Dubai: Investments from the UAE in Italy exceeded €2 billion (Dh7.8 billion) in 2014 and is expected to increase further, according to Italian Ambassador Giorgio Starace.
“Due to the potential investments in Italy across most of the economic sectors — especially in technology, aviation, real estate, infrastructure and acquisition — we expecting further investments from the UAE in the coming two years,” he said. speaking to Gulf News on the sidelines of UAE-Italy forum on Tuesday.
The inflow of investment is helped by a comprehensive programme of Italian reforms designed to pave the way for foreign investments, which has encouraged UAE-based companies, such as Etihad Airlines and Mubadala, to invest heavily in the country.
“Most of the investment laws and regulations have been upgraded by the Italian authority. Today, Italy is a very open market and convenient market to be a hub for UAE companies,” he said.
“It is the right time for UAE businesses to come Italy,” he added.
The UAE-Italy bilateral trade stood at €6.2 billion in 2014, an amount that represents more than half of the Italy’s trade with the Gulf Cooperation Council (GCC) countries, which totalled €12 billion in 2014, Starace said.
While Italian exports to the UAE stood at €5.4 billion, imports from UAE to Italy were estimated at €600 million in 2014. The majority of the imports are jewellery, machinery, furniture, fashion and food.
Starace was expecting further growth in the Italian exports, due to the fall of the euro.
“The depreciation of the euro and drop in oil price is a blessing for Italy economy,” Starace said. “The drop in euro value has made the Italian exports very competitive even to China’s. Today, the prices of most of products made in Italy have almost the same price of Chinese products,” he said.
Hamad Bu Amim, President and CEO of the Dubai Chamber of Commerce and Industry, said that Italy is the third largest trade partner to the UAE after Germany and UK preceding France.
“While the UAE trade with Europe stood at €55 billion in 2014, Italy’s share of trade with UAE estimated by 11 to 12 per cent,” he said. He agreed that the Euro’s depreciation, along with the fall in oil prices, are a blessing to Italy economy.
Ferdinando Fiore, Italian Trade Commissioner, said that the UAE-Italy economic relation is growing at a steady peace. He said that since the Italian trade commission came to Dubai in 2003, the number of Italian companies has grown from 60 to over 300 companies.