Factors including billions of dollars of trade, due to which the Indian Prime Minister visits the UAE again and again

Factors including billions of dollars of trade, due to which the Indian Prime Minister visits the UAE again and again

 

Indian Prime Minister Narendra Modi has completed his visit to UAE after France.

 

After a discussion with the President of the United Arab Emirates, Mohammed bin Zayed Al Nahyan, on Saturday, he has announced the trade in the Indian rupee and the currency of the United Arab Emirates, the dirham.

 

Prime Minister Modi expressed hope that bilateral trade would soon increase from $85 billion to $100 billion.

 

The announcement of trade between the two countries in their respective currencies is being hailed as a new milestone in India-UAE relations.

 

This is Narendra Modi's fifth visit to the UAE since he became the Prime Minister in 2014.

 

India-UAE relations have warmed considerably over the past few years.

 

When Narendra Modi arrived in the UAE last year, President Mohammed bin Zayed Al Nahyan broke protocol and personally stood to welcome him at the Abu Dhabi airport.

 

The United Arab Emirates has honored Narendra Modi with its highest civilian honor, the Order of Zayed.

  

Modi's fifth visit in eight years

Narendra Modi has been the Prime Minister of India for the past nine years. In his tenure so far, he has paid special attention to improving India's relations with the Gulf countries.

 

When Modi became the Prime Minister in 2014, the perception of him in the Gulf countries after the Gujarat riots of 2002 seemed to affect his relations with India.

 

Notwithstanding, going against the norm, he has amazed numerous specialists by doing whatever it may take to fortify India's relations with the Bay nations.

 

During his nine years in power, he has taken the strengthening of relations with the Islamic countries of the Gulf very seriously.

 

As far as the UAE is concerned, Modi made his first visit in August 2015, the second in February 2018 and the third in August 2019. He made his fourth visit in June 2022 while the present visit is his fifth visit to UAE.

 

When Modi first visited the UAE in August 2015, it was the first visit by an Indian prime minister in 34 years. Before Modi, Indira Gandhi visited UAE in 1981.

 

The focus of Modi's foreign policy on the UAE was seen on the occasion of Republic Day in 2017. At that time, the Modi government had invited Muhammad Bin Zayed Al Nahyan as a special guest.

 

At that time, Muhammad bin Zayed Al Nahyan was the Crown Prince of Abu Dhabi.

 

As indicated by custom, India makes the Head of the state or Leader of a country the Main Visitor on Republic Day. Be that as it may, Al Nahyan came as the main visitor on the event of Republic Day 2017.

 

 

Three pillars of India-UAE relations

The relationship between India and the UAE is based on the three E's i.e. energy, economy and NRIs i.e. expatriate Indians.

 

During the last financial year (2022-23), the UAE was the third largest supplier of crude oil to India. It accounted for ten percent of India's oil imports.

 

However, India has now decided to increase its non-oil trade with the UAE to $100 billion by 2030.

 

The Comprehensive Economic Partnership (CEP) agreement signed between the two last year has played an important role in the growing relationship between India and the UAE.

 

This is the first free trade agreement by India in the last decade. India signed the last free trade agreement with Japan in 2011.

Mutual trade target of 100 billion dollars

India wants to grow its economy to five trillion dollars by 2027. To achieve this goal, it wants to increase its exports to one trillion dollars by 2030.

 

India's bilateral trade with the UAE was just $180 million in the 1970s, which has now increased to $85 billion.

 

The UAE has been India's third largest trading partner in 2021-22 after the US and China. India exports the most goods to the UAE after the US.

 

According to India's ambassador to the UAE, Sanjay Sudhir, India's trade with the UAE has increased by 19% in a year.

 

Prime Minister Narendra Modi discussed several issues including energy, food security and defense with the UAE President during his current visit.

 

According to media reports, the review of CEPA in 2022 was also on the agenda of Modi and Mohammed bin Zayed.

 

The speed at which India's exchange relations with the UAE are developing has astounded numerous experts.