BackNarendra Modi pitches for investments during UAE visit
PM tells investors India has potential to absorb $1 trillion immediately in areas like agriculture and infrastructure
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New Delhi: India and the United Arab Emirates on Monday agreed to elevate their relationship to a “comprehensive strategic partnership" with hefty security and economic content.
“The two nations reject extremism and any link between religion and terrorism. They condemn efforts, including by states, to use religion to justify, support and sponsor terrorism against other countries. They also deplore efforts by countries to give religious and sectarian colour to political issues and disputes, including in West and South Asia, and use terrorism to pursue their aims," said a joint statement released by the two countries at the end of Prime Minister Narendra Modi’s two-day visit to the UAE.
The two countries will also “coordinate efforts to counter radicalization and misuse of religion by groups and countries for inciting hatred, perpetrating and justifying terrorism or pursuing political aims," it said. Both countries denounced terrorism “in all forms and manifestations, wherever committed and by whomever, calling on all states to reject and abandon the use of terrorism against other countries, dismantle terrorism infrastructures where they exist, and bring perpetrators of terrorism to justice".
The UAE has signed up as part of an international US-led coalition against the Islamic State, a Sunni hardline group, while India accuses Pakistan of sheltering anti-India Islamist militants. The statement also said India and the UAE would regularize security dialogue between their national security advisers, strengthen maritime security in the Gulf and the Indian Ocean region, reinforce defence ties through regular exercises of naval, air, land and special forces. The two countries “will work together to promote peace, reconciliation, stability, inclusiveness and cooperation in the wider South Asia, Gulf and West Asia region and support efforts for peaceful resolution of conflicts and promote adherence to the principles of sovereignty and non-interference in the conduct of relations between nations and settlement of disputes".
On the economic front, India will “encourage the investment institutions of UAE to raise their investments in India, including through the establishment of UAE-India Infrastructure Investment Fund, with the aim of reaching a target of $75 billion to support investment in India’s plans for rapid expansion of next generation infrastructure, especially in railways, ports, roads, airports and industrial corridors and parks", the statement said.
India and the UAE will “promote strategic partnership in the energy sector, including through the UAE’s participation in India in the development of strategic petroleum reserves, upstream and downstream petroleum sectors, and collaboration in third countries".
Both countries will also cooperate in peaceful uses of nuclear energy in areas such as safety, health, agriculture and science and technology, it added.
Earlier in the day, Modi made a strong pitch for investments from the UAE, telling investors that India had the potential to absorb $1 trillion immediately in areas like infrastructure, agriculture and warehousing.
Modi promised UAE businesses a conducive climate in India, said a government statement released in New Delhi.
The first Indian prime minister to visit the UAE in 34 years, Modi said India wanted “technology, speed and quality construction when it comes to housing. Low-cost housing is very important for us." He was addressing industrialists in Masdar, billed a zero-carbon city in Abu Dhabi, according to posts on his Twitter page.
In a series of tweets quoting Modi, foreign ministry spokesman Vikas Swarup said, “In the agriculture sector, we need cold storage network and warehousing network where UAE businesses have another advantage." Another tweet cited Modi as saying, “UAE’s power and India’s potential can make the dream of an Asian century a reality."
Modi said he had been told of “some problems being faced" in the area of investments and India wanted to assure investors that it is taking steps to create an investor-friendly environment. “I will send my commerce minister to try and find solutions to the problems faced by some UAE investors," he said in a tweet.
While addressing the meeting, Modi said there was “lethargy" in the past, inviting a sharp reaction from the Congress party back home, which termed his remarks “outrageous, a national insult and condemnable". Reacting to this, Congress spokesman R.P.N. Singh told reporters in Delhi that “whenever the prime minister touches foreign soil, he seems to be losing his mental balance". He said “humiliating one’s own country on foreign soil is immature leadership".
One of Modi’s key priorities during the visit has been to persuade the UAE to invest some of its $800 billion sovereign wealth fund in Indian infrastructure. Investments from the UAE so far have amounted to $10 billion—$3 billion in direct investment and the rest through the stock market. Firms such as Etisalat in the telecom sector and Emaar in real estate have not had happy experiences in India in the past.
Later in the day, Modi held talks with Sheikh Mohammed bin Zayed Al Nahyan, crown prince and deputy supreme commander of the armed forces, on subjects including security and trade.
Meanwhile, the UAE’s economy minister Sultan bin Saeed al-Mansouri said it was open to meeting oil demand from India. “India is importing oil now and the UAE is open to meet demand for any oil from India," Mansouri said, adding that the issue would be discussed further by the two sides. India is the world’s fourth largest oil consumer and Abu Dhabi currently provides 9% of its energy needs.
PTI and Reuters contributed to this story.
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