Mauritius posted 8.5 percent GDP growth in 2022, the fastest rate in 35 years, with its services sector accounting for 67 percent of GDP.
Serbia provides the UAE with access to Eastern Europe and the Balkans. Located strategically in Southeast Europe, Serbia offers trade links to EU markets and the Central European Free Trade Agreement bloc.
Key Features of the Agreements
Tariff Elimination and Reduction
Under the UAE-Mauritius CEPA, over 97 percent of UAE exports to Mauritius benefit from immediate tariff elimination or gradual tariff reduction over a maximum of five years. Mauritius will eliminate 99 percent of tariffs on imports from the UAE, while the UAE will eliminate 97 percent of its tariffs on Mauritian goods.
The UAE-Serbia CEPA provides for elimination or reduction of customs duties on over 96 percent of tariff lines. More than 96 percent of UAE imports from Serbia receive immediate tariff elimination, while more than 95 percent of Serbian imports from the UAE benefit from immediate tariff elimination.
Trade in Services
Both agreements establish clear and transparent rules to facilitate cross-border supply of services. Service providers enjoy favourable treatment across multiple sectors and subsectors, including professional services, financial services, logistics, maritime transport, travel and tourism, and air transport services.
The services sectors in both Mauritius and Serbia offer substantial potential for UAE companies. Mauritius, with its well-developed financial services industry, provides opportunities for collaboration in telecommunications, computer and information services, travel, transport, and financial services. Serbia’s emerging technology sector, particularly in health tech, gaming, biotechnology, and blockchain, presents opportunities for UAE companies from the digital economy.
Investment Facilitation
Both CEPAs include provisions aimed at promoting and enhancing investment flows between the countries. The agreements identify opportunities for expanding investment, address investment impediments, and establish mechanisms for collaboration with the business community. Specific attention is given to targeted investment in fintech, healthcare, tourism, renewable energy, agriculture, logistics, and technology sectors.
Support for Small and Medium Enterprises
Recognizing the specific needs of SMEs, both agreements seek to make it easier for small and medium-sized enterprises to grow their businesses and attract investment. The CEPAs provide information and establish joint platforms to assist SMEs in developing linkages and building capacities.
Digital Trade Framework
Both agreements bring greater coherence to digital trading, recognizing the importance of the continuously evolving digital landscape in today’s global economy. The CEPAs maintain the practice of not imposing customs duties on electronic transactions, reaffirm the importance of cybersecurity, and provide an economic collaboration framework on digital trade issues.
Government Procurement Transparency
The agreements establish contact points and create mechanisms for both sides to cooperate on government procurement matters. For the UAE-Mauritius CEPA, this includes transparency in government procurement processes. For the UAE-Serbia CEPA, the focus is on cooperation, information sharing, and consultation to bring greater transparency to procurement-related matters.
Intellectual Property Protection
Both CEPAs complement existing international principles and standards for the treatment, protection, and enforcement of intellectual property rights in a manner conducive to invention, innovation, and creativity.
Trade Facilitation and Customs Cooperation
The CEPAs make it easier for goods to move across borders in a simple, less costly, and timely manner through trade facilitation and customs cooperation arrangements. This includes streamlined procedures, reduced documentation requirements, and enhanced cooperation between customs authorities of the partner countries.
Dispute Settlement Mechanism
Both agreements include state-to-state trade dispute settlement mechanisms that reinforce the partners’ commitment to trade liberalization. These mechanisms provide a framework for resolving any disputes that may arise in the implementation of the agreements.
Impact and Benefits for the UAE
Enhanced Market Access
The agreements provide UAE exporters with preferential access to two strategically important markets. For products where tariffs are eliminated immediately, UAE businesses gain a competitive advantage. For products with gradual tariff reduction, the predictable timeline allows businesses to plan their market entry strategies effectively.
UAE companies can leverage Mauritius as a platform to access broader African markets, taking advantage of the island nation’s trade agreements and regional relationships. Similarly, Serbia provides access to markets in the Balkans and potential routes into the European Union, given Serbia’s ongoing accession process.
Diversification of Trade Partners
These partnerships contribute to the UAE’s strategy of diversifying its trade relationships across different geographical regions. By establishing strong links with an island nation in the Indian Ocean and a landlocked European country, the UAE reduces dependence on any single market or region and creates a more resilient trade network.
Sector-Specific Opportunities
The agreements open opportunities across multiple priority sectors. In renewable energy, both Mauritius and Serbia offer prospects for UAE companies with expertise in solar, wind, and other clean energy technologies.
