Prime Minister Narendra Modi went on a two-day state visit to the United Arab Emirates (UAE) during his return journey from France. This visit aimed to strengthen bilateral ties and enhance cooperation between the two nations. The visit was marked by several significant agreements showcasing the deepening relationship between India and the UAE.
Upon his arrival in Abu Dhabi, Prime Minister Modi was warmly received by the Crown Prince of Abu Dhabi, His Highness Sheikh Khaled bin Mohamed bin Zayed Al Nahyan, at the airport. A ceremonial welcome and Guard of Honour were accorded to the Prime Minister, reflecting the importance attached to his visit.
During his visit, Prime Minister Modi engaged in delegation-level talks and one-on-one discussions with the President of the UAE, His Highness Sheikh Mohamed bin Zayed Al Nahyan. The discussions covered various aspects of the bilateral partnership, including trade and investment, fintech, energy, renewables, climate action, higher education, and people-to-people ties. The leaders also exchanged views on regional and global issues of mutual interest.
To promote further economic cooperation, three significant Memorandum of Understanding (MoUs) were signed. The first MoU signed between the Reserve Bank of India (RBI) and the UAE Central Bank, established a framework to promote the use of local currencies (INR-AED) for international transactions.
The second MoU focused on bilateral cooperation between the RBI and the UAE Central Bank on interlinking their payment and messaging systems. This cooperation aims to improve the efficiency of the transactions between UAE and India, including the integration of instant payment systems and mutual acceptance of domestic card schemes.
The third MoU was signed between the Ministry of Education of India, the Department of Education and Knowledge, Abu Dhabi, and the Indian Institute of Technology (IIT) Delhi. This MoU paves the way for the establishment of IIT Delhi – Abu Dhabi, with the Master’s program in Energy Transition and Sustainability scheduled to be operational by January 2024. This initiative signifies the commitment of both nations to higher education and research collaboration.
A joint statement was issued after the meeting between the leaders, highlighting the key outcomes of their discussions. Both leaders recognised the significant progress made in UAE-India relations, with trade between the two countries reaching USD 85 billion in 2022. India emerged as the UAE’s second-largest trading partner, while the UAE became the fourth-largest investor in India in 2022-2023.
The joint statement also underscored the importance of the UAE’s presidency of COP28 (28th Session of the Conference of Parties to the United Nations Framework Convention on Climate Change (UNFCCC)) and India’s presidency of the G20 in 2023. Prime Minister Modi extended his support to the UAE’s COP28 presidency and commended the UAE’s role in promoting the Global South’s interests. Both leaders called for collective action and emphasised the principles of equity, common but differentiated responsibilities, and respective capabilities in tackling climate change.
Furthermore, the joint statement highlighted the significance of fortifying the adaptation capacities of developing countries and progressing the global goal of adaptation. Concrete progress in critical areas such as transforming food systems, water management, carbon sink conservation, biodiversity, and public health was emphasised.
The leaders recognised the potential of renewable energy, green hydrogen, and low-carbon solutions in accelerating sustainable economic growth and job creation. They stressed the importance of supporting and deploying all technologies to address emissions while ensuring a just transition for comprehensive sustainable development. The international community was called upon to redouble efforts in ensuring the availability, accessibility, and affordability of critical technologies for developing countries.
The joint statement reiterated the urgency for developed countries to fulfil the USD 100 billion delivery plan and double climate finance for adaptation to developing countries by 2025. International financial institutions and multilateral development banks were urged to make tangible progress in reforming financial mechanisms and unlocking concessional finance to support climate change initiatives taken up by developing countries.
