The United Arab Emirates announced it was setting up a $10 billion investment fund aimed at strategic sectors in Israel, with whom it normalized ties last year.
The decision, the UAE official news agency WAM said, was taken following a “constructive” phone call between Abu Dhabi Crown Prince Sheikh Mohammed bin Zayed and Prime Minister Benjamin Netanyahu.
Through the $10 billion fund, the UAE “will invest in and alongside Israel, across sectors including energy manufacturing, water, space, healthcare and agri-tech,” it said.
“The fund builds on the historic Abraham Accord and aims to bolster economic ties between two of the region’s thriving economies, unlocking investments and partnership opportunities to drive socio-economic progress,” WAM said.
It said fund allocations “will derive from government and private sector institutions”.
The announcement came as Netanyahu canceled a historic visit to the UAE on Thursday, citing a disagreement with Jordan over crossing its airspace.
Netanyahu said the trip “was not possible due to a misunderstanding” with Jordan, with which it is bound by a peace treaty since 1994.
But he said he spoke to Sheikh Mohammed, the UAE’s de facto leader, and that the pair agreed to meet “very soon.”
Netanyahu also said the UAE would invest $10 billion in Israel.