UAE Pledges €40 Billion to Germany, Including 1 GW of Data Centers

The United Arab Emirates has put a planned €40 billion investment package for Germany at the center of a new bilateral push, including about 1 gigawatt of new data-center capacity. The commitment ties AI and digital infrastructure to energy investment—and gives Germany a large prospective buildout to turn from diplomatic agreement into physical capacity.

The package was announced during UAE President Sheikh Mohamed bin Zayed Al Nahyan’s September 9–11 state visit to Germany, where he met Chancellor Friedrich Merz. Germany and the UAE said the investment spans artificial intelligence, advanced digital infrastructure and energy, positioning data centers as one component of a wider economic relationship rather than a stand-alone technology deal.

A capacity pledge inside a wider investment framework

The data-center portion is a plan to develop new, state-of-the-art facilities with approximately 1 GW of capacity. That makes the capacity commitment part of the announced package, not evidence that the facilities are already operating. Germany said it would foster a favorable environment for implementation, while the joint declaration said the package is expected to support industrial competitiveness, technological leadership and long-term economic growth.

What the announcement puts in place

• A UAE investment package totaling €40 billion for Germany.
• Approximately 1 GW of planned new data-center capacity within advanced digital infrastructure.
• A proposed German-UAE Investment Council to advance investment and public-private engagement.

The council is meant to supply the connective tissue

The proposed German-UAE Investment Council is intended as a platform to advance investment and strengthen engagement between public and private sectors. The two governments also announced a Strategic Dialogue format meant to steer deeper cooperation across areas including trade and investment, energy, emerging technology and digitalization. Together, those structures aim to give the package a continuing channel after the state visit.

The formal framework arrived alongside private-sector commitments. The joint declaration records 29 memoranda and agreements between UAE and German companies valued at more than €9.356 billion. It also points to further corporate investments and partnerships involving Covestro, RWE, ADNOC and Masdar, beyond the €40 billion package itself.

A larger commitment built on an existing base

The UAE already has about €34 billion invested in Germany, including in chemicals and renewable energy, according to CNBC. About €10 billion of the newly announced package is reportedly earmarked for Bavaria, a major German industrial and technology hub. The new plan therefore adds prospective capacity and investment to an established commercial relationship.

For the AI industry, the important distinction is between a large capital commitment and usable computing infrastructure. This announcement defines the intended scale and creates investment channels around it. Its economic promise now rests on implementation: the development of the proposed data centers, the flow of investment, and the ability of the new bilateral mechanisms to produce concrete projects.