India along with the US and several major economies on Saturday announced an ambitious India-Middle East-Europe Economic Corridor with Prime Minister Narendra Modi emphasising on respect for sovereignty and territorial integrity of all nations while promoting connectivity
initiatives.
The corridor project is an agreement between India, the US, UAE, and Saudi Arabia to build shipping and railway links connecting Europe and the West Asia to India.
Launching the corridor, Modi said it will give a new direction to connectivity and sustainable development. “In times to come, the corridor will become an effective medium for economic integration of India, the West Asia and Europe,” he said.
The Prime Minister lauded the launch of the corridor and said a “historic” agreement was concluded. “In the coming times, it will be an effective medium of economic integration between India, West Asia and Europe. This will provide a sustainable direction for connectivity and development across the world.”
Emphasising that strong connectivity and infrastructure are the fundamental basis for the development of human civilisation, the Prime Minister said, “India has given top priority to connectivity and infrastructure in its development journey.”
At the launch of the corridor, US President Joe Biden said, “This is a real big deal. I want to thank Prime Minister Modi. Building sustainable, resilient infrastructure, making quality infrastructure investments and creating a better future... Last year, we came together as one to commit to this vision.”
Besides, European Commission president Ursula von der Leyen also called the launch “historic”.
As he launched the India-Middle East-Europe connectivity corridor, Modi said investments are also being made in social, digital and financial infrastructure.
The plan is to create an economic corridor that links Middle-Eastern countries through rail links, which will then be connected to India through shipping lanes. The European Union will also be involved.
At the invitation of Modi, Prince Mohammed bin Salman bin Abdulaziz Al Saud, the Crown Prince and Prime Minister of Saudi Arabia is visiting India from September 9-11, 2023. During this visit, he will attend the two-day G20 Summit.
As regards the infrastructure project, US Deputy National Security Adviser Jon Finer said in a Press briefing, “First and foremost, it is the value proposition we see in linking these three regions of the world and enabling the flow of commerce, energy and digital communication, that we think is going to help increase prosperity.”
He called it an “affirmative, positive agenda and vision for global infrastructure that the United States and our partners are laying out that we think has real appeal for countries and regions that are underserved”.
The project first came into the spotlight in May after top national security officials from the four countries met in Saudi Arabia to discuss the deal.
The project, which is in line with President Biden’s Middle East strategy, will enhance connectivity, de-escalate conflict, and provide a counter for China’s ‘Belt and Road’ initiative.
This project, which will push commerce, energy trade, digital connectivity, high standards, will be executed in a transparent, non-coercive and sustainable way, Finer added.
US Deputy NSA Finer pointed out that the United States did not see the proposed projects as a part of a competition with China. The idea for this project came up during discussions part of the I2U2 forum, which includes India, Israel, the United States and the UAE.
While Israel is not yet part of the project, it may play a role if its normalisation process with Saudi Arabia goes through, as per reports.
“National Security Adviser Jake Sullivan met with Saudi Prime Minister and Crown Prince Mohammed bin Salman, UAE National Security Adviser Sheikh Tahnoon bin Zayed Al Nahyan, and National Security Adviser of India Ajit Doval met on May 7 in Saudi Arabia to advance their shared vision of a more secure and prosperous Middle East region interconnected with India and the world,” reads a release from the White House regarding the meeting in May.
US Deputy NSA Finer pointed out that the United States did not see the proposed projects as a part of a competition with China. “We do not see it as zero sum with other approaches to infrastructure. We are not asking countries to make this zero sum choice. But we do think the value proposition we have to offer is high,” said Finer.
“We have seen other efforts that are not as ambitious when it comes to high standards, when it comes to transparency, when it comes to sustainability and that are fundamentally more coercive in nature. We feel good about the contrast that what we are offering provides,” he added.
Meanwhile, giving schedule of Saudi Arabia Prince, the Ministry of External Affairs (MEA) said here on Saturday, he will continue his stay in India after the summit for a State visit on September 11. He earlier visited India on a State Visit in February 2019, and this will be his second State Visit to India.
He is accompanied by a high-level delegation, including Ministers and senior officials. This visit follows the highly successful visit of Modi to Saudi Arabia in October 2019 during which the two countries established the Strategic Partnership Council.
On September 11, 2023, Crown Prince will call on the President. He will hold a bilateral meeting with the Prime Minister and both leaders will also co-chair the First Leaders’ Meeting of the Strategic Partnership Council.
They will review the progress made under the two Ministerial Committees of the Strategic Partnership Council i.e. the Committee on Political, Security, Social and Cultural Cooperation and the Committee on Economy and Investments Cooperation.
They will discuss all aspects of bilateral relations including political, security, defence, trade and economic, cultural and people-to-people ties. Both the leaders will also discuss the regional and international issues of mutual interest.
India and Saudi Arabia have historically close and friendly relations with extensive people-to-people contacts. The trade between both countries reached all time high of USD 52.75 billion in FY 2022-23.
India is Saudi Arabia’s second largest trading partner whereas Saudi Arabia is India’s fourth largest trading partner. Both countries also have a strong partnership in the area of energy.
There is a vibrant Indian community of around 2.4 million in Saudi Arabia. Their contribution towards the development of the host country and role as bridges to deepen the multifaceted ties between the two countries is highly appreciated. The Kingdom of Saudi Arabia also facilitates Hajj pilgrimage of over 175,000 Indians every year.
