- Economic relations between the UAE and India go back **several centuries**, as the UAE was an important trading station for Indian merchants who were sailing to the Middle East, Africa and Europe. The UAE has also been an exporter of oil, gas, dates and pearls to the Indian market.
The UAE invests 50 billion dollars in India: what does it mean for the Indian economy
- Economic relations between the UAE and India have witnessed significant development in recent decades, especially after the establishment of the UAE federation in 1971 and the launch of economic reforms in India in 1991. These relations have been strengthened by mutual visits at the highest level between political and economic leaders of the two countries.
- The UAE is the second largest trading partner of India after China, and the bilateral trade volume between them reached 59 billion dollars in the fiscal year 2020-2021. The main commodities exported by India to the UAE include jewellery,textiles,chemicals,machinery and agricultural products. The main commodities that India imports from the UAE include oil, gas, metals, plastics, and Fertilizers.
- The UAE and India also have close cooperation in the fields of investment, finance, insurance and remittances. The UAE is an important source of foreign investment flows to India, as the value of Emirati investments in India amounted to USD 14 billion in 2020. India is also a preferred destination for Emirati investors, as Emirati companies own stakes in many Indian sectors such as aviation, telecommunications, retail and hospitality. The Indian community in the UAE, which includes 3.5 million people, plays an important role in strengthening economic ties between the two countries, sending USD 17 billion in remittances annually to India.
1: UAE plans to invest in India:
- The UAE is considering investing up to USD 50 billion in India, as part of a wider bet on the world's fastest growing major economies. India is one of the largest emerging markets in the world, and international banks expect it to grow at a rate of 7.5% in the fiscal year 2023-2024.
- This step comes after meetings at the highest level between Indian Prime Minister Narendra Modi and UAE President Sheikh Mohammed bin Zayed Al Nahyan in July 2023. The leaders expressed their commitment to strengthening the comprehensive strategic partnership between the two countries, which was launched in 2016.
- Several agreements were signed during the visit, related to the fields of energy, environment, space cooperation, education, culture, trade and investment. The leaders also stressed the close coordination between the two countries in the face of regional and international challenges, such as terrorism, extremism and pandemic.
2: deals being discussed between the UAE and India:
- The deals being discussed include stakes in major Indian infrastructure projects and state-owned assets, such as roads, railways, ports, airports, energy, telecommunications, technology industry, agriculture and financial services. These deals are aimed at improving infrastructure increasing efficiency and enhancing competitiveness of the Indian economy .
- Some investments may include UAE sovereign wealth funds such as Abu Dhabi Investment Authority Mubadala Investment Authority and ADQ. These funds are considered strategic investors and long-term partners of India, as they have diversified investment portfolios in many Indian sectors.
- An example of the deals announced or signed during the visit is a USD 12 billion agreement between Mubadala for investment and National Energy Corporation of India for the development of renewable energy projects in India. This project aims to increase the proportion of clean energy in the Indian energy mix and reduce carbon emissions.
- Another example of the deals announced or signed during the visit is a USD 2.5 billion agreement between Abu Dhabi Investment Authority and Reliance Industries to invest in Reliance Digital Infrastructure. This investment is aimed at supporting the expansion of the fiber optic network, improving internet services and promoting digital innovation in India.
3: benefits of Emirati investments in India:
- These investments will strengthen strategic cooperation between the two countries, as they will form a strong partnership based on common interests, common values and common history. The two countries will be able to coordinate and consult on regional and international issues of importance, such as security and peace, counter-terrorism, climate change and Human Development.
- These investments will support sustainable development, innovation and economic diversification in India, as they will help improve infrastructure, increase efficiency and enhance the competitiveness of the Indian economy. The two countries will be able to benefit from integration integration in the fields of energy, technology, industry, agriculture and services.
- These investments will contribute to job creation, revenue increase and improvement of the investment environment in India, as they will provide employment opportunities, training and development for Indian labor. The two countries will be able to increase trade, remittances, tax cooperation and regulatory.
4: Challenges and opportunities facing the economic relationship between the UAE and India:
- The challenges facing the economic relationship between the UAE and India include the political situation, regulatory changes, geopolitical risks and international competition. These challenges include:
- Political situation: UAE investments in India may be affected by changes in government, public policies or social unrest in India. Such investments may require coordination with local authorities obtaining the necessary approvals dealing with corruption and bureaucracy.
