UAE considers investment proposals from India

The Minister of Economy, Sultan Al Mansouri, said India’s tourism sector had particular potential after Mr Modi presented him with proposals for more than US$1 trillion.

Sheikh Mohammed bin Zayed, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces, right, with Narendra Modi, India's prime minister before their meeting at Emirates Palace. RyShow more

ABU DHABI // Plans to invest US$75 billion in Indian infrastructure and boost trade between the two countries by 60 per cent are among a host of targets announced after the two-day visit to the UAE by Narendra Modi.

Others include partnerships in energy, defence manufacturing, aerospace, health, education, tourism, science and technology.

And the Indian prime minister thanked Sheikh Mohammed bin Zayed, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the Armed Forces, for providing land for a Hindu temple to be built in the capital.

“The visit of an Indian prime minister after 34 years marks the beginning of a new and comprehensive strategic partnership,” the two countries said at the end of meetings.

“India and the UAE share centuries-old ties of commerce, culture and kinship.”

They promised to work together on counter-terrorism operations and to share intelligence, including efforts against money-laundering and radicalisation, and in regional defence and policing.

Mr Modi presented the Government with proposals for $1 trillion (Dh3.67tn) in investment opportunities as he works to fulfil his election promise of completely reforming the Indian economy, with the aid of the UAE.

A UAE-India Infrastructure Investment Fund aiming to raise $75bn will “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 two countries said.

It was also agreed to encourage Indian companies to take part in developing the UAE’s infrastructure.

A target was set for trade between the countries – estimated at more than $59bn in 2014-15 – to grow by 60 per cent in the next five years, the state news agency Wam reported.

Sultan Al Mansouri, Minister of Economy, said India’s tourism sector had particular potential for investment after he was presented with the proposals by Mr Modi.

Sheikh Mohammed and the Indian leader also agreed to cooperate in defence manufacturing in India.

They will more closely cooperate in defence through regular exercises, and to establish a strategic security dialogue and between national security advisers and their committees.

Proposed partnerships in energy included developing India’s strategic petrol reserves and petroleum-related industries, and collaborate on renewables and the peaceful use of nuclear energy.

Space is another area, with the two countries agreeing to jointly develop and launch satellites and associated technology.

And India’s vast expertise in small and medium-sized business will be put to use in creating an industrial base in the UAE.

The two countries also agreed to greater cooperation in the delivery of humanitarian aid and disaster relief.

Follow The National's Business section on Twitter