Syllabus
GS Paper 2 Bilateral, regional and global groupings and agreements involving India and/or affecting India’s interests.
Applications where to apply?
When asked about
India-UAE relations
India and Middle East relations
Strategic Partnership
I2U2
Context
Prime Minister Narendra Modi is scheduled to visit the United Arab Emirates (UAE) from February 13-14, 2024. This visit marks Mr. Modi’s seventh to the UAE since 2015, reflecting the deepening bilateral ties between India and the UAE.
Source
The Hindu | Editorial dated 12th February 2024
A privileged strategic partnership without a gulf
India and the United Arab Emirates (UAE) enjoy strong and multifaceted relations, marked by deep historical and cultural ties, robust economic partnerships, and growing strategic cooperation.
Bilateral Ties and Strategic Partnership
India-UAE relationship has evolved into one of the most prominent bilateral relationships for New Delhi. There is close rapport between Prime Minister Modi and the President of the UAE, Sheikh Mohamed bin Zayed Al Nahyan.
Age-old connections
Trade and cultural exchanges between India and the Arabian Peninsula, including the region that is now the UAE, date back centuries.
- Maritime trade routes connected India and the Arabian Peninsula, including the region that is now the UAE. Indian merchants sailed across the Arabian Sea, carrying spices, textiles, and precious stones to exchange for pearls, dates, among others.
Economic Partnership
- Bilateral trade reached $85 billion in 2022-23, with the UAE becoming India’s third-largest trading partner and second-largest export destination.
- Comprehensive Economic Partnership Agreement signed in 2022 aims to boost trade in services to $115 billion in five years.
- Approval of a bilateral investment treaty to enhance economic engagement, particularly in manufacturing and foreign direct investment.
- Collaboration in fintech, exemplified by the acceptance of RuPay cards in the UAE since 2019 and rupee transactions at Dubai’s airports.
- Operationalization of a rupee-dirham settlement system for crude oil imports.
Energy Security
- UAE’s investment in India’s strategic oil reserves and partnership in the Mangaluru crude oil storage facility.
Strategic Ties and Regional Engagement
- Inclusion in important groupings like the I2U2 and participation in infrastructure projects like the India-Middle East-Europe Economic Corridor.
- The visit’s significance amid regional challenges, including the war in Gaza, provides an opportunity for strategic dialogue.
- Counter-terrorism Collaboration: Both nations cooperate in intelligence sharing and joint operations to combat terrorism and extremism.
Military Engagement
The military ties between India and the UAE have witnessed significant growth in recent years, becoming a key pillar of their strategic partnership.
- The first-ever mega military exercise, “Desert Cyclone,” took place in Rajasthan, focusing on sub-conventional operations and peacekeeping scenarios.
- Defense Equipment Sales: India exports military equipment to the UAE, fostering economic ties and technological collaboration.
Climate action
- Convergence of ideas on global climate issues, exemplified by India-UAE cooperation during the COP28 climate summit.
- Both India and the UAE co-launched the Global Green Credit Initiative.
People-to-People Ties
- Large Indian diaspora: The UAE is home to the largest Indian expatriate community globally, exceeding 3.4 million people. This vibrant community contributes significantly to the UAE’s economy and social fabric.
- Exceptional gestures, such as inviting India as a keynote speaker/guest of honour at the OIC Foreign Ministers’ Meeting in 2019.
- UAE President was felicitated in a road show when he was in Gandhinagar in January this year as the chief guest of the 10th Vibrant Gujarat Summit.
- Exchange of top civilian honors and cultural ties enhancing people-to-people relations.
- Inauguration of temple built by the Bochasanwasi Shri Akshar Purushottam Swaminarayan Sanstha(BAPS) in Abu Dhabi.
- The BAPS temple, which is built on a 27-acre plot of land donated by the UAE President, will be the second big Hindu temple to be inaugurated in the UAE in recent years, the first being the Hindu Temple in Dubai, opened in October 2022.
Conclusion
India-UAE relations signify convergence and mutual respect across various domains.The privileged strategic partnership is poised to strengthen further in the future, acknowledging India’s global leadership role and the UAE’s regional significance.
RELATED TOPICS
The Global Green Credit Initiative (GCCI)
The Global Green Credit Initiative (GCCI) is an international platform launched in December 2023 by India and the United Arab Emirates (UAE) at the 28th Conference of the Parties (COP28) in Dubai. It aims to incentivize voluntary, pro-environmental actions through the issuance of Green Credits. These credits can be earned by individuals, communities, and companies for activities such as planting trees, restoring degraded land, and conserving water.
Objectives of the GCCI:
- Promote global collaboration and exchange of best practices in environmental action.
- Encourage individuals, communities, and businesses to take positive steps towards environmental sustainability.
- Contribute to achieving the goals of the Paris Agreement on climate change.
I2U2
I2U2, also known as the I2U2 Group, is a grouping of four countries: India, Israel, the United Arab Emirates, and the United States. It was established during a virtual summit in July 2022 with the aim of jointly tackling global challenges, particularly in the areas of water, energy, transportation, space, health, and food security.
- Focus on joint investments and new initiatives: The group aims to identify and finance bankable projects that address shared challenges in the six focus areas.
- Private sector involvement: I2U2 encourages the participation of private companies and investors in its projects.
- Flexibility and agility: The group is not bound by a formal treaty or organization, allowing for quicker decision-making and implementation of projects.
- Openness to new members: While currently limited to four countries, I2U2 is open to expanding its membership in the future.
References:
PIB.
IDSA.
Practice Question
Discuss the evolving dynamics of India-UAE relations. [150 words]