The UAE has committed USD 5 billion to India's energy and AI sectors following an official visit by President HH Sheikh Mohamed bin Zayed Al Nahyan to New Delhi, where he met Prime Minister Narendra Modi to advance their comprehensive strategic partnership. Agreements covering petroleum reserves and LPG supplies form the core of the deal, designed to bolster India's energy security amid ongoing disruption to Strait of Hormuz shipping lanes.
India's crude imports have fallen 15% since mid-February, driving interest in expanding ADNOC's in-country storage capacity to around 30 million barrels. On the supply side, ADNOC is also advancing a secondary pipeline connecting Abu Dhabi oil fields to the port of Fujairah – bypassing Hormuz entirely – with completion targeted for FY27.
The investment package also includes an AI supercomputing collaboration between Abu Dhabi-based G42 and the Indian government, broadening the partnership beyond hydrocarbons.
Gulf Economist Staff Writer