India gets $52 billion pledge from Gulf investors

(From left) Sripriyaa Kumaria, Vipul, Juma Al Kait, Navdeep Singh Suri, Dr Ram Buxani and Sudesh Aggarwal address a press conference on UAE-India ties in Dubai.

A significant upswing in investment flow into India from several UAE entities, including the Abu Dhabi Investment Authority and DP World, has catapulted economic ties to a higher realm as the fastest growing Asian economy received a record level of commitment to the tune of more than $52 billion from investors across the GCC over the past one year.

While Gulf oil giants Saudi Aramco and Adnoc announced investment in a $44 billion oil refinery project in India, Dubai's Emirates Group announced investment of $4.23 billion in an aircraft maintenance, repair and overhaul project, on top of the $1.41 billion investment package unveiled by the Business Leaders Forum (BLF) in Andhra Pradesh.

Navdeep Singh Suri, Indian Ambassador to the UAE, said the embassy is working with major UAE entities, including sovereign wealth funds and leading companies like DP World and Emaar Properties, along with some of the top NRI-owned business groups to promote investment into India.

Addressing a Press conference to announce the second India-UAE Partnership Summit (IUPS) organised by the BLF, the Indian envoy said he expects the event would be an important step in encouraging investments into specific sectors and projects being promoted by five participating Indian states. "The summit's objectives and agenda fit perfectly with our own efforts to promote the strategic partnership between India and UAE," said Suri.

Juma Al Kait, Assistant Under-secretary of the UAE Ministry of Economy, said IUPS provides a platform to highlight investment potential in India and the UAE and create awareness among investors about exciting opportunities.

"Over the years, India and the UAE have forged strong bilateral ties, with focus on key sectors like energy, construction, aviation and SMEs. IUPS will explore the possibilities of deeper cooperation in sectors of mutual interest, like hydrocarbon, civil aviation, maritime, renewable energy, space and exploration, to name a few," said Al Kait.

Vipul, Consul-General of India, said the second IUPS, kicking off at the Atlantis on October 30, is focusing on two vital sectors - education and SMEs.

Vipul said India's trade and investment relationship with the UAE continues to prosper and the discussions at IUPS would again showcase that strong relationship. "I am sure that this year's IUPS will be a bigger success than last year and connect the government and business communities of both countries to forge new partnerships."

According to latest projections, the two-way trade between the UAE and India is expected to cross $100 billion a year by 2020.

Dr Ram Buxani, president of the BLF, said: "I am particularly glad to see that the private sector has responded well to the government's initiatives to strengthen ties between the two countries."

Sudesh Aggarwal, chairman of the IUPS organising committee, said in August 2018, the BLF signed an MoU with Andhra Pradesh to develop two islands and build a mixed-use master-planned community with an investment of $1.41 billion. "This is just the beginning of a long journey and falls in line with the headline objective of the governments of India and the UAE and their shared vision," said Aggarwal.

The UAE is the 10th largest FDI source market for India with cumulative FDI reaching $4.76 billion in the past, Aggarwal pointed out.

- issacjohn@khaleejtimes.com