Mar 21 2024: Turkey and the Gulf Cooperation Council (GCC) have reached an agreement to commence negotiations for a Free Trade Agreement (FTA), announced Turkish Trade Minister Omer Bolat on Thursday. This move underscores Ankara’s efforts to strengthen economic relations with the Gulf region.
After a period of strained relations, Turkey embarked on a diplomatic campaign in 2020 to mend ties with Gulf countries, particularly the United Arab Emirates (UAE) and Saudi Arabia. Ankara already maintains a comprehensive economic partnership agreement with the UAE.
In recent years, Turkey has sealed significant deals with Gulf nations, including Qatar, reflecting the deepening economic engagement between the parties.
Minister Bolat emphasized that the FTA negotiations aim to liberalize trade in goods and services, boost investments, and enhance trade facilitation, ultimately fostering increased economic exchanges between Turkey and the GCC countries. He expressed optimism about expediting the talks to establish one of the world’s largest free trade areas, encompassing Turkey and the GCC with a combined value of $2.4 trillion.
The GCC, consisting of Saudi Arabia, the UAE, Qatar, Kuwait, Oman, and Bahrain, welcomed the agreement to initiate FTA talks. GCC Secretary General Jasem al-Budaiwi highlighted the strong and strategic partnership between the GCC and Turkey, emphasizing successful collaboration in various sectors such as commerce, economics, and finance.
With improving ties, Gulf nations are turning to Turkey for assistance in developing local industries and technology transfer, aligning with their aspirations to diversify economies beyond oil dependence.
Additionally, Turkey and Britain announced plans to launch discussions on an expanded FTA covering goods and services, highlighting ongoing efforts to bolster trade relations with key global partners.