The Crown Prince of Abu Dhabi, Sheikh Khaled bin Mohamed bin Zayed Al Nahyan, is set to make an official visit to India on September 9 and 10, as announced by the Ministry of External Affairs (MEA). The visit, at the invitation of Prime Minister Narendra Modi, is expected to further solidify the already strong ties between India and the United Arab Emirates (UAE) and open doors for collaboration in new and emerging fields.
The visit comes at a critical juncture as India and the UAE are in the midst of reviewing their trade agreement. Concerns have been raised by India regarding the sharp increase in imports of precious metals from the UAE, a matter that is expected to be addressed during the Crown Prince’s visit.
The UAE holds significant importance for India’s economic landscape. India is one of the UAE’s largest trading partners, with bilateral trade reaching nearly $85 billion in 2022-23. The UAE is also home to a large Indian diaspora, with approximately 3.5 million Indians contributing to various key sectors of the country’s economy. In fact, the India-UAE migration corridor is recognized as the fourth-largest in the world, according to the World Migration Report 2024. This report highlights the extensive contributions of migrant workers from India, Egypt, Bangladesh, Ethiopia, and Kenya, who play a vital role in sectors like construction, hospitality, security, domestic work, and retail across the Gulf Cooperation Council (GCC) nations. The UAE, Kuwait, and Qatar particularly rely heavily on migrant workers, with their respective populations consisting of 88%, 73%, and 77% migrants.
The UAE’s strong economic presence in India is evident through its position as one of the top four investors in India through foreign direct investment (FDI) in 2022-23. Both countries have demonstrated their commitment to collaboration through various initiatives, including the trilateral India-UAE-France (UFI) agreement in February 2023. The UAE’s entry as a dialogue partner in the Shanghai Cooperation Organisation (SCO) in May 2023 and its subsequent joining of the BRICS nation partnership with India’s support further solidify their shared vision for international cooperation.
The Ministry of External Affairs emphasizes the deep-rooted and friendly relationship between India and the UAE, stating that their Comprehensive Strategic Partnership has significantly deepened in recent years, encompassing areas such as politics, trade, investment, connectivity, energy, technology, education, and culture. This partnership was elevated to a Comprehensive Strategic Partnership following Prime Minister Modi’s visit to the UAE in August 2015. Further strengthening the economic ties, both countries signed a Comprehensive Economic Partnership Agreement (CEPA) in February 2022 and a Local Currency Settlement (LCS) System in July 2023 to promote the use of the Indian Rupee and UAE Dirham (AED) for cross-border transactions.
The upcoming visit of the Crown Prince of Abu Dhabi signifies the strong and multifaceted relationship between India and the UAE and holds the promise of further collaboration and shared prosperity.