In agriculture and food security, both agreements facilitate increased trade in agricultural products. Serbia’s fertile land and agricultural expertise complement UAE food security objectives, while Mauritius provides opportunities in processed foods and agricultural value chains.
The technology sector presents significant opportunities, particularly in Serbia. Dubai Chambers held discussions highlighting opportunities in artificial intelligence, health tech, gaming, biotechnology, and blockchain. UAE companies can collaborate with Serbian technology entrepreneurs and benefit from Serbia’s skilled workforce in these areas.
Tourism and hospitality represent another area of mutual interest. UAE expertise in tourism infrastructure and services can support development in both Mauritius and Serbia, while these destinations offer opportunities for UAE investors in hotels, resorts, and tourism facilities.
Logistics and Supply Chain Benefits
The agreements strengthen the UAE’s position as a global logistics hub. By facilitating trade with Mauritius and Serbia, UAE ports and logistics facilities can handle increased cargo volumes. The agreements specifically highlight opportunities in warehousing, distribution, and supply chain infrastructure.
Growth in Business Engagement
The implementation of these CEPAs has already shown tangible results in business engagement. Non-oil trade between Dubai and Serbia reached AED 335.8 million in 2024, representing 43.5 percent year-on-year growth. During 2025, 109 Serbian companies joined Dubai Chamber of Commerce, taking the total number of active Serbian member companies to 308 by the end of the year, representing 36.9 percent annual growth.
The UAE-Mauritius relationship has seen similar momentum, with the projected growth in bilateral trade to USD 500 million within five years demonstrating the confidence both governments have in the partnership’s potential.
Contribution to UAE Economic Goals
These CEPAs form part of the UAE’s broader economic strategy. The CEPA programme is a cornerstone of the UAE’s objectives to increase total non-oil trade to USD 1.1 trillion by 2031 and double the size of the economy to USD 800 billion by 2031.
As the 10th CEPA to come into force, the Serbia agreement adds to a growing network that now spans the Middle East, Africa, Southeast Asia, South America, and Europe. The Mauritius CEPA, as the first with an African nation, opens an entire continent for deeper engagement.
Job Creation and Economic Development
The agreements are expected to create employment opportunities in both countries through increased trade and investment. As UAE companies expand operations into Mauritius and Serbia, and as businesses from these countries establish presence in the UAE, new jobs are created across various sectors.
Knowledge Exchange and Innovation
Beyond trade and investment, the CEPAs facilitate knowledge exchange and innovation. The agreements encourage joint ventures, technology transfer, and collaboration between businesses, academic institutions, and research centers.
The UAE’s Comprehensive Economic Partnership Agreements with Mauritius and Serbia represent strategic additions to the Emirates’ global trade network. These partnerships demonstrate the UAE’s commitment to building diverse, mutually beneficial relationships that connect markets across different continents and economic systems.
The UAE-Mauritius CEPA, as the first agreement with an African nation, establishes a foundation for deeper engagement across the African continent. With Mauritius’s strategic location, growing economy, and established services sector, this partnership offers UAE businesses multiple pathways for expansion into African markets.
The UAE-Serbia CEPA breaks new ground as the first agreement with a non-WTO member country, showcasing the UAE’s flexibility and willingness to work with emerging economies on their path to greater global integration. Serbia’s position as a gateway to Eastern Europe and the Balkans, combined with its diverse economy and skilled workforce, makes it a valuable partner for UAE businesses seeking to expand into these regions.
For the UAE, the benefits of these agreements extend beyond immediate trade gains. They contribute to economic diversification, enhance food security through agricultural partnerships, support clean energy transitions through renewable energy cooperation, and facilitate technology transfer and innovation. The agreements create opportunities for UAE companies of all sizes, with specific provisions supporting small and medium enterprises in their international expansion.
The implementation of these CEPAs has already shown positive results, with growing trade volumes, increasing business memberships in chambers of commerce, and expanding investment flows. As the agreements mature and businesses become more familiar with the opportunities they present, these benefits are expected to multiply.
Looking ahead, these partnerships will continue to evolve through the administrative structures established in the agreements. Regular meetings between committees and subcommittees will allow both sides to address challenges, explore new opportunities, and deepen cooperation.
As part of the broader CEPA programme, the Mauritius and Serbia agreements demonstrate how strategic trade partnerships can advance national economic objectives while creating genuine value for businesses and citizens in all partner countries. They reflect a modern approach to international trade that goes beyond simple tariff reduction to encompass investment facilitation, digital trade, intellectual property protection, and sustainable economic development.
