President Barack Obama has approved plans for the U.S. to help the United Arab Emirates become the first Arab nation with a nuclear power industry that will fuel the country’s growing demand for  electricity. Under the pact, the United Arab Emirates must import, rather than produce, fuel for its nuclear reactors. It also has committed not to enrich uranium or reprocess spent nuclear fuel for plutonium, which is used in nuclear bombs.

The agreement creates the legal framework for the U.S. to transfer sensitive nuclear items to the United Arab Emirates. The pact was signed in January by the departing Bush administration, which left the final decision to Obama  .  The United Arab Emirates is expected to begin choosing construction companies this fall for reactor work. Firms from Japan, France, Russia are also expected to compete.Obama’s decision to approve the deal comes just weeks before he plans to visit Egypt to fulfill a campaign promise todeliver a major speech to the Muslim world.