UAE Plans €40 Billion Germany Investment
The UAE plans to invest €40 billion in Germany across industry, advanced technology, artificial intelligence, digital infrastructure and energy. The announcement came during President Sheikh Mohamed bin Zayed Al Nahyan’s state visit to Germany.
The package adds to approximately €34 billion that the UAE has already invested in Germany. Moreover, €10 billion from the new package will target Bavaria, one of Germany’s major industrial regions.
The two countries also announced 29 business-to-business agreements worth more than €9.356 billion. Consequently, the latest commitments expand cooperation across technology, energy, manufacturing and infrastructure.
AI and Data Centers Lead Investment
Digital infrastructure will be a key part of the new investment package. In particular, the UAE and Germany plan to develop new data centers with approximately 1 gigawatt of capacity.
The agreement also strengthens cooperation in artificial intelligence and emerging technologies. Both countries intend to expand research, investment and joint development across critical technology sectors.
Furthermore, the countries agreed to explore cooperation on data hosting and information systems through a potential Data Embassies model. The initiative aims to support secure and resilient digital infrastructure between the two countries.
For the UAE, the investment provides greater access to Germany’s industrial and technological capabilities. At the same time, German companies can gain opportunities to expand into the Gulf, Asia and Africa through UAE investment networks.
Energy Deals Expand UAE-Germany Cooperation
Energy has also emerged as a major area of cooperation. On September 11, UAE renewable energy company Masdar and Germany’s RWE signed an agreement covering potential participation in German offshore wind auctions in 2027. The potential investment exceeds €3 billion.
Meanwhile, RWE and ADNOC signed a letter of intent covering future liquefied natural gas supplies. The companies plan to develop terms for up to two LNG offtake agreements from the early 2030s.
In addition, ADNOC’s international energy arm XRG and Germany’s state-owned SEFE agreed to explore deeper cooperation in natural gas and LNG. Masdar and German energy infrastructure investor Luxcara also agreed to assess energy storage and offshore wind investments worth more than €5 billion.
These agreements complement existing UAE-Germany energy cooperation. The latest commitments broaden the relationship from investment to long-term energy supply, renewable generation and storage.
The two countries also recorded $15.5 billion in non-oil trade during 2025. That figure increased by more than 14% from the previous year.
New Investment Council and Business Links
The UAE and Germany have also agreed to establish a UAE-German Investment Council. The council will connect public and private-sector stakeholders and support new investment opportunities.
Meanwhile, the two governments launched a Strategic Dialogue to strengthen cooperation across trade, investment, energy, emerging technology, digitalization, transportation and other sectors.
The 29 private-sector agreements further reinforce that framework. They involve UAE and German companies and carry a combined value exceeding €9.356 billion.
The countries are also strengthening aviation links. Germany agreed to add a fifth destination to the route schedule for one UAE national carrier, alongside the four existing German destinations.
For the UAE, the agreement creates another pathway into Germany’s industrial and technology economy. Meanwhile, Germany gains a major long-term investment partner with growing interests in AI, digital infrastructure and energy.
As a result, the €40 billion commitment represents a broader economic partnership rather than a single-sector investment. It combines UAE capital with German industrial expertise while creating opportunities across technology, energy and advanced industries.
