Indian Prime Minister visits Russia and Central Asia to promote economic cooperation
On July 6, Indian Prime Minister Narendra Modi will begin an eight-day visit to Russia and five Central Asian countries to promote economic and strategic relations with the region, and attend the BRICS summit (Brazil, Russia, India, China, South Africa) and the Shanghai Cooperation Organization (SCO) summit in the Russian city of Ufa.
 Indian Prime Minister Narendra Modi. (Source: AFP/VNA) |
Prime Minister Modi's visit to Central Asian countries is being hailed as a "landmark" event aimed at reviving ancient ties with the region.
Speaking in New Delhi on July 5, Prime Minister Modi believed that his visit would further strengthen relations with Russia and Central Asian countries, as well as other member countries of the BRICS and SCO blocs.
During his visit to Central Asian countries, he will hold talks with senior leaders and sign important agreements to strengthen bilateral cooperation with each country.
The Confederation of Indian Industry (CII) estimates that trade turnover between India and five countries - Kazakhstan, Turkmenistan, Tajikistan, Uzbekistan and Kyrgyzstan - could increase many times from the current level of 1.4 billion USD.
While stressing the need to develop more transport corridors connecting India with the Central Asian region, CII said that the PAPI (Turkmenistan-Afghanistan-Iran-Pakistan) oil-gas pipeline project should be implemented.
According to CII, there are major areas for India to cooperate in the Central Asian region, including oil and gas, minerals, agricultural production, pharmaceuticals, textiles and chemicals. India’s trade with the region can increase many times over if the right connectivity is in place.
Meanwhile, according to ASSOCHAM, the Indian Government's decision to increase the foreign direct investment (FDI) ceiling in the defense sector to 49% is expected to attract more investment, especially from Russia, in the sector.
The two-way trade turnover between India and Russia is still below its potential, at only 8 billion USD. With the policy of easing FDI in the defense manufacturing sector, India will coordinate with Russia to establish a Special Economic Zone on defense and space.
While highlighting the importance of Russia-India relations, ASSOCHAM Secretary General DS Rawat said, “Russia is an old and trusted friend of India. India will always stand by and enhance economic cooperation to the fullest extent whenever Russia needs it.”/.
(According to VN+)
