New Delhi and Abu Dhabi have inked a currency swap agreement to boost trade and investment without involvement of a third currency like the US dollar.
Venus (money, cooperative (inked a currency swap agreement)) conjunct Apollon (commerce and trade (the sides also discussed cooperation in energy, security, trade, investments, space, defense)).
The swap is for an amount of two billion UAE dirham or 35 billion
Indian rupees (US$495 million), according to the Indian Embassy in Abu
Dhabi.
“The bilateral currency swap agreement between India
and UAE is expected to reduce the dependency on hard currencies like the
US dollar,” the embassy said.
“It
is also expected to give a push for the local currencies of the two
nations and may reduce the impact of volatility in exchange rate arising
from the dependency on a third currency. It is also expected to reduce
the transmission costs arising from exchange rate risk,” the embassy added.
The sides also discussed cooperation in energy, security, trade, investments, space, defense, and so on.
With
more than $50 billion in bilateral trade, the two countries are each
other’s largest trade partners. India’s foreign direct investment into
the UAE was $6.6 billion in 2017, while the UAE’s investment in India
stood at $5.8 billion.
UAE is the sixth-largest oil exporter for India, with non-oil trade between them accounting for $34 billion.
Earlier
this year, Abu Dhabi National Oil Company (Adnoc) and an Indian
consortium led by the Oil and Natural Gas Corporation (ONGC) signed a 10
percent offshore concession agreement giving Indian companies the
opportunity to develop Abu Dhabi’s offshore oilfields, which produce
about 1.4 million barrels of oil per day.
Adnoc is also investing
in India’s $44 billion Ratnagiri petrochemical complex in cooperation
with Saudi Aramco. It is exploring the possibility of storing its crude
oil at Indian Strategic Petroleum Reserves Ltd (ISPRL)’s underground oil
storage facility at Padur in Karnataka.
Source: rt.com
No comments:
Post a Comment
Note: only a member of this blog may post a comment.