India’s relationship with the United Arab Emirates (UAE) has been on a remarkable ascent in recent years, marked by strengthened ties and mutual investments. Indian Prime Minister Narendra Modi has played a pivotal role in this transformation. His visit to the UAE in 2015 was the first by an Indian Prime Minister in three decades and set the stage for a resurgence in bilateral relations. Since then, the partnership between the two nations has continued to grow, with both countries working to solidify their future collaboration.
Crown Prince Sheikh Khaled’s Visit
The latest milestone in this evolving relationship came with the visit of Sheikh Khaled bin Mohamed bin Zayed Al Nahyan, the Crown Prince of Abu Dhabi. This visit, his first official trip to India in his new role, was significant for reinforcing the deepening ties between the two nations. Sheikh Khaled met with Prime Minister Modi on September 9, focusing discussions on enhancing trade and strategic cooperation.
During the visit, India and the UAE signed five key agreements covering nuclear energy, liquefied natural gas (LNG), petroleum, and food parks. These agreements underscore the broadening scope of the bilateral relationship beyond traditional sectors.
The visit also highlighted significant developments in education and technology. Sheikh Khaled inaugurated a new Indian Institute of Technology (IIT) campus in Abu Dhabi, marking a significant step in positioning the UAE as a hub for technological innovation. The IIT campus represents a substantial investment in future generations and reflects the growing collaboration between India and the UAE in the realm of knowledge-sharing and education.
A Symbol of Religious Tolerance
Earlier this year, Prime Minister Modi visited the UAE for the inauguration of a Hindu temple, a landmark event in a predominantly Islamic country. The temple, a stunning complex built at a cost of $84 million on a 27-acre site, was funded with land generously donated by UAE President Sheikh Mohammed bin Zayed Al Nahyan. Modi’s visit and the construction of the temple signify a breakthrough in religious tolerance and cooperation, showcasing the UAE’s progressive stance on cultural diversity.
Trade and Economic Cooperation
The economic relationship between India and the UAE has also flourished. The Comprehensive Economic Partnership Agreement (CEPA), signed in 2022, has facilitated easier trade between the two nations. Bilateral trade hit over $84 billion in 2022, with the UAE emerging as India’s third-largest trading partner and second-largest export destination. Conversely, India is the UAE’s second-largest trading partner, contributing significantly to its foreign trade and non-oil exports.
Defense and Strategic Collaboration
Beyond trade and cultural exchanges, India and the UAE have also deepened their defense and strategic cooperation. Joint military exercises like Desert Cyclone and Desert Knight, and collaborative efforts in anti-terrorism, reflect their commitment to maintaining regional stability. Their partnership is further strengthened through the I2U2 strategic grouping, which includes Israel and the US, enhancing their geopolitical alignment.
Cultural Contributions and Community Ties
The Indian community in the UAE, numbering around 3.5 million, plays a crucial role in strengthening bilateral relations. This community, which constitutes about 30% of the UAE’s population, has made significant contributions to the nation’s development. The cultural and economic impact of the Indian expatriates underscores the deep connections between the two countries.
Broader Regional Implications
Prime Minister Modi’s outreach extends beyond the UAE to other Middle Eastern countries, such as Saudi Arabia, as India seeks to build robust partnerships across the region. With nations in the Middle East aiming to diversify their economies away from oil dependence, India’s expertise and market potential make it an attractive partner in this transition.
