India and the United Arab Emirates (UAE) have taken significant steps to bolster their bilateral cooperation across multiple sectors, including energy, defence, shipping, and technology. This was marked by the signing of six Memorandums of Understanding (MoUs) and the announcement of investments worth $5 billion from the UAE into India, following bilateral talks between Prime Minister Narendra Modi and UAE President Mohamed bin Zayed Al Nahyan. The meeting took place during a brief stopover in Abu Dhabi on Modi's way to Europe.
Modi Condemns Attacks on UAE
Prime Minister Modi reiterated India's strong condemnation of the attacks on the UAE, without explicitly naming Iran. He stated that the targeting of the Gulf state was unacceptable. "India stands with UAE shoulder-to-shoulder under all circumstances and will continue to do so in the future too," said the PM, offering all possible support for the early restoration of peace.
Key Agreements and Investments
One of the agreements will allow the Abu Dhabi National Oil Company (ADNOC) to potentially increase its crude oil storage in India to 30 million barrels. Another MoU is expected to facilitate a long-term LPG sale and purchase agreement between the two countries. A framework for a strategic defence partnership was also signed, focusing on defence industrial collaboration, innovation, advanced technology, training, and exercises.
According to an Indian readout, Modi conveyed India's clear position in favour of ensuring safe transit passage and unimpeded navigation through the Strait of Hormuz, which is vital for enduring regional peace and stability, as well as energy and food security.
Diplomatic Context
Modi departed for the UAE while the BRICS foreign ministers' meeting was still underway, amid efforts by member states to bridge differences between Abu Dhabi and Tehran over the West Asia conflict. The meeting eventually concluded without a joint statement due to these differences, with Iran blaming Abu Dhabi for the impasse.
Warm Reception and Investment Details
Reciprocating Modi's gesture during his visit to India in January, the UAE president received the PM at the airport. UAE F16 jets escorted Modi's aircraft. This was Modi's eighth visit to the UAE as Prime Minister. The leaders welcomed the announcement of $5 billion in investments by UAE entities into India. This includes $3 billion from Emirates NBD in RBL Bank of India, $1 billion from the Abu Dhabi Investment Authority (ADIA) with the National Infrastructure & Investment Fund of India (NIIF) in priority infrastructure projects, and $1 billion from the International Holding Company in Sammaan Capital of India. The readout noted that these investments underscore the UAE's sustained and long-term commitment to India's growth story, strengthening the bilateral strategic investment partnership.
Other MoUs and Cooperation
Two other MoUs were signed for ship repair cooperation, aiming to enhance the capabilities of the Indian maritime workforce and position India as a hub for skilled shipbuilding and ship repair professionals. Another MoU facilitates collaboration for setting up a supercomputing cluster as part of the AI Mission India.
Referring to the UAE president as his brother, PM Modi said in a post on X that his visit to the UAE was brief yet extraordinarily fruitful. "And I am confident that the outcomes of this visit will further solidify the bonds of friendship between us, and contribute to achieving growth and prosperity," he said.
