The bond between India and the UAE is entering a new chapter marked by ambitious collaborations and investments. Recently, at a private industry gathering, UAE’s Minister of Foreign Trade, Thani bin Ahmed Al Zeyoudi, emphasized the importance of fostering joint ventures, improving logistics connectivity, and enhancing private-sector partnerships to fuel mutual growth.
Private Sector Initiatives
Al Zeyoudi highlighted the need for increased investment deals led by the private sector. He pointed out that prioritizing strategic sectors would be crucial for achieving deeper economic integration between the two nations. “One of my top objectives in the coming months is to facilitate larger projects driven by partnerships in the private sector between India and the UAE. We need to concentrate on sectors that can provide significant benefits for our people,” stated Al Zeyoudi at the India-UAE Business Council UAE Chapter event.
Recent Investment Commitments
His comments followed Indian Prime Minister Narendra Modi’s recent visit to the UAE, which resulted in investment commitments totaling nearly $5 billion. Significant deals included a $3 billion investment from Emirates NBD for a 60% stake in RBL Bank, along with a $1 billion investment by the Abu Dhabi Investment Authority (ADIA) in India’s National Investment and Infrastructure Fund (NIIF). An additional $1 billion was committed by International Holding Company (IHC) for acquiring equity in Sammaan Capital. These transactions underscore the growing economic ties between India and the UAE.
Current Trade Trends
Despite disruptions in the global market, Al Zeyoudi asserted that trade between India and the UAE has continued to grow steadily. The non-oil bilateral trade is projected to reach $76 billion in 2025-26, marking a significant 17% increase. “This reflects the vast potential and the strong alignment of interests between our two nations,” he remarked, emphasizing the importance of continuous trade growth.
Aiming for Greater Economic Integration
Under the framework of the Comprehensive Economic Partnership Agreement (CEPA), total bilateral trade has already surpassed $100 billion. Both countries are now targeting an ambitious $200 billion in trade by 2032. This goal highlights the commitment of both nations to strengthen their economic relationship further. Al Zeyoudi’s focus on strategic investments suggests that both governments are aligned in their efforts to encourage business ventures that contribute positively to their respective economies and societies.
In summary, the future of the India-UAE partnership looks promising, driven primarily by joint investments, infrastructure projects, and enhanced private-sector collaboration. As both nations seek to expand their trade and investment horizons, they are set to unlock new avenues for growth and development in the coming years.