Oman, India push for early conclusion of free trade pact & closer defence ties…reports Asian Lite News
Indian Prime Minister Narendra Modi and Oman’s Sultan Haitham bin Tarik firmed up a vision document to conclude a comprehensive economic partnership agreement as early as possible and significantly expand bilateral cooperation in key areas of maritime security, connectivity, health and digital payments.
Modi and Tarik also discussed the situation arising out of the Hamas-Israel conflict and the challenge of terrorism as well as the need to try and achieve a two-state solution to the Palestine issue as a way forward.
Foreign Secretary Vinay Kwatra described the discussions between PM Modi and the visiting leader as “comprehensive and constructive”.
Kwatra also highlighted the strategic partnership between India and Oman in maritime security in the Western Indian Ocean.
“Our relationship has turned into a strategic partnership characterised by strong cooperation across a range of areas in diverse fields. India and Oman are partners for maritime security in the Western Indian Ocean. Both sides enjoy robust and multi-dimensional defence engagement,” the Foreign Secretary said.
Kwatra said PM Modi and Sultan Tarik also gave strong impetus and push to conclude the India-Oman comprehensive economic partnership agreement as early as possible.
“Although the negotiations on CEPA have started only recently, they have made substantial progress in the last few rounds of discussions and both leaders gave strong impetus and push to conclude the CEPA as early as possible,” he said.
The Sultan of Oman arrived in Delhi on a state visit on Friday which is his first trip to India as the top leader of the influential Gulf nation.
“Today is a historic day in India-Oman relations as the Sultan of Oman is on a state visit to India after 26 years… I am sincerely welcoming you on behalf of all the people of India,” PM Modi said in his opening remarks at the delegation-level dialogue.
Investment Fund
In a significant development in the India-Oman economic partnership, the third tranche of the Oman-India Joint Investment Fund has been announced, marking a major milestone in trade and capital cooperation between the two nations.
Foreign Secretary Vinay Kwatra, in a special briefing at the Ministry of External Affairs on Saturday, highlighted the importance of this achievement during the State Visit of the Sultan of Oman, Haitham bin Tarik, to India.
“An important achievement in terms of India-Oman trade and capital cooperation was the announcement of the third tranche of the Oman-India Joint Investment Fund,” he said.
The Foreign Secretary also said that the Oman-India Joint Investment Fund, a 50-50 joint venture between the State Bank of India and the Oman Investment Authority, aims to bolster economic ties by directing investments into the fastest-growing sectors of the Indian economy.
“This fund would be worth 300 million dollars, approximately 2500 crores, purely as a point of elaboration. The fund was established as a 50-50 joint venture between the State Bank of India and the Oman Investment Authority, which essentially channelled investments into the fastest-growing sectors of the Indian economy,” Kwatra added.
The fund’s earlier two tranches, valued at 100 million and 200 million dollars, respectively, laid the groundwork for a strong economic alliance. “The initial two tranches–the first valued at 100 million and the second at roughly 200 million–captured the underlying belief between the two countries and leadership, forging a very strong base of economic ties through direct capital investments in the growing sectors of the Indian economy. The third tranche, as mentioned, is 300 million,” said Kwatra.
The announcement of the third tranche of the Oman-India Joint Investment Fund not only signifies a substantial financial commitment but also cements the long-term vision of both nations to deepen economic and cultural ties.
The Sultan of Oman was also accorded a ceremonial reception at the forecourt of Rashtrapati Bhavan in New Delhi on Saturday, the second day of his state visit to India.
The Sultan was received by Union Minister of State (MoS) for External Affairs, V Muraleedharan, as he arrived at the Delhi airport on Friday for a three-day State visit.
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