UAE + Malaysia ink maritime, food security MoUs: The Ministry of Investment inked an MoU with Malaysia’s Perak State Development Corporation to develop a multipurpose terminal at Began Datuk Port and collaborate on global food security, according to a statement released on Thursday. The agreement was signed by Investment Minister Mohamed Hassan Alsuwaidi and Perak State Development Chairman Yab Dato’ Seri Mohamed during the 2nd ASEAN-GCC Economic Forum held in Malaysia.

The multipurpose terminal is set to operate as a key gateway for Malaysia’s food exports, located as a link between China, members of the Association of Southeast Asian Nations (ASEAN), and the GCC, Wam reported on Friday. The agreement also covers the development of Halal Industries and AI hub at the port, Edge Malaysia reported on Thursday.

Background: The project comes a few months after the pair signed a comprehensive economic partnership agreement (CEPA) with Malaysia earlier this year. The project also looks to build on the pair’s non-oil trade, with the UAE standing out as Malaysia’s second-biggest trading partner in the MENA region, accounting for 32% of the nation's total trade in the region. Bilateral trade hit USD 4.9 bn in 2023 and USD 4 bn in the first nine months of 2024, Wam added.

Not just seaports: The UAE also secured a presence in Malaysia’s airports after a consortium comprising Abu Dhabi Investment Authority (Adia), Global Infrastructure Partners (GIP), Khazanah Nasional Berhad, Malaysia’s Employees Provident Fund (EPF), and BlackRock acquired an 84.1% stake in the country’s main airport operator Malaysia Airports earlier in January. The consortium had first made an offer in May 2024 to acquire shares in Malaysia Airports at RM 11 each, valuing it then at RM 18.4 bn (USD 4.1 bn).

There’s more for UAE in the pipeline: DP World is working to finalize a JV with Malaysia’s Suria Capital for the development of the Sapangar port. DP World also inked an agreement with Malaysia’s Sabah Ports to jointly manage SBSCP last year.

IN OTHER DIPLOMATIC UPDATES-

Iran and Oman have reportedly signed a preferential trade agreement (PTA), and over a dozen MoUs during Iranian President Masoud Pezeshkian's visit to Muscat last week, Tehran Times reports. Iranian outlets are the sole reporters of this development so far. Pezeshkian indicated the possibility that the value of trade between the two nations can reach USD 20 bn to USD 30 bn, the outlet reports.

Trade in numbers: Iran saw a trade surplus of USD 764 mn with Oman between March 2024-25, up from USD 570 mn in the prior year, Tehran Times reported last month.

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