- Regulatory changes: UAE investments in India may be affected by changes in laws, taxes, fees or restrictions in India. These investments may require keeping abreast of legal developments adapting to different regulations and dealing with legal disputes.
- Geopolitical risks: UAE investments in India may be affected by regional tensions, international conflicts, economic sanctions, terrorist attacks in India or the region. These investments may require risk assessment, development of contingency plans and cooperation with allies.
- International competition: UAE investments in India may be affected by competition from other countries that also seek to take advantage of economic opportunities in India. These investments may require excellence in quality, innovation in solutions, price competitiveness and brand promotion.
- The opportunities facing the economic relationship between the UAE and India include further cooperation and integration between the two countries in the fields of Health, Education, Culture, Tourism, space and defense. Such opportunities include:
- Health: the UAE and India can exchange expertise, resources and technologies in the fields of Healthcare, Medical Research, Public Health and pandemic response. The two countries can strengthen cooperation in the areas of vaccination, diagnosis, treatment and Prevention of covid-19 and other diseases.
- Education: the UAE and India can expand partnerships, exchanges and scholarships in the fields of higher education, vocational education and distance education. The two countries can strengthen cooperation in the fields of digital educationinnovative education and continuing education.
- Culture: the UAE and India can deepen friendship, understanding and appreciation between peoples through exchange of cultures, arts and heritage. The two countries can strengthen cooperation in the fields of literature, music, cinema, dance and cuisine.
- Tourism: the UAE and India can increase tourist, commercial and personal traffic between the two countries by facilitating travel, providing services and diversifying destinations. The two countries can strengthen cooperation in the fields of natural tourism,cultural tourism,religious tourism and sports tourism.
- Space: the UAE and India can exchange visions, knowledge and skills in the fields of space, astronomy and satellites. The two countries can strengthen cooperation in the fields of space exploration, Astronautics, space communications and Space Applications.
- Defense: the UAE and India can enhance security and stability in the region by coordinating policies, exercises and operations in the areas of Defense and security. The two countries can strengthen cooperation in the areas of
5: what citizens in India should do to benefit from Emirati investments in India:
- Citizens of India should familiarize themselves with the investment, commercial, educational and cultural opportunities offered by the UAE, look for partners, advisors and financiers Emiratis who can help them achieve their goals.
- Citizens of India should improve their skills, knowledge, innovations in the fields of infrastructure, energy, technology, industry, agriculture, services, take advantage of the training, development and continuing education offered by the UAE.
- Citizens of India should strengthen personal, professional and social relationships with the UAE and Indian communities in the UAE, and participate in activities, events and initiatives organized by UAE and Indian embassies, organizations and institutions.
- Citizens of India should get acquainted with the culture, history, heritage, Emirati values, respect for differences, diversity, tolerance between peoples, enjoy the beauty, magic, hospitality Emirati.
6: employment opportunities for Indian citizens:
Job opportunities for citizens in India are an important and motivating topic for many people who are looking to improve their career and finances. There are many jobs available in various sectors and fields, such as technology, education, health, commerce, industry and services. But how can citizens of India find the right jobs for them
There are several ways to search for job opportunities in India, such as:
Search on the internet: this is the easiest and fastest way to get information about vacancies in India. Citizens can use search engines such as Bing, Google or Yahoo to enter keywords or phrases that describe what they are looking for, such as job title, domain, location or salary. They will receive a list of results with titles, excerpts and links to posts related to their search. For example, if they enter “job opportunities for citizens in India”, they will get results like free jobs today in India (November 2023) - the largest job newspaper in India - bet.<url> or the largest job site in India-bet.Com - Bayt.com.
Registration on job websites: this is a more personalized and effective way to search for job opportunities in India. Citizens can register on specialized job websites such as bit.Com or nokri.Com or monster.Com or shine.<url>, LinkedIn, Indeed, Glassdoor or freshers world. They will be able to create, upload and update a resume on the site, apply for jobs that suit their qualifications and interests, receive alerts and messages about new or suitable jobs, communicate with employers, employees, consultants or colleagues in their field.
Take advantage of social and professional networks: this is a more personal and confident way to search for job opportunities in India. Citizens can use social and professional networks such as [Facebook], [Twitter], [Instagram], [LinkedIn] or [WhatsApp]
