PM Modi’s UAE trip turns historic with $5 billion investment & key strategic agreements

PM Modi’s UAE visit unlocks major defence, energy, and investment deals as India and UAE deepen strategic ties with new agreements on petroleum reserves, LPG supply, and a $5 billion investment package.

Post Published By: Donika Singh
Updated : 15 May 2026, 4:04 PM IST
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New Delhi: Prime Minister Narendra Modi arrived in Abu Dhabi as part of his multi-nation tour, where he was received by UAE President Sheikh Mohamed bin Zayed Al Nahyan. He was accorded a ceremonial guard of honour, highlighting the growing diplomatic warmth between the two nations.

Defence cooperation strengthened

During high-level delegation talks, India and the UAE signed a Framework Agreement on Strategic Defence Partnership. The agreement is expected to deepen cooperation in defence manufacturing, cybersecurity, counter-terrorism, innovation and operational coordination between the armed forces.

Energy security at the core

A key highlight of the visit was the signing of an agreement on Strategic Petroleum Reserves, aimed at strengthening India’s long-term energy security. Both sides also finalised a long-term arrangement for the supply of Liquefied Petroleum Gas (LPG), reinforcing the UAE’s role as a major energy partner for India.

Maritime and infrastructure collaboration

In the maritime sector, the two countries agreed to set up a Ship Repair Cluster at Vadinar in Gujarat. The initiative is expected to boost India’s shipbuilding and maintenance capabilities while enhancing regional maritime trade infrastructure.

$5 Billion investment commitment

The UAE announced a fresh investment package worth USD 5 billion in India. The funds will be directed toward infrastructure development as well as financial sector investments, including stakes in RBL Bank and Sammaan Capital, signalling strong investor confidence.

Strategic partnership expands further

Officials described the growing India–UAE partnership as crucial for regional stability and India’s energy and strategic interests in West Asia. The agreements reflect a broad-based collaboration spanning defence, energy and economic development.

PM Modi expresses gratitude

During bilateral discussions, PM Modi thanked the UAE leadership for its support and condolences following recent natural disasters in India. He also appreciated the warm reception, noting the symbolic significance of being welcomed as a “second home” and the escort provided by UAE Air Force jets.

The visit underscores the continued strengthening of India–UAE relations, marking a significant step in strategic and economic cooperation.

Location :  New Delhi

Published :  15 May 2026, 2:55 PM IST

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