Saudi Arabia and India are considered strategic partners and have a friendly relationship. The two countries have engaged in regular diplomatic exchanges, and high-level visits, and signed various agreements aimed at enhancing cooperation in areas such as energy, trade, investment, and security. Saudi Arabia is an important partner for India in several areas, making it an important country for India’s national interests.
Saudi Arabia and India have historically maintained strong diplomatic relations based on mutual interests, particularly in the areas of trade and energy. The two countries have engaged in high-level talks and visits, signed various agreements and MOUs, and cooperated on issues of regional and global importance.
One of the most important areas of cooperation between Saudi Arabia and India is in the energy sector. Saudi Arabia is a major supplier of crude oil to India, which is heavily dependent on imports to meet its energy needs. The two countries have also explored opportunities for cooperation in renewable energy, particularly in solar power.
Trade is another important area of cooperation between Saudi Arabia and India. In 2020, the two countries signed a strategic partnership agreement aimed at enhancing economic, trade, investment, and technological cooperation. India is Saudi Arabia’s fourth-largest trading partner, and Saudi Arabia is India’s eighth-largest trading partner.
In addition to economic ties, the two countries have also cooperated on regional and global issues, such as counterterrorism, and regional security, and cooperation in multilateral forums such as the United Nations.
However, the relationship between Saudi Arabia and India has also faced challenges in recent years. The killing of journalist Jamal Khashoggi in the Saudi consulate in Istanbul in 2018 led to criticism from India, as well as other countries. Additionally, the recent changes in the geopolitical landscape in the Middle East, particularly in Iran, have also led to some differences between the two countries.
The relationship between Saudi Arabia and India is an important one, based on mutual interests, and is likely to continue to grow and evolve in the coming years.
The exact amount of Saudi investment in India is difficult to quantify as it encompasses various sectors and investment vehicles, including direct investment, portfolio investment, and joint ventures. However, there have been several significant investment announcements in recent years.
In 2019, Saudi Aramco announced its plan to acquire a 20% stake in the Reliance Industries Limited (RIL) oil-to-chemicals business for $15 billion, which is one of the largest foreign investments in India. Saudi Aramco also signed an MoU with the Indian Oil Corporation (IOC) in 2019 to jointly develop and build a $44 billion integrated refinery and petrochemicals complex in the state of Maharashtra.
In addition to the energy sector, Saudi Arabia has also invested in India’s technology and infrastructure sectors. In 2019, the Public Investment Fund of Saudi Arabia (PIF) invested $1.3 billion in the Indian digital payments firm Paytm, and in 2020, PIF invested $1.5 billion in Jio Platforms, the digital arm of Reliance Industries.
Furthermore, Saudi Arabia and India have signed various bilateral agreements to boost investment and cooperation in sectors such as defence, healthcare, and tourism. These agreements are expected to further enhance the economic relationship between the two countries.
What is the Arab relationship with India?
The Arab world has historically maintained strong relations with India, based on shared cultural, economic, and historical ties. These relations are built on a long-standing history of trade and cultural exchange between India and the Arab world, which has helped to foster a mutual understanding and appreciation between the two regions.
India is home to a large diaspora of people of Arab origin, particularly in the southern state of Kerala, where there are significant numbers of people with ancestral roots in the Arabian Peninsula. This has helped to build cultural and people-to-people ties between India and the Arab world.
In recent years, the relationship between India and the Arab world has grown stronger, particularly in the areas of trade, investment, and energy. Many Arab countries, particularly those in the Gulf Cooperation Council (GCC), are important trading partners of India. In 2019-2020, the total trade between India and the Arab countries was estimated at around $123 billion.
Arab countries, particularly those in the GCC, are also important sources of energy for India, with Saudi Arabia being the largest supplier of crude oil to India. India and the GCC countries have also cooperated on renewable energy, particularly solar power.
In addition to economic ties, India and the Arab world have also cooperated on regional and global issues, particularly in the areas of counterterrorism, regional security, and peace and stability in the Middle East.
The relationship between India and the Arab world is an important one, based on mutual interests and historical ties, and is likely to continue to grow and evolve in the coming years.
Saudi Arabia is an important country for India, and the two countries share a strategic partnership based on mutual interests. There are several reasons why Saudi Arabia is important to India:
- Energy: Saudi Arabia is one of the largest producers of crude oil in the world and is an important supplier of crude oil to India. India is heavily dependent on imports to meet its energy needs, and Saudi Arabia’s role as a key supplier of oil to India makes it an important energy partner for India.
