UAE, India ink landmark agreement for trade exchange in dirhams and rupee
The move is expected to bolster trade relations, reduce transaction costs
Abu Dhabi: The UAE and India have officially signed three key Memorandums of Understanding (MoUs), each aimed at deepening cooperation and fostering ties under the comprehensive strategic and economic partnerships between the two nations.
The signing ceremony was overseen by President His Highness Sheikh Mohammed bin Zayed Al Nahyan of the UAE, and Prime Minister Narendra Modi of India.
The MoUs, exchanged at Al Watan Palace in Abu Dhabi, include an agreement to enable trade exchange in local currencies (UAE Dirham and Indian Rupee), and a plan to link fast payment systems, cards, and messaging systems.
The first MoU, promoting trade exchange in local currencies, was exchanged by Khaled Mohammed Balama, Governor of the Central Bank of the UAE, and his Indian counterpart, Shaktikanta Das, Governor of the Reserve Bank of India. This move is expected to bolster trade relations, reduce transaction costs, and increase economic stability.
Fast payment system
In addition to currency exchange, the Central Banks of both nations also agreed on another MoU focusing on cooperation in fast payment systems, card networks, and messaging systems.
The agreement was again exchanged by Balama, and Das, aiming to modernize and enhance the safety, efficiency, and speed of financial transactions between the two countries.
Education sector
Lastly, an MoU was signed between the Department of Education and Knowledge in Abu Dhabi, the Ministry of Education in India, and the Indian Institute of Technology - Delhi (IIT-Delhi), marking a step forward in educational collaboration.
The agreement involves the establishment of the Indian Institute of Technology Delhi - Abu Dhabi, symbolizing the shared commitment to nurturing human capital and fostering knowledge exchange. This memorandum was exchanged by Sara Awad Issa Musallam, Minister of State for Early Education and Chairperson of the Federal Authority for Early Education Sunjay Sudhir, Ambassador of India to the UAE, and Prof. Rangan Banerjee, Director, IIT Delhi.
The landmark agreements signed today signify a new era of strengthened cooperation between the UAE and India, fostering economic growth and educational advancement within the framework of the strategic partnership that brings them together.