The Zionist entity on Monday signed a tax treaty with the United Arab Emirates aimed at bolstering economic ties between the two sides as they pursue normalization, the finance minister said.
“This is a historic agreement that will stimulate the development of economic ties between the countries,” Finance Minister Israel Katz said in a tweet announcing the deal.
He said the agreement would “provide certainty and favorable conditions for extensive business activity.”
The deal, which must still be ratified by the Knesset, is the latest move following the normalization of ties between the two sides last year.
With their economies hit hard by the coronavirus pandemic, the UAE and ‘Israel’ are hoping for rapid dividends from the US-brokered normalization deal signed in September known as the Abraham Accords.
They have already signed several treaties, including on direct flights and visa-free travel, investment protection, science, and technology.
The Finance Ministry said the latest treaty stipulates lower taxes to encourage investment.
The UAE was the third Arab country to normalize ties with the Zionist entity, following Egypt in 1979 and Jordan in 1994. Bahrain, Sudan, and Morocco have since followed suit, sparking anger among Arab and Muslim countries.
Source: Israeli media