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Friday, September 22, 2023

Role of Indian state governments in promoting India-UAE relations?


IIn recent years, state governments have become key players in India’s relations with the rest of the world.The phenomenon of states/provinces and sub-state regions playing an important role in foreign policy is global and is known as “Quasi-diplomatic” Or “constitutional diplomacy”.

India is no exception as several state governments have become important stakeholders in the Indian economy outreach – especially in the context of economic linkages, tourism and people-to-people linkages.While economic reforms in 1991 first paved the way for state governments to become important stakeholders in India’s foreign policy, the increasing importance of Indian states in India’s economic rise, the rise of powerful regional leaders, and coalition politics has grown. important reason for quasi-diplomatic In India for the past two decades.

Indian state governments have also emerged as key stakeholders in their relationship with the United Arab Emirates (UAE).

India-UAE Bilateral Relations

If one looks at the UAE, India’s bilateral relations have strengthened significantly in recent years due to Change economic and geopolitical environment. While people-to-people ties and India’s oil imports from the UAE have long been key components of the relationship, the bilateral relationship has become more comprehensive in recent years. The two countries signed a free trade agreement known as the Comprehensive Economic Partnership Agreement (CEPA) in March 2022, which will take effect in May 2022.Bilateral trade rose to $84 billion In 2022-2023.

many indian companies including Tatas It also expanded its presence in the UAE.UAE is becoming a favored destination for Indians due to its geographical location among other advantages Startup company.

While the UAE has been the preferred destination high net worth individual (HNI’s) From India, the introduction of golden and green visas may make this a more sought after option indians. Educational and research links between the two countries are also likely to increase as golden and green visas aim to attract talented researchers. In 2024, the Indian Institute of Technology (IIT) will open its first overseas campus in Abu Dhabi.

The strategic relationship between the two countries has also strengthened significantly in recent years and both are part of two important blocs – I2U2/Middle East Foursome — including the United States, Israel, UAE and India and India, France, UAE tripartite. India and the UAE are not only seeking to strengthen their relationship in areas such as infrastructure and technology, but also in the energy sector.

India’s state governments and relations with the UAE

As mentioned earlier, Indian state governments have become important stakeholders in India-UAE relations for a number of reasons. Apart from seeking investment for their respective states, another important bridge between the two countries is the Indian diaspora.

The South Indian state of Kerala has a large diaspora in the Gulf states, including the UAE, and receives significant remittances from the UAE (although in recent years reduce in the same). Contribution of Keralite expatriates to UAE economy continues admit by the UAE government.

It should be noted that Lulu Group chairman MA Yusuffali is the wealthiest expat in the UAE from Kerala (Lulu Group is a multinational conglomerate operating hypermarkets). The group has been expanding its presence in India in recent years.

Over the past few years, from UP and Telangana, The UAE is also investing in some states in India.under the umbrella of I2U2AE to build integrated food park and renewable energy project in Gujarat.

Role of Indian state governments in strengthening ties with UAE

The Chief Ministers of Kerala and Tamil Nadu (Pinari Vijayan and MK Stalin respectively) are visiting the UAE in 2022 and taking part in the Dubai Expo. Kerala CM while speaking at opening of Kerala Pavilion at Dubai Expo explain: “For people from Kerala, the UAE is their second home, home to nearly 1.2 million Malayalis. The Malayali community in the UAE has played an important role in nurturing and further strengthening the friendly relationship between the two countries”.

While South Indian states have strong ties to the UAE, other states have increased their outreach as economic ties between India and the UAE have grown.

Haryana Chief Minister Manohar Lal Khattar visited the UAE in October 2022 and interacted with the UAE business community seeking their investment in some of his government’s large infrastructure and industrial projects – including Gurgaon Global City.

Odisha CM Naveen Pattanaik becomes first Odisha Chief Minister to visit UAE, joins roadshow – Odisha Investor Meeting. In May 2023, the first Bhubaneswar (the capital of Odisha)-Dubai flight took off.

Abdulnasser Alshaali, Ambassador of the United Arab Emirates to India, meet May 2023 Discuss potential opportunities in the state with Andhra Pradesh Chief Minister YS Jagan Mohan Reddy.

Just recently, the UAE opened its fourth diplomatic mission in India in Hyderabad, the capital of Telangana state (it currently has two consulates in Mumbai and Trivandrum, in addition to its embassy in Delhi). The consulate will not only benefit visa applicants from Telangana and other parts of southern India, but also visa applicants from central Indian states. The opening of the consulate is a powerful illustration of the increase in the number of UAE visa applicants from different categories.

UAE-India relations are likely to strengthen in the near future, and Indian state governments are likely to be key stakeholders in this.

[Photo by iMahesh, via Wikimedia Commons]

The views and opinions expressed in this article are those of the author.


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