India, UAE Target USD 200 Billion Bilateral Trade By 2032

(MENAFN- KNN India) New Delhi, Jan 20 (KNN) India and the United Arab Emirates (UAE) on Monday agreed to more than double bilateral trade to over USD 200 billion by 2032, besides boosting defense and strategic ties in a meeting between the visiting UAE President Sheikh Mohamed bin Zayed Al Nahyan and Prime Minister Narendra Modi.

The two sides also decided to expand cooperation in nuclear energy, and enhance UAE involvement in financing India's infrastructure.

Push to Double Bilateral Trade

India and the UAE set a target of USD 200 billion in bilateral trade by 2032, building on the Comprehensive Economic Partnership Agreement (CEPA) signed in 2022.

The joint statement said the goal will be advanced by strengthening MSME linkages and opening new markets through initiatives such as Bharat Mart, the Virtual Trade Corridor and Bharat Africa Setu.

Energy Cooperation and Long-Term LNG Supply

A key energy outcome was a long-term deal under which Hindustan Petroleum Corporation Ltd will purchase 500,000 tonnes of liquefied natural gas annually from Adnoc Gas, with the 10-year agreement set to begin in 2028.

Under India's Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India law, the two sides agreed to explore cooperation in advanced nuclear technologies, including large reactors, small modular reactors, advanced reactor systems, nuclear plant operations and maintenance, and nuclear safety.

UAE Investments and GIFT City Presence

Prime Minister Narendra Modi invited UAE sovereign wealth funds to participate in India's second Infrastructure Fund, slated for launch in 2026.

UAE firms First Abu Dhabi Bank and DP World also announced plans to set up operations in GIFT City, with the bank opening a branch to boost trade and investment and DP World using the hub for activities such as global ship leasing.

The Government of Gujarat and the UAE Ministry of Investment signed a letter of intent on investment cooperation for the development of the Dholera Special Investment Region, covering key infrastructure projects including airports, rail connectivity, energy facilities, a pilot training school, an MRO centre and an integrated urban township.

Wider Sectoral Cooperation

The two countries signed agreements to strengthen collaboration in space, defence, food safety and supercomputing, with UAE-based technology firm G42 supporting the establishment of a supercomputing cluster in India. They also agreed to explore setting up digital data embassies and a 'House of India' in Abu Dhabi.

The leaders instructed their teams to pursue the integration of national payment systems to facilitate faster, more efficient and lower-cost cross-border digital payments between India and the UAE.

(KNN Bureau)

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