India seeks investments from UAE

Dubai: India has urged UAE and Gulf investors to take part in an estimated $500 billion worth of infrastructure projects the country will be launching in the coming few years to support a rapidly growing economy.

Indian External Affairs Minister Pranab Mukherjee said "inadequate infrastructure" is hampering India's efforts to continue high growth rate.

Mukherjee said funds will be raised both from within India and from overseas.

"A massive programme of public investment has been initiated and the involvement of private participants, from India and abroad, is welcome. India invites companies of the UAE to play a major role in the development of its infrastructure," the minister said in a speech in Dubai.

He said there are many opportunities in the oil and gas sector, including refining, pipelines, storage and retail, that will appeal to UAE investors.

"As the leading economy of Asia situated in the immediate vicinity of the UAE, India's long-term growth is in the interest of UAE and a closer economic engagement would be a wise investment for the future," Mukherjee said, according to the text of this speech sent to Gulf News.

The UAE is India's larg-est trade partner in the region, with bilateral trade reaching $21 billion in the 2006-07 financial year. Indian exports grew 40 per cent to $12 billion.

Total GCC-India trade amounted to $47 billion during the year.

India and the GCC are discussing a free trade agreement to boost the flow of trade and investments. "Investments between India and the GCC go beyond the traditional dependence of India for its oil needs on the region," Mukherjee said.