Abu Dhabi invites Indian companies to establish hubs
In its bid to diversify Abu Dhabi's business activity beyond hydrocarbons, the UAE's capital city is seeking more investments from India
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Abu Dhabi: In its bid to diversify Abu Dhabi's business activity beyond hydrocarbons, the UAE's capital city is seeking more investments from India which will not only benefit the local economy but also allow Indian firms to use it as a platform to grow their footprints around the world. Abu Dhabi has identified priority sectors including agritech, tourism, healthcare, pharma and financial services, where Indian enterprises can invest.
Abdulla Abdul Aziz Alshamsi, Acting Director General of Abu Dhabi Investment Office (ADIO) which is tasked with pulling the investments, said that his office will facilitate all investment avenues for Indian companies and called this as a natural extension of the growing relations between India and the UAE. Alshamsi pitched for Indian companies to use Abu Dhabi as a platform to grow their footprints around the world, and added that their presence will benefit the local economy as well. At a time when Indian startups are scouting for better opportunities abroad, Abu Dhabi is keen to woo such innovative enterprises, especially ones engaged in the targeted priority sectors, to set up bases in the emirate.
Alshamsi said agritech (agricultural technology) is an exciting sector given the dry and arid climatic conditions in Abu Dhabi, which are found across the Middle East and added that their work can help solve global food security challenges. He cited the recently signed Free Trade Agreement with India for economic collaboration, saying it will not only help in trade of goods and services, but also help in knowledge sharing.
India and the UAE have shared trade links through the centuries. The India-UAE trade is valued at $72.8 billion in 2021-22, making the UAE India's third largest trading partner after China and US, according to the Ministry of External Affairs. The UAE is the second largest export destination of India (after the US) with an amount of nearly $28 billion for the year 2021-22. The UAE's investment in India is estimated to be around $17-18 billion of which $11.67 billion is in the form of FDI while the remaining is portfolio investment.
