Major UAE entities committed investments across banking, infrastructure and financial services sectors
Prime Minister Narendra Modi on Friday held extensive talks with UAE President Sheikh Mohammed bin Zayed Al Nahyan in Abu Dhabi, with the two countries unveiling a major package of defence, energy, technology and investment agreements, including a $5 billion investment commitment from UAE entities into India.
The visit marked the first stop of PM Modi’s five-nation diplomatic outreach and focused heavily on strengthening India-UAE strategic ties amid growing geopolitical and energy-related challenges in West Asia.
PM Modi was personally received at the airport by Sheikh Mohammed bin Zayed Al Nahyan and accorded a ceremonial welcome before bilateral discussions began.
India and UAE deepen strategic partnership
During the talks, PM Modi reaffirmed India’s strong support for the UAE following recent regional attacks and reiterated New Delhi’s position on maintaining safe and uninterrupted navigation through the Strait of Hormuz.
Calling the waterway critical for global energy and food security, PM Modi stressed the need for stability and adherence to international law in the Gulf region.
The two leaders reviewed the full spectrum of the India-UAE Comprehensive Strategic Partnership, with a strong focus on energy security, investments, defence cooperation and emerging technologies.
UAE announces $5 billion investments in India
One of the biggest outcomes of the visit was the announcement of investments worth $5 billion by leading UAE entities across banking, infrastructure and financial services sectors in India.
Under the investment package:
- Emirates NBD will invest $3 billion in India’s RBL Bank.
- Abu Dhabi Investment Authority (ADIA) will invest $1 billion alongside India’s National Infrastructure and Investment Fund (NIIF) in key infrastructure projects.
- International Holding Company (IHC) will invest $1 billion in India’s Sammaan Capital.
The Ministry of External Affairs described the investment commitments as a reflection of the UAE’s long-term confidence in India’s economic growth trajectory.
Major push for energy security
Energy cooperation emerged as a key pillar of the discussions, especially amid the ongoing volatility in global oil markets due to the Middle East conflict.
India and the UAE signed a Strategic Collaboration Agreement between Indian Strategic Petroleum Reserves Limited and Abu Dhabi National Oil Company (ADNOC), expanding the UAE’s participation in India’s strategic petroleum reserves to 30 million barrels.
The two countries also agreed to cooperate on establishing strategic gas reserves in India.
Additionally, Indian Oil Corporation (IOCL) and ADNOC formalised a long-term Liquefied Petroleum Gas (LPG) supply arrangement aimed at strengthening India’s fuel security.
Both sides acknowledged the UAE’s role as a critical energy partner for India, particularly in crude oil, LNG and LPG supplies.
India-UAE defence ties upgraded
The visit also saw the signing of a Framework for Strategic Defence Partnership between the two countries.
The agreement aims to deepen defence manufacturing collaboration, strengthen maritime security cooperation, expand military training and joint exercises, and enhance cyber defence and secure communication systems.
Officials described the pact as a major step toward institutionalising the rapidly growing defence relationship between New Delhi and Abu Dhabi.
Focus on technology and shipbuilding
India and the UAE also signed agreements in advanced technology and maritime infrastructure.
A major technology partnership was announced between India’s CDAC and UAE-based G-42 to establish an 8 Exaflop Super Compute Cluster, significantly boosting bilateral cooperation in artificial intelligence and high-performance computing.
Two additional MoUs involving Cochin Shipyard Limited and Dubai’s Drydocks World focused on creating a ship repair cluster at Vadinar and developing maritime skill training infrastructure.
Trade and logistics cooperation expands
The two leaders also welcomed the operationalisation of the Virtual Trade Corridor under the MAITRI digital framework, which connects customs and port systems of both countries to improve cargo movement efficiency and reduce logistics costs.
The initiative builds on the momentum generated by the India-UAE Comprehensive Economic Partnership Agreement (CEPA), which has significantly boosted bilateral trade volumes in recent years.
PM Modi thanked Sheikh Mohammed bin Zayed Al Nahyan for the warm hospitality and invited him to visit India at an early date.
After concluding his UAE visit, the Prime Minister departed for the European leg of his tour, which includes visits to the Netherlands, Sweden, Norway and Italy.
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