Israel and the UAE on Sunday signed a free trade pact into effect, reducing or removing tariffs on about 96pc of goods traded between the nations, Israel's Foreign Ministry said.
The countries first reached the agreement last May, promising to boost bilateral trade after they normalised ties in 2020 in a US-brokered deal.
The deal will also allow Israeli companies to gain access to government tenders in the UAE, the ministry said.
Israeli Foreign Minister Eli Cohen, who on Sunday gave a final signature for the tariff arrangement within the trade pact, said it would "strengthen the connection" with the UAE and that Israel was working to normalise ties with more Arab countries.
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