India-UAE: A Model for Global Cooperation and Prosperity

Relevance: GS 2 – Bilateral, regional and global groupings and agreements involving India and/or affecting India’s interests

Why in the News?

  • The partnership traces back centuries, linked through ancient trade routes and cultural exchanges.
  • The UAE, located on the Arabian Peninsula, has historically served as a key trading partner and gateway to the Gulf region for India.
  • The relationship has flourished over time, expanding into diverse sectors including trade and
  • Both nations prioritize shared strategic interests to enhance mutual economic growth.

INDIA-UAE: A MODEL FOR GLOBAL COOPERATION AND PROSPERITY

Cultural Exchange & Strategic Partnership:

  • Cultural ties have deepened over the years, fostering stronger people-to-people connections.
  • Collaborative initiatives reflect the shared heritage and future-oriented outlook of both nations.
  • The relationship has evolved into a future-ready alliance, addressing global challenges and opportunities.
  • Current engagements focus on transforming traditional trade ties into a multifaceted strategic partnership.

Strengthening bonds diplomatically and beyond

INDIA-UAE: A MODEL FOR GLOBAL COOPERATION AND PROSPERITY

INDIA-UAE: A MODEL FOR GLOBAL COOPERATION AND PROSPERITY

Historical Ties:

  • Indian traders have long-established communities in the UAE, with the Indian diaspora becoming integral to the UAE’s social and economic fabric.
  • Diplomatic relations were formalized in 1972, building on centuries of cultural and trade connections.

High-Level Engagements:

  • Regular ministerial visits and high-level meetings have elevated bilateral ties.
  • Indian PM Narendra Modi and UAE Crown Prince Mohammed bin Zayed Al Nahyan have played pivotal roles in fostering cooperation on regional security, climate action, and economic initiatives.

Recognition of Partnership: A landmark moment in August 2019 saw the UAE bestow its highest civilian honour, the Order of Zayed, on PM Modi for his role in strengthening bilateral ties.

Collaborative Sectors: Cooperation spans diverse fields, including:

  • Space Exploration: Gained momentum after PM Modi’s 2015 UAE visit, marking a 34-year gap in such high-level exchanges.
  • Defence and Security: Focused on regional stability and peace.
  • Energy and Food Security: Strategic partnerships in key supply chain areas.
  • Climate Action and Health: Joint initiatives to tackle global challenges.
  • Education and Emerging Technologies: Enhancing knowledge exchange and innovation.
  • Global and Regional Cooperation: Both nations actively support each other on international platforms, promoting peace, security, and development. Their collaboration significantly contributes to regional stability and shared prosperity, aligning with global objectives.

Fostering cultural bridges

  • Historical and Cultural Roots: The India-UAE relationship is deeply influenced by centuries of trade, migration, and mutual interest in each other’s traditions.
  • Indian Diaspora: Indians are the UAE’s largest ethnic community, comprising approximately 35% of the population (over 3.5 million people). The diaspora plays a key role in enriching the UAE’s cultural vibrancy while significantly contributing to its economic development.
  • Celebrating Heritage: Both the Emirati community and Indian expatriates actively celebrate their diverse cultural heritages through:
    • Events, exhibitions, and festivals.
    • Cultural exchanges promoting mutual understanding and respect.
  • India-UAE Cultural Council Forum: A landmark Memorandum of Understanding (MoU) was signed in September 2022 to establish the India-UAE Cultural Council Forum.
  • The forum aims to:
    • Strengthen cultural cooperation and deepen understanding.
    • Enhance people-to-people connections between the two nations.

Vision for the Future: India-UAE Partnership

  • Exemplary Cooperation: The India-UAE relationship serves as a model for successful cross-regional partnerships. It highlights how nations with shared visions for growth, security, and development can collaborate effectively across diverse sectors.
  • Strong Foundations: Decades of cultural, economic, and strategic engagement provide a robust base for future progress. A deep mutual commitment to fostering prosperity and stability strengthens their bond.
  • Global Impact: The partnership is poised to contribute significantly to regional and global peace, stability, and development. By leveraging their collaborative efforts, both nations aim to address emerging global challenges and enhance prosperity for all.

The Indian Diaspora: A Pillar of UAE’s Growth

  • Economic Contribution: Comprising over 3.5 million individuals, the Indian diaspora is one of the largest expatriate communities in the UAE.
  • Indians contribute significantly across key sectors, including:
    • Construction
    • Hospitality
    • Healthcare
    • Retail
  • Their entrepreneurial spirit and professional expertise drive the growth and success of numerous industries.
  • Strengthening Bilateral Economic Ties: Indian entrepreneurs and professionals bolster the UAE’s financial landscape and deepen trade links between the two nations. A large share of remittances sent back to India underscores their role in enhancing bilateral economic relations.
  • Cultural Influence: The diaspora enriches the UAE’s multicultural social fabric through cross-cultural exchanges. This cultural synergy fosters international business opportunities and strengthens people-to-people connections.
  • Future Outlook: The Indian diaspora’s ongoing engagement will be pivotal as India and the UAE collaborate for shared prosperity and sustained economic growth.

INDIA-UAE: A MODEL FOR GLOBAL COOPERATION AND PROSPERITY

Associated article

https://universalinstitutions.com/india-uae-bilateral-investment-treaty-balancing-investors-protection/

https://universalinstitutions.com/india-uae-ink-pacts-on-linking-digital-payment-platforms-trade-energy/

Source: The Hindu

Mains question

Discuss the role of the Indian diaspora in strengthening the India-UAE relationship, focusing on economic contributions and their impact on bilateral trade and regional cooperation. (250 words)