Egypt, UK Ink Association Agreement, Comes into Effect Jan. 1

Egypt and the United Kingdom signed Saturday an association agreement to strengthen political and trade ties between the two countries, according to the Foreign Ministry.

In a statement, the Foreign Ministry said that the Egypt-UK Association Agreement is set to come into effect as of January 1st, 2021 after the UK will leave the European Union.

By signing the UK-Egypt Association Agreement, Egypt and the UK have ensured certainty for Egyptian and British consumers, businesses, and investors. Besides, the two countries have stressed the strong bilateral and trading relationships that exist between them and their willingness to enhance their partnership in a framework of mutual respect and trust.

[caption id="attachment_183050" align="aligncenter" width="960"] The Egyptian Side Sign The Agreement[/caption]

The agreement provides a platform for the two countries to deepen the trade and investment relationship between their complementary economies, paving the way for greater partnerships in key sectors, from agriculture to energy, and technology to services.

The UK government said in a statement that both countries reiterated that the aim of cooperation regarding investments and the promotion of investments under the agreement is to increase the flow of capital, expertise and technology to Egypt.

"The two countries reaffirmed their ambition to develop their growing trading relationship further," the note said, detailing that there are multiple mechanisms contained in the agreement which will allow the UK and Egypt to enhance their overall trading relationship, as well as commitments to consider further liberalization and provision for Ministerial meetings.

[caption id="attachment_183051" align="aligncenter" width="960"] The UK Side Signs The Agreement[/caption]

Both sides seek to enhance cooperation between the customs authorities to eliminate practices harmful to legitimate trade, especially about exchanging proof of origin submitted for granting preferential treatment.

Egypt and the UK recognize that the agreement covers energy cooperation, which can be discussed by the relevant subcommittee, and that Egypt holds important opportunities for British investors and firms, especially in the energy sector where UK leadership and expertise will be particularly valuable.

[caption id="attachment_183052" align="aligncenter" width="960"] The Inking Ceremony[/caption]

The agreement constitutes an important framework for ensuring continuous preferential access to both markets.

Both two states recognize that facilitating further market access, including via a separate agreement on air services, will support their joint commitment to a strengthened UK-Egypt partnership.