Russia–United Arab Emirates relations explained

Mission1:Embassy of Russia, Abu Dhabi
Mission2:Embassy of the United Arab Emirates, Moscow
Filetype:svg

The relationship between the Russian Federation and the United Arab Emirates (UAE) stretches back to December 1971, when the Soviet Union and UAE established diplomatic relations. Relations between the two countries have been described as close and a "somewhat strategic partnership", with the countries cooperating closely in Iraq, Egypt and Libya.[1] [2]

Background

The Soviet Union and UAE established diplomatic relations on 8 December 1971. In 1986, the Soviet embassy in Abu Dhabi was opened and the UAE embassy in Moscow was opened in 1987.[3]

Modern relations

Russia has an embassy in Abu Dhabi and UAE has an embassy in Moscow. In 2002, a Russian consulate-general in Dubai was established.[3]

The UAE was alone in the Gulf Cooperation Council in endorsing the 2015 Russian military intervention in the Syrian Civil War, describing it as against a "common enemy" of the two nations.[4]

During 2017, UAE has sought to drive a wedge between Russia and Iran, which the UAE has a poor relationship with.[5] Along with Saudi Arabia and Israel, the UAE encouraged the United States to remove sanctions on Russia pertaining to its activity in Ukraine in exchange for Russian assistance in ending the Iranian military presence in Syria.[6]

UAE is backing the House of Representatives (Libya) in the Libyan Civil War (2014–present), and Russian mercenary group Wagner Group is working for House of Representatives.

In 2019, UAE purchased $710 million of anti-tank weapons from Russia.[7]

Economic and Diplomatic Relations following the Russian Invasion of Ukraine (2022–present)

See also: International sanctions during the Russian invasion of Ukraine. Following the 2022 Russian invasion of Ukraine, trade between the two nations strengthened with many Russians relocating to the UAE to invest in real estate, business, or "escape financial restrictions in Europe".[8] Trade between the two countries has doubled to $5 billion since 2020 and there are approximately 4,000 companies with Russian roots that are operating within the country.[9]

In February 2022, Russia supported an Emirati UN Security Council resolution to extend the arms embargo on the Houthis to all members of the Yemen-based rebel group, in a deal that was purportedly for Emirati abstention on Ukraine resolutions.[10]

According to the leaked confidential US documents,[11] titled “Russia/UAE: Intelligence Relationship Deepening”, the Russian intelligence officials were engaged in strengthening their relations with the United Arab Emirates. The document stated that Russia had convinced the Emirates “to work together against US and UK intelligence agencies”. It also concluded that the UAE viewed it as an “opportunity” to diversify its partnerships, while the US was gradually parting ways from the Emirates. However, the UAE government had dismissed the accusations that they were maintaining close ties with Russian intelligence.[12]

Against the backdrop of rising economic and political engagement with Russia, the UAE Central Bank granted a license to MTS Bank in February 2023,[13] [14] aimed at meeting growing demands for financial services for Russians in the UAE. The issue of new banking licenses in the UAE is rare, and the decision generated criticism accusing the UAE of providing safe harbour to sanctioned individuals.[15] On 31 March 2023, the UAE Central Bank revoked MTS Bank's license citing "sanctions risks associated with the bank".[16] [17] It is noted that MTS Bank were not sanctioned when their license was granted, with the UK Foreign Secretary stating MTS was sanctioned on 24 February 2023 in an effort to "further isolate Russia from the international financial system and [...] prevent circumvention [of sanctions]".[18]

On August 23, 2023, at the 15th BRICS summit, Russia along with the other founders of BRICS formally invited the United Arab Emirates and others to join the organization on January 1, 2024. When the date was reached, the United Arab Emirates formally joined BRICS.[19]

In early 2024, following mediation efforts by the UAE, Russia and Ukraine exchanged hundreds of prisoners of war.[20] [21] On 1 May 2024, the US sanctioned almost 300 firms and individuals, including the China and the UAE, over accusations that they were supporting the Russian invasion of Ukraine. The Treasury Department sanctioned the UAE-based Albait Al Khaleeja General Trading LLC for facilitating a passage for sanctioned goods to reach Russia. The company, supposedly an auto parts exporter, was involved in supply of over 6,800 shipments to Russian consumers.[22] Meanwhile, the US, UK and the EU were also putting pressure on the UAE to share their record of crack down on firms evading sanctions imposed on Russia.[23]