- Trade: Saudi Arabia is India’s fourth-largest trading partner, and India is one of Saudi Arabia’s largest trading partners. The two countries have signed various agreements aimed at enhancing economic, trade, investment, and technological cooperation. India’s trade relations with Saudi Arabia are important for its economic growth and development.
- Investment: Saudi Arabia is an important source of investment for India, particularly in sectors such as energy, infrastructure, and technology. Saudi Arabia has made significant investments in India in recent years, including in the oil and gas sector, the digital payments sector, and the infrastructure sector.
- Security: India and Saudi Arabia cooperate on security and counterterrorism issues, and the two countries have a shared interest in promoting peace and stability in the region. Saudi Arabia is an important partner for India in its efforts to combat terrorism and maintain regional security.
- People-to-people ties: There is a significant Indian community living in Saudi Arabia, which helps to strengthen people-to-people ties between the two countries. The community is involved in various sectors such as construction, healthcare, and finance, and plays an important role in the economic development of both countries.
Saudi Arabia is an important partner for India, and the two countries have a strong relationship based on mutual interests and shared values. The strategic partnership between the two countries will likely continue to grow and evolve in the coming years, based on the opportunities for cooperation in various areas.
Saudi Arabia is one of the largest suppliers of crude oil to India, and India is heavily dependent on imports to meet its energy needs. According to data from India’s Ministry of Petroleum and Natural Gas, Saudi Arabia was the second-largest supplier of crude oil to India in 2020-21 (April to March), after Iraq.
India imported a total of 227.32 million metric tons (MMT) of crude oil in 2020-21, of which 34.93 MMT (or 15.4%) was supplied by Saudi Arabia. This is a decrease from the previous year when Saudi Arabia supplied 39.44 MMT (or 18.3%) of India’s crude oil imports.
Despite the decrease, Saudi Arabia remains an important supplier of crude oil to India. India’s energy needs are expected to continue to grow in the coming years, and Saudi Arabia’s role as a key supplier of oil to India is likely to remain significant.
Iraq is currently the biggest exporter of oil in India. According to data from India’s Ministry of Petroleum and Natural Gas, in 2020-21 (April to March), Iraq supplied 80.49 million metric tons (MMT) of crude oil to India, which accounted for 35.4% of India’s total crude oil imports.
Saudi Arabia is the second-largest supplier of crude oil to India, with 34.93 MMT of crude oil supply in 2020-21, accounting for 15.4% of India’s total crude oil imports.
Other major suppliers of crude oil in India include the United Arab Emirates, Nigeria, and the United States. India imports crude oil from various countries around the world to meet its energy needs, and the sources of imports can vary depending on global market conditions and other factors.
Who are Saudi Arabia’s biggest enemies?
Saudi Arabia faces various security challenges and has several countries and groups that it considers potential threats to its national security. Some of the biggest enemies of Saudi Arabia are:
- Iran: Saudi Arabia sees Iran as its biggest rival and adversary in the region. The two countries have a long history of political and religious differences, and they are currently involved in a proxy war in Yemen. Saudi Arabia also accuses Iran of supporting terrorism and destabilizing the region.
- Houthis: The Houthi rebels in Yemen are seen as a direct threat to Saudi Arabia’s security. The Houthis have launched several missile and drone attacks on Saudi Arabia’s territory, including targeting oil facilities and civilian airports.
- ISIS: Saudi Arabia has been a target of the Islamic State of Iraq and Syria (ISIS) and considers the group a major threat to its security. The group has carried out several attacks in Saudi Arabia, targeting security forces, Shiite mosques, and foreign workers.
- Al-Qaeda: Although Al-Qaeda’s strength has diminished in recent years, the group remains a threat to Saudi Arabia’s security. Al-Qaeda has launched several attacks in Saudi Arabia, including the 2003 and 2004 attacks on residential compounds in Riyadh.
- Muslim Brotherhood: Saudi Arabia sees the Muslim Brotherhood as a threat to its political stability and accuses the group of supporting terrorism. The Kingdom was involved in a diplomatic row with Qatar, which has been accused of supporting the group, leading to a blockade of the country of Saudi Arabia and its allies.
It’s important to note that Saudi Arabia’s perception of its enemies may vary depending on various factors, including political and economic interests, regional dynamics, and internal security challenges.