The Director of the Department of Economic Cooperation at the Russian Ministry of Foreign Affairs, Dmitry Birichevsky, stated that the free trade agreement project between the Eurasian Economic Union (EAEU) and Egypt is at a “high level of completion.”
In a conversation with the “Novosti” agency today, Saturday, Birichevsky added, “At this moment, we can say that the draft of the free trade agreement is at a high degree of readiness, and all parties are committed to completing the negotiations.” He emphasized that preparing similar agreements requires a comprehensive and meticulous approach, as it affects the trade and economic interests of 6 countries simultaneously, including the five Eurasian states.
Birichevsky said, “One should not rush in such matters. The focus is not on the timing of the signing, but primarily on the quality and detailed examination of all clauses of the future trade agreement to achieve a mutually beneficial balance.”
It is worth mentioning that Russian President Vladimir Putin previously stated that the free trade agreement between the EAEU and Egypt is “in a very advanced stage,” and noted that Russia is eager to sign it as soon as possible. The Eurasian Economic Union includes Russia, Armenia, Belarus, Kazakhstan, and Kyrgyzstan, along with Cuba, Moldova, and Uzbekistan as observer members.
The free trade agreement between Russia and Egypt has been a topic of active discussion and development for several years. This agreement is part of Russia’s broader strategy to strengthen its economic ties with Egypt, focusing on areas such as trade, energy, and military cooperation. The agreement aims to create a significant industrial cluster, marking a major Russian venture into international markets since Soviet times. Key areas of focus for the trade zone likely include energy, weaponry, agriculture, and raw materials.
However, the journey towards this agreement has experienced several interruptions. Talks of a trade zone between the two countries date back at least six years but were suspended in 2011. They resumed in March 2014, shortly after Russia’s annexation of Crimea, which led to sanctions from the West. The negotiations faced another pause in late 2015 following a terrorist attack on a Russian passenger jet departing from Egypt but picked up again in early 2016 with the signing of a memorandum of understanding. Despite these efforts, concerns have been raised about the effectiveness and potential economic impact of this trade zone, given the prevailing economic conditions and challenges in both Russia and Egypt.
Russian President Vladimir Putin has expressed a strong interest in concluding a full free trade agreement with Egypt. This is part of a larger strategy that includes similar negotiations with Iran, Indonesia, and the UAE. The goal is to replace current temporary agreements with full free trade agreements, which are expected to significantly impact trade volumes. Putin also emphasized the importance of expanding trade transactions in national currencies with friendly countries to reduce dependency on Western nations.
