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Home » Modi Strengthens UAE Ties

Modi Strengthens UAE Ties

Posted on February 26, 2024 by Ajaz Rashid | Last updated on February 26, 2024

BY CHASFEEDAH SHAH

Prime Minister Narendra Modi’s recent visit to the United Arab Emirates (UAE) may have appeared routine on the surface, akin to his previous bilateral engagements. However, this seventh visit since 2014 underscores a strategic shift in India’s foreign policy towards the Emirates, signaling a concerted effort to elevate its significance above other Gulf nations. While the occasion may have been partly linked to speaking at the ‘World Governments Summit’ in Dubai and inaugurating Abu Dhabi’s first Hindu temple, the breadth and depth of the 10 bilateral agreements inked during the trip warrant closer scrutiny. Modi Strengthens UAE Ties

Of particular note is the swift conclusion of the Bilateral Investment Treaty (BIT), mirroring the expeditious Comprehensive Economic Partnership Agreement (CEPA) signed in 2022. The UAE now stands as India’s inaugural partner in possessing both trade and investment agreements, cementing its pivotal role in India’s economic landscape. With the UAE emerging as India’s third-largest trading partner and a significant source of foreign direct investment, the establishment of Bharat Mart for Indian micro, small, and medium enterprises (MSMEs) underscores the intent to fortify commercial ties further.

The accords extend beyond commerce to encompass technology cooperation, including digital infrastructure development and collaborative research on energy security and green initiatives. Moreover, the Agreement for an Intergovernmental Framework on the India-Middle East Economic Corridor lays the groundwork for broader multilateral collaboration, capitalizing on the UAE’s recent inclusion in the BRICS framework. Notably, discussions on regional security challenges, such as the Israel-Gaza conflict and Red Sea incidents, underscore India’s perception of the UAE as a stabilizing force in a volatile region.

Yet, beneath the veneer of economic cooperation lies a complex tapestry of historical, cultural, and political dynamics. Centuries-old maritime trade and a sizable Indian diaspora contribute to the foundation of mutual understanding, but recent shifts in both nations’ political landscapes introduce potential points of tension. While the UAE endeavors to modernize its governance and foster pluralism, concerns linger over India’s trajectory amidst rising majoritarian tendencies.

Modi’s emphasis on shared values of tolerance and pluralism during his visit resonates as an attempt to bridge these ideological divides and reaffirm the enduring bonds between the two nations. As India and the UAE navigate the evolving regional dynamics, nurturing these shared ideals may prove indispensable in fostering a robust and enduring partnership across the Arabian Sea.

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