India-UAE strategic relations
Context:
Recently, the Crown Prince of Dubai, Sheikh Hamdan bin Mohammed Al Maktoum, paid his first official visit to India, marking a significant moment in India-UAE strategic relations.
Relevance:
GS-02 (International relations)
Key Highlights of the Visit:
- Education Collaboration: IIM Ahmedabad and the Indian Institute of Foreign Trade (IIFT) to open overseas campuses in Dubai, boosting educational ties.
- Maritime Infrastructure: Ship-repair clusters to be developed in Kochi and Vadinar, enhancing maritime cooperation.
- Trade and Commerce: The Dubai Chamber of Commerce will open its India office, strengthening business linkages.
- The Virtual Trade Corridor (VTC) was acknowledged for facilitating smooth trade and supporting the India-Middle East-Europe Economic Corridor (IMEEC).
India-UAE Relations at a Glance:
- Bilateral trade: The UAE is India’s third-largest trading partner. In 2022, both nations signed the Comprehensive Economic Partnership Agreement (CEPA) to enhance bilateral trade.
- Both nations are maintaining active cooperation in multilateral and plurilateral platforms like: IMEEC, BRICS, I2U2 (India-Israel-UAE-USA), UFI Trilateral (UAE-France-India).
- The Indian diaspora in the UAE, numbering around 3.5 million, serves as a vital bridge strengthening bilateral ties between the two countries.
- Cultural initiatives, such as the inauguration of the first Hindu temple in Abu Dhabi, underscore the mutual respect for diversity, tolerance, and peaceful coexistence, further deepening people-to-people and cultural connections between India and the UAE.
Additional information:
India’s major FDI inflows during April 2000-December 2024:
- Mauritius at Rs. 15,30,256 crore (US$ 178.81 billion) with a total share of 24.8%,
- Singapore at 23.8% with Rs. 1,471,291 crore (US$ 171.92 billion),
- USA at 9.5% with Rs. 5,89,903 crore (US$ 68.93 billion),
- Netherlands at 7.3% with Rs. 451,435 crore (US$ 52.75 billion),
- Japan at 6% with Rs. 3,70,390 crore (US$ 43.28 billion).