Former chairman of DMCC, Hamad Buamim pointed out to the inefficiency of the US sanctions against Russia, stating that the sanctions reflected no impact outside the west. He also said that the attempt to stop the flow of business redirected it to other sides, and that the sanctions were making trade more complex and impacting the entire world. The UAE was playing a crucial role between the West and the East, due to its geographical position. Dubai became a beneficiary of American and European efforts to isolate the Russian economy. As Switzerland also imposed sanctions on Russia, oil traders shifted from Geneva to UAE. However, Buamim said businesses were not relocating to Dubai due to sanctions, but because of the city’s infrastructure. [24]

Resident diplomatic missions

See also

External links

Diplomatic missions

Notes and References

  1. Web site: Geopolitics Drive Russia and the U.A.E. Closer. Middle East Institute.
  2. Web site: UAE, Russia forge strategic partnership. gulfnews.com. June 2018 .
  3. Web site: http://www.mid.ru/ns-rasia.nsf/1083b7937ae580ae432569e7004199c2/ea9fc49475782a0a43256dd3002cc34b?OpenDocument. ru:Российско-эмиратские отношения. 12 March 2009. Russian Ministry of Foreign Affairs. 29 July 2009. ru.
  4. Web site: UAE Will Fight Islamic State Group With Ground Troops In Syria? Emirates Foreign Minister Praises Russian Airstrike Campaign. 30 November 2015. International Business Times.
  5. News: Blackwater founder held secret Seychelles meeting to establish Trump-Putin back channel. Entous. Adam. Miller. Greg. Sieff. Kevin. DeYoung. Karen. April 3, 2017. The Washington Post. April 3, 2017.
  6. Israeli, Saudi, and Emirati Officials Privately Pushed for Trump to Strike a "Grand Bargain" with Putin. The New Yorker. 9 July 2018.
  7. Web site: UAE buys $5bn of weapons during four-day arms exhibition. 2020-09-08. Middle East Eye. en.
  8. News: England . Andrew . 2023-03-31 . UAE cites 'sanctions risks' as it cancels licence for Russia's MTS Bank . Financial Times . 2023-06-02.
  9. News: Russia's Elite Flocking to the Gulf Bring In New Business. Bloomberg.com . 20 October 2022 . Bloomberg. 21 October 2022.
  10. News: Al Jazeera. UN Security Council extends Yemen arms embargo to all Houthis. 28 February 2022.
  11. Web site: Leaked documents a 'very serious' risk to security: Pentagon. 11 April 2023. AP News. 10 April 2023 .
  12. Web site: Leaked US intel: Russia operatives claimed new ties with UAE. 12 April 2023. AP News. 10 April 2023 .
  13. News: Kerr . Simeon . 2023-02-08 . UAE grants Russian lender rare banking licence . Financial Times . 2023-06-02.
  14. Web site: 2023-02-09 . UAE grants licence to Russian bank . 2023-06-02 . Central Banking . en.
  15. News: Barrington . Lisa . 2022-03-04 . Financial crime watchdog adds UAE to 'grey' money laundering watch list . en . Reuters . 2023-06-02.
  16. Web site: 31 March 2023 . CBUAE revokes the licence of MTS Bank Branch in Abu Dhabi . Central Bank of the United Arab Emirates.
  17. News: 2023-03-31 . UAE cancels licence for Russia's sanctioned MTS Bank . en . Reuters . 2023-06-02.
  18. Web site: New sanctions ban every item Russia is using on the battlefield . 2023-06-02 . GOV.UK . en.
  19. Web site: BRICS announce major expansion with 6 countries joining in 2024 . 2024-02-26 . ABC News . en.
  20. Web site: Russia and Ukraine exchange 100 prisoners each after UAE mediation . 2024-03-26 . Al Jazeera . en.
  21. Web site: 2024-01-03 . Russia and Ukraine exchange hundreds of prisoners of war in biggest release so far . 2024-03-26 . AP News . en.
  22. News: Flatley . Daniel . 2024-05-01 . US Sanctions Firms in China, UAE for Support of Russia’s War . en. Bloomberg. 2024-05-07.
  23. News: Cornwell . Alexander . 2024-05-01 . U.S., allies press UAE over Russia trade, sanctions . en. Reuters. 2024-05-07.
  24. News: Russia sanctions are ineffective, says Dubai trade hub chief . 25 May 2024 . https://web.archive.org/web/20240530021107/https://www.ft.com/content/5183dd85-87f0-4f6f-a655-1abc78f084ad . 30 May 2024 . 6 June 2024.