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Home / News / PM to woo Saudi for energy investment during visit

PM to woo Saudi for energy investment during visit

Latest Govt. Jobs 12:42:00 News Edit

File photo of PM with Saudi foreign minister.File photo of PM with Saudi foreign minister.
New Delhi: As prime minister Narendra Modi prepares to make his first visit to Saudi Arabia, the focus will be on enhancing the security and investment components of the bilateral relationship. Saudi Arabia is now India's top energy supplier, displacing Iran during the height of the sanctions. More important, the security relationship has expanded beyond expectations. India and Saudi Arabia have, in recent years, established a robust intelligence and counter-terrorism cooperation which has been a surprising success.

Modi will be stopping in Riyadh on his return trip from Washington, landing there on April 2. He is expected to meet King Salman, the crown prince, foreign minister Adel Al Jubeir and other cabinet ministers.

India expects major investments from Saudi Arabia particularly in the infrastructure and energy sectors, since Saudi investment in India is a very low $58 million. However, with oil prices at historic lows and Saudi Arabia posting the first budget deficit ($98 billion), the Saudi government's attention this year appears to be on rationalizing the subsidy program.

Saudi Arabia is workplace to over 3.5 million Indian expatriates, but Modi cannot do a Madison Square Garden or a Wembley here, because Saudi Arabia is not an ordinary country and will not take kindly to Modi addressing thousands of Indians.

Modi therefore will have to be content to limit his signature diaspora interactions to two places - L&T, which is building the Riyadh metro system will see Modi visiting their facility and meeting the workers and staff there. TCS has started one of the biggest all-women BPO centre in Saudi Arabia, fully staffed with women. In a country where women have to fight for basic rights such as driving, this is a unique accomplishment. In fact the centre, said sources, has a huge number of applications from women across the Middle East to join up.

Amazingly, the Indian embassy school in Saudi Arabia is a huge draw as well, with almost 15000 students on its rolls studying the CBSE system, but it's not clear if the PM will be visiting this facility.


Its in the area of security that India and Saudi Arabia are working together fairly closely, a surprising feature that has improved since Saudi Arabia deported Abu Jundal to India, who had been living in Saudi Arabia on a Pakistani passport. "We trust India and India trusts us. The requirements for ensuring the security of your people and ours compel us not to hesitate in any way in trying to confront a danger. Between the trust that exists, the recognition that we should cooperate, in order to be effective to fight terrorism and extremism, it's not difficult to see why our cooperation is natural, and moving quickly," Saudi foreign minister, Adel Al Jubeir told TOI recently. The Saudis have been cooperating since then, though both sides prefer to keep this under the radar - particularly because most terror cooperation involves Pakistan, Saudi Arabia's closest ally.


Despite the growing ties, though, India is unlikely to be able to breach that particular alliance - Pakistan is keeper of the Saudi nuclear deterrence, despite refusing to join the Saudi war against Yemen. Nevertheless, Islamabad saw it necessary to despatch both Nawaz Sharif and Raheel Sharif to Riyadh recently, to reaffirm their ties.


Modi's visit is also likely to have a domestic impact, and boost his standing somewhat with the secular lobby in India.


Al Jubeir said, "We have extensive economic relations with India. We are the largest supplier of oil to India. Saudi Arabia is one of India's biggest markets. We have a community of almost 3 million Indian citizens who live in Saudi Arabia. They are our doctors, bankers, engineers, teachers. They are by far the most peaceful non-Saudi community and we appreciate all their contributions to Saudi nation and society. They are an important bridge."
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