With nearly $ 50 billion bilateral trade, the two countries are one of the largest trade partners for each other and have made robust investments bilaterally.
The UAE is the sixth-largest source of Indian oil imports and hosts a 3.3 million-strong Indian community.
India and the UAE on Tuesday signed two agreements, including one on currency swap, as External Affairs Minister Sushma Swaraj held exhaustive discussions with her counterpart Abdullah bin Zayed Al Nahyan to step up cooperation in areas like trade, security and defence.
Ms. Swaraj, who arrived here on Monday on a two-day visit, was received by the Foreign Minister of the UAE ahead of the UAE-India Joint Commission Meeting.
“Advancing the Comprehensive Strategic Partnership…EAM @SushmaSwaraj & Foreign Minister Sheikh Abdullah bin Zayed Al Nahyan co-chaired 12th India-UAE #JCM. Held exhaustive discussions on cooperation in energy, security, trade, investments, space, defence & consular, among others,” External Affairs Ministry spokesperson Raveesh Kumar tweeted.
This is the 12th session of the India-UAE Joint Commission Meeting for Economic and Technical Cooperation.
“Institutional mechanisms guiding the multifaceted cooperation…Two documents signed during the visit of EAM @SushmaSwaraj to #UAE : Agreement on Currency Swap and MoU for Development Cooperation in Africa,” Mr. Kumar tweeted.
Currency Swap is such a pact between two countries that allows trading in their own currency and payments to import and export trade at pre-determined exchange rate without bringing in a third benchmark currency like the US dollars. The currency swap has been fixed at 200 crore dirhams or Rs 3,500 crore ($ 496 million), depending on which country’s central bank requests the amount, an official statement said.
The second agreement would enable both sides to undertake development projects in Africa.
“Reinforcing the strong bonds of friendship…The Ministers looked forward to continuing the trend to strengthen & seek partnership in new areas,” Mr. Kumar tweeted.
“Following the India-UAE Joint Commission Meeting, EAM @SushmaSwaraj and Foreign Minister of UAE Sheikh Abdullah bin Zayed Al Nahyan signed and adopted the Agreed Minutes of the #JCM,” Mr. Kumar tweeted.