South Sudan and the United Arab Emirates have agreed to harmonize the existing taxation system between the two countries.
Traders from the Arab country will not be subjected to double taxation.
This came as a result of diplomatic and economic agreements signed this week in UAE.
On Tuesday, President Salva Kiir and his delegation traveled to meet with the Vice President, Prime Minister and Ruler of Dubai, Sheikh Mohammed bin Rashid Al Maktoum.
During the two days visit, delegations from both sides discussed ways to enhance trade and diplomatic relations.
According to the Press Secretary in the Office of the President, part of the agreement include capacity building for South Sudanese diplomats.
Ateny Wek said the agreements will make it attractive for investors from the Arab nation to increase their trade engagement with South Sudan.
“The investment cooperation will enable the people of Emirates, the businessmen to invest in South Sudan, and at the same time, it will enable them to be able to bring goods and avoid double taxation,” Ateny said.
The agreements are expected to come into force once the Revitalized government of National Unity is formed next month.
They were signed by Foreign Affairs Minister, Nhial Deng, Finance Minister, Salvatore Garang and their UAE counterparts.
This is not the first time the Arab nation has engaged in South Sudan. In 2014, it donated 12 ambulances to help the government contain the outbreak of cholera in the country. It also delivered food items, medical supplies, blankets, and plastic sheets.
That same year, South Sudan’s Ministry of Foreign Affairs announced that it will open new embassies in the Kingdom of Saudi Arabia, Kuwait and the United Arab Emirates.