UAE and India are seeking to more than double non-oil trade to at least $100bn over five years as the Gulf Arab state works to deepen ties with fast-growing economies beyond the Middle East. The two governments are set to start talks on an economic pact aimed at boosting business, investment, and jobs. Both sides have drawn up a very aggressive and ambitious timeframe and aim to conclude negotiations by December 2021. The UAE is trying to burnish its credentials as a global hub for business and finance in the face of growing regional competition from Saudi Arabia. Earlier this month, the government said it plans to work on comprehensive economic agreements with countries showing high potential for growth, mainly in Asia and Africa. Last week, it said it plans to invest up to $14bn in Britain.
India is seeking better trade links to revive its economy after a deadly second wave of the pandemic this year. The country is already the UAE’s second-largest trading partner, with around $40bn in non-oil trade before the pandemic hit. The UAE says bilateral trade could reach up to $100bn in the five years after the pact is agreed and Goyal said that target may be revised upwards. Indian nationals make up one of the largest population groups in the UAE, a major source of foreign remittances. India is also an important market for UAE airlines Emirates and Etihad.