Capitalizing on Geoeconomics: Opportunities for Israel and UAE in Post-Abraham Accords Era

Abstract

In 1990, Edward N. Luttwak emphasized the importance of geoeconomics in shaping the patterns of geopolitics. Traditionally assumed as a conflict prone region, the economic cooperation in the Middle East is believed to be taking its course as a transformative strategy and part of economic foreign policy to secure the vital national interest. In this regard, the economic significance of Abraham Accords cannot be overlooked. The Accords, signed between Israel and four Arab states (UAE, Bahrain, Sudan and Morocco) in 2020-21 have the potential to transform and uplift the economy of the signatory states. These have ushered in unprecedented trade and investments opportunities for the region, in general, and UAE and Israel, in particular. The Accords have afforded an excellent opportunity for economic collaboration between UAE and Israel, a possibility that was previously inconceivable. The article aims to explore and highlight the specific trade and investment opportunities for UAE and Israel post Abraham Accords. The article also sheds light on the potential challenges that may hinder the full realization of the intended economic benefits of the Accords. The article follows the mix method approach that is combination of qualitative as well as quantitative technique. Nonetheless, it is quite relevant and contemporary as it is reflecting on regional impediments since the war broke out between Israel-Palestine in October 2023.