GCC Strengthens Strategic Ties with India and Region

Why in the news?

The Gulf Cooperation Council (GCC), a key energy bloc, maintains strong economic ties with India, highlighted by substantial trade and expatriate remittances, emphasizing its role as India’s largest regional partner and a strategic ally in global dynamics.

GCC Strengthens Strategic Ties with India and Region

India-GCC Bilateral Relations

  • India and the GCC share strong economic ties, with bilateral trade in FY 2023-24 amounting to USD 161.59 billion.
  • India exported USD 56.3 billion worth of goods and imported USD 105.3 billion from GCC nations.
  • The UAE stands as India’s third-largest trading partner and second-largest export destination.
  • Approximately 8.9 million Indian expatriates reside in GCC countries, making up 66% of the total non-resident Indians (NRIs). These expatriates play a significant role in India’s economy through remittances.

GCC’s Role in Regional and Global Dynamics

  • The GCC’s annual summits focus on regional stability, economic growth, and cooperation.
  • The organization’s policies emphasize its importance as India’s largest regional trading partner and a key ally in both global and regional affairs.

About the Gulf Cooperation Council:

  • The Gulf Cooperation Council (GCC) was established in 1981 and consists of six member states: Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the UAE.
  • Formed during regional conflicts like the Iranian Revolution and the Iran-Iraq War, the GCC aims to promote economic, security, cultural, and social cooperation.
  • GCC nations collectively hold nearly half of the world’s oil reserves, making them crucial players in global energy markets.
  • The GCC’s structure includes the Supreme Council (comprising member states’ heads), the Ministerial Council (foreign ministers), and the Secretariat General, based in Riyadh, Saudi Arabia.

Sources Referred:

PIB, The Hindu, Indian Express, Hindustan Times