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Home » Blog » UAE, India: Strategic partnerships drive bold economic future – Business – Economy and Finance
UAE

UAE, India: Strategic partnerships drive bold economic future – Business – Economy and Finance

Aisha Al Habibi
Aisha Al Habibi
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Economic ties between the EAU and India have seen remarkable growth in recent years, underlining a strategic association that is expanding in key sectors such as trade, investment, energy and technology.

It is no longer limited to trade, the relationship now includes deep investment associations and joint projects that are configuring a more integrated and prospective economic collaboration.

According to a report published by the duration of Dubai Chambers, the Dubai-India Business Forum, the EAU were classified as the third largest global commercial partner in India in 2024, after China and the United States, with imports valued at US $ 60.1 billion and exports.

Dubai plays a central role in this relationship, which represents 85 percent of the non -oil trade of the EAU with India, which reached $ 54.2 billion in 2023. The non -oil trade in the city with India increased from $ 36.7 Billy Billy to $ 45.4 in 2019, at $ 45.4, to $ 45.4 Integral Economic Association Agreement (CEPA) signed in 2022.

In 2023, Dubai’s main exports to India were precious stones and metals, for a total of $ 14.65 billion, followed by machinery, plastics and aluminum. India imports were directed by precious stones and metals at $ 10.1 billion, along with electronics, mineral and bituminous fuels, machinery and iron and steel.

In the investment front, the EAU invested $ 2.9 billion in India during fiscal year 2023-2024, which makes it the seventh largest investor in India.

The economic growth of India remains strong compared to most emerging markets. The projections indicate that the economy is on the way to grow by an average of 6.5 percent per year between 2025-26, positioning India among the main economies of faster growth in the world.

This growth is anchored in three main drivers: the government -led infrastructure investment, rural demand backed by strong agricultural production and greater private investment, partly in the infrastructure link and export -oriented indies.

Inflation is also expected to be facilitated, and the inflation prognosis of the price of consumer will decrease to 4.3 percent by 2025 as the world prices of basic products are moderate and supply bottlenecks that are reduced, reducing 4.9 percent by 2024.

The expanding manufacturing base of India, special in electronics and pharmaceutical products, supports a favorable perspective for 2026-29.

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