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UAE Announces $5-Billion Investment In India As PM Modi Visits Abu Dhabi

  • May 16, 2026

Prime Minister Narendra Modi reaffirmed solidarity with the UAE, and pushed for an open Strait of Hormuz on the first leg of a five-nation tour.

The visit saw the signing of a Framework for Strategic Defence Partnership between the two countries.

Prime Minister Narendra Modi paid an official visit to the United Arab Emirates on Friday, holding wide-ranging talks with UAE President His Highness Sheikh Mohammed bin Zayed Al Nahyan in Abu Dhabi that yielded a landmark defence partnership framework, a $5 billion investment package, and a clutch of energy agreements – the most substantive outcomes of the first stop on a five-nation diplomatic tour.

PM Modi was received at the airport by President Sheikh Mohammed bin Zayed Al Nahyan and accorded a ceremonial welcome before the two leaders sat down for a series of detailed discussions covering the full breadth of the India-UAE Comprehensive Strategic Partnership.

The visit carried an unmistakably strategic tone from the outset. PM Modi reaffirmed India’s strong condemnation of recent attacks on the UAE and conveyed his country’s solidarity with the UAE’s leadership and people. He also stated India’s clear position in favour of safe transit passage and unimpeded navigation through the Strait of Hormuz, describing it as vital for regional peace and stability as well as global energy and food security.

Energy At The Core

Energy security dominated much of the substantive agenda. The two sides concluded a Strategic Collaboration Agreement between Indian Strategic Petroleum Reserves Limited and the Abu Dhabi National Oil Company (ADNOC), under which the UAE will enhance its participation in India’s Strategic Petroleum Reserves to 30 million barrels. The two nations also agreed to work together to establish strategic gas reserves in India. A separate arrangement between Indian Oil Corporation (IOCL) and ADNOC on long-term LPG supplies was also formalised. Both leaders acknowledged the UAE’s role as an important and enduring partner in India’s energy security, including crude oil, LNG, and LPG supplies, and agreed to promote new initiatives for a comprehensive energy partnership going forward.

$5 Billion Investment Commitment

In what is among the most tangible outcomes of the visit, UAE entities announced investments totalling $5 billion into India. Emirates NBD will invest $3 billion in India’s RBL Bank, the Abu Dhabi Investment Authority (ADIA) will deploy $1 billion alongside India’s National Infrastructure and Investment Fund (NIIF) into priority infrastructure projects, and the International Holding Company will invest $1 billion in Sammaan Capital of India. The Ministry of External Affairs described these commitments as underscoring the UAE’s “sustained and long-term commitment to India’s growth story.”

Defence Partnership Formalised

The visit saw the signing of a Framework for Strategic Defence Partnership between the two countries – a significant step in institutionalising what both sides described as a steady and strong defence relationship. Under the framework, India and the UAE agreed to deepen defence industrial collaboration, cooperate on innovation and advanced technology, expand training and joint exercises, and strengthen maritime security, cyber defence, and secure communications and information exchange.

Technology, Shipbuilding and Trade

Beyond energy and defence, the visit produced agreements across several other sectors. A term sheet was signed to establish an 8 Exaflop Super Compute Cluster in partnership between India’s CDAC and the UAE’s G-42, marking an ambitious leap in bilateral technology cooperation. Two MoUs involving Cochin Shipyard Limited and Dubai’s Drydocks World were concluded – one on setting up a Ship Repair Cluster at Vadinar including offshore fabrication, and another, a tripartite agreement with the Centre of Excellence in Maritime and Shipbuilding, focused on skill development in ship repair to position India as a hub for maritime professionals.

Source: https://www.ndtv.com/india-news/narendra-modi-uae-visit-uae-announces-5-billion-investment-in-india-as-pm-modi-visits-abu-dhabi-11501183?pfrom=home-ndtv_topscroll

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