Context: India and the United Arab Emirates (UAE) have agreed to double bilateral trade to USD 200 billion by 2032 and jointly condemned terrorism in all its forms, following high-level talks.
About India–UAE Pledge to Double Trade to $200 Billion:
What it is?
- A comprehensive strategic understanding between India and the UAE to deepen cooperation across trade, defence, energy, space, infrastructure, finance, and people-to-people ties, reinforcing the India–UAE Comprehensive Strategic Partnership.
Key provisions:
- Trade and economic cooperation:
- Commitment to double bilateral trade to USD 200 billion by 2032.
- Builds on the India–UAE CEPA (2022) to expand goods, services, and investment flows.
- Energy partnership:
- USD 3 billion LNG deal: ADNOC Gas to supply LNG to HPCL for 10 years.
- India becomes UAE’s largest LNG customer.
- Cooperation in civil nuclear energy and broader energy infrastructure.
- Defence and security:
- Letter of Intent to conclude a Strategic Defence Partnership.
- Joint condemnation of terrorism in all its forms and manifestations.
- Space and technology:
- LoI on joint space infrastructure development and commercialisation.
- Agreement to establish a supercomputing cluster in India.
- Investment and infrastructure:
- UAE participation in developing a Special Investment Region at Dholera, Gujarat.
- DP World and First Abu Dhabi Bank to set up operations in GIFT City.
- Culture and people-to-people ties:
- Establishment of the House of India in Abu Dhabi, showcasing Indian art, heritage, and archaeology.
Relevance for UPSC examination:
- GS Paper II – International Relations:
- The development highlights India–West Asia relations, strategic defence cooperation, counter-terrorism, and the Gulf’s role in India’s foreign policy.
- GS Paper III – Economy & Energy Security:
- It is relevant for trade diversification, LNG-based energy security, infrastructure investments, and the emergence of GIFT City as an international financial hub.
