India, UAE Sign Defence, Energy & Maritime Deals; USD 5 Bn Investment Announced

New Delhi, May 16 (KNN) Prime Minister Narendra Modi and UAE President Sheikh Mohammed bin Zayed Al Nahyan on Friday signed a wide-ranging set of agreements spanning defence, energy, trade, technology, and maritime cooperation, anchored by a USD 5 billion investment commitment from UAE entities into India.

The UAE’s USD 5 billion investment is structured across three deals. Emirates NBD will invest USD 3 billion in RBL Bank, while the Abu Dhabi Investment Authority (ADIA) will deploy USD 1 billion alongside National Infrastructure & Investment Fund of India (NIIF) in priority infrastructure projects. International Holding Company will invest USD 1 billion in Sammaan Capital (India). 

Energy Security Deepened

The two leaders signed a Strategic Collaboration Agreement between Indian Strategic Petroleum Reserves Limited and Abu Dhabi National Oil Company to raise UAE's participation in India's strategic petroleum reserves to 30 million barrels, covering facilities in Visakhapatnam and a proposed new site in Chandikol, Odisha. 

The agreement also provides for potential crude oil storage in Fujairah, UAE, as part of India's strategic reserve, and explores collaboration on liquefied natural gas and LPG storage. A separate long-term LPG supply arrangement was concluded between Indian Oil Limited (IOCL) and Abu Dhabi National Oil Company (ADNOC).

Defence Partnership Formalised

A Framework for Strategic Defence Partnership was also signed between the two countries, covering defence industrial collaboration, advanced technology cooperation, joint training and exercises, maritime security, cyber defence, and secure communications. 

Maritime and Technology Cooperation

Two agreements were signed involving Cochin Shipyard Limited and Dubai’s Drydocks World—one to set up a ship repair cluster at Vadinar under India’s Maritime Development Fund Scheme, and another a tripartite memorandum of understanding (MoU) between Cochin Shipyard Limited, Drydocks World, and the Centre of Excellence in Maritime & Shipbuilding (CEMS) for skill development in ship repair, aimed at training and deploying a skilled maritime workforce and positioning India as a hub for shipbuilding and ship repair.

On the technology front, India's Centre for Development of Advanced Computing (C-DAC) and UAE-based G-42 signed a term sheet to establish an 8 Exaflop supercomputing cluster as part of India's AI Mission.

Digital Trade and Broader Ties

The two leaders welcomed the operationalisation of the Virtual Trade Corridor using the MAITRI (Master Application for International Trade and Regulatory Interface interface) digital framework, which connects customs and port authorities on both sides to streamline cargo movement and reduce trade transit costs. 

(KNN Bureau)