The UAE and Zanzibar have reinforced their bilateral relationship through a strategic partnership aimed at boosting investment, trade, and sustainable growth across the archipelago. 

This collaboration, highlighted by high level diplomatic engagements, underscores a shared commitment to enhancing Zanzibar’s economic landscape and fostering long term prosperity.

A central element of this partnership is a $10 million (Dh36.8 million) agreement between the Khalifa Fund for Enterprise Development and Zanzibar’s Ministry of Finance and Planning. This initiative is specifically designed to empower the local economy by supporting micro, small, and medium sized enterprises (MSMEs). By providing essential funding and technical expertise, the program aims to launch approximately 2,000 projects, which are expected to create over 9,000 new jobs for the island’s workforce.

The development strategy places a strong emphasis on social inclusivity, with 35% of the targeted projects dedicated specifically to women. 

Furthermore, the initiative prioritizes vulnerable communities and remote areas, aiming to improve living conditions for roughly 14% of Zanzibar’s most underserved populations. This targeted approach ensures that economic growth is balanced and benefits a broad demographic across the islands.

Beyond direct financial support, the partnership focuses on transferring the UAE’s pioneering expertise in sectors such as tourism, healthcare, and infrastructure. 

For investors and property developers, this deepening state-level cooperation provides a more stable and attractive environment, as improved economic stability and modernizing infrastructure continue to elevate Zanzibar’s status as a premier destination for international capital.