Oman and India Strengthen Economic Ties with Multiple MoUs

By siliconindia  |  Monday, 18 December 2023, 09:21:09 AM IST

Oman and India Strengthen Economic Ties with Multiple MoUs
Oman and India are poised to enhance their economic and trade ties following the recent signing of several agreements and memorandums of understanding across diverse sectors. These accords were solidified during the visit of Oman's ruler, Sultan Haitham bin Tariq, to India, where fruitful discussions took place with Indian Prime Minister Narendra Modi.
As per a report, the two leaders conducted an extensive assessment of bilateral relations, covering political, security, defense, trade, economic, and cultural aspects. Noteworthy agreements inked during the visit included a Memorandum of Understanding between Oman’s Ministry of Transport, Communication, and Information Technology and India’s Ministry of Electronics and Information Technology. This MoU aims to promote collaboration in the realm of information technology.
Another significant MoU was inked between India’s Financial Intelligence Unit and Oman’s National Center for Financial Information to enhance collaboration in exchanging intelligence related to money laundering, associated predicate offenses, and terrorism financing. On the sidelines of the visit, the Oman Investment Authority expanded its collaboration with the State Bank of India by launching the third Omani-Indian Joint Fund. This fund is expected to direct investments into rapidly growing sectors in India, including technology, health, and pharmacy. 
Abdulsalam Al-Murshidi, president of Oman Investment Authority, said that the establishment of the third fund is a result of the success of the two previous mutual funds with the Indian side, which yielded favorable returns. According to the report, the size of the third fund is $300 million, with the authority contributing $50 million. The first Omani-Indian joint fund was established in 2011 with a value of $100 million, while the second fund was launched in 2017 with $230 million. 
The economic and trade ties between Oman and India have continuously intensified, evident in the bilateral trade reaching $9.98 billion during the fiscal year 2021-2022. This marks an impressive nearly 90 percent surge compared to the preceding year, as per data disclosed by the Indian Embassy in Oman. Prime Minister Modi emphasized the ongoing efforts towards finalizing a comprehensive economic partnership agreement between Oman and India.
He emphasized the substantial presence of Indians in Oman as evidence of the robust relationship between the two nations. “Our proximity is not just geographical and indeed reflects in our thousands of years old trade and cultural links. This also reflects in the way, we always give first priority to each other", Modi remarked during his speech welcoming the Omani ruler. 

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