UAE investment in India is on course to hit $100 billion over the next few years, Indian Commerce and Industry Minister Piyush Goyal announced at a high-level bilateral meeting in Mumbai — a milestone that would cement the Gulf nation's standing as one of India's most consequential economic partners.
$100 Billion Target Across Priority Sectors
Speaking at the 12th session of the India-UAE High Level Joint Task Force on Investments in Mumbai, Goyal outlined the sectors expected to absorb the bulk of that capital: renewable energy, power transmission projects, data centres, and artificial intelligence.
The meeting was co-chaired by Sheikh Hamed bin Zayed Al Nahyan, Managing Director of the Abu Dhabi Investment Authority (ADIA), underscoring the strategic weight both governments attach to the bilateral investment agenda.
Current UAE Investment in India: Under $20 Billion
Goyal noted that total UAE direct equity investments in India currently stand at slightly under $20 billion, with $3 billion invested during the last fiscal year alone. The UAE already ranks as India's seventh-largest investor and has tripled its annual investment in the country over the past five years.
Both nations are working to expand their Comprehensive Economic Partnership Agreement (CEPA) to uncover further opportunities. The UAE offers free-of-cost sites for projects spanning investment, trade, technology, and tourism — incentives Goyal said were helping accelerate deal flow.
Education and Payments Cooperation
Beyond investment targets, Goyal announced that the Indian Institute of Foreign Trade (IIFT) will establish a campus in Dubai next year, deepening the educational ties between the two countries.
On the fintech front, India's Unified Payments Interface (UPI) is now integrated with the UAE's equivalent real-time payments network, AANI. The linkage enables more than 3 million Indians residing in the UAE to make cross-border remittances in real time — a step aligned with both governments' goals of bringing speed, transparency, and cost efficiency to international payments.
Bilateral Trade Hitting New Highs
Non-oil bilateral trade between India and the UAE rose to $28.2 billion in the first half of 2024, a 9.8% year-on-year increase, reflecting the momentum built since CEPA came into force. An Invest India office is also being opened in Dubai — the first such dedicated outpost in the Middle East — to serve as a direct contact point for UAE investors seeking to enter Indian markets.
India-UAE Ties Remain "Unblemished"
On the broader geopolitical backdrop, Goyal expressed confidence in the durability of the relationship. "The India-UAE relationship which still remains unblemished and continues to grow as both countries work towards achieving growth on their economic front," he said.
The minister's remarks reflect a broader trend of Gulf sovereign wealth funds and private investors rotating capital into India's fast-growing economy, particularly into infrastructure and clean-energy assets that align with India's net-zero commitments.
