india Saudi deal
- March 3rd, 2010
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india Saudi deal
The role of emerging economies like India and Saudi Arabia would be crucial to the restructuring of the global economic and financial architecture, said Prime Minister Manmohan Singh. ‘The integration of our economies with the rest of the world has created new opportunities and also -brought new challenges,” the Prime Minister said here today. He was addressing the Council of Saudi Chambers of Commerce and Industry during the course of his visit to this affluent Gulf nation, one of the world’s largest oil producers and home to Islam’s holiest sites. ‘The global financial crisis has thrown up a broad agenda for global action and reforms. The role of emerging economies such as India and Saudi Arabia within the G-20 framework, and otherwise, will be crucial to the restructuring of global economic and financial architecture,” he added. Stating that the robust growth of the economies of the two countries threw up immense opportunities for business communities from both sides, Manmohan Singh said Indian investments into the kingdom had risen considerably and now stood at more than $2 billion, covering 500 joint ventures. Stating that India’s need for high quality modem infrastructure was vast, he called upon Saudi investors and entrepreneurs to explore investment opportunities in India.
“I would specially refer to the construction, manufacturing, pharmaceuticals, health, agriculture, energy, telecommunications, biotechnology, tourism and other service sectors,” he said. From India’s side, he offered the country’s expertise in the knowledge- based sector. “Education and skill development are of primary importance to both our countries. Continued India has a proven track record in the field of knowledge- based industries, which have great potential for improving the skill set of worlcforce,” he said ”India would be happy to share its experience with Saudi Arabia in the area of human resources development,” he added. As for energy cooperation, he said conditions were ripe for moving beyond a traditional buyer-seller relationship to a comprehensive energy partnership.” Indian companies are well equipped to participate in upstream and downstream oil and gas sector projects in Saudi Arabia,” he said.
Coming to the Indian economy, he said, despite the global financial crisis, “we hope to achieve a growth of over 7 per cent in the current financial year”. ”We expect to get back to the growth level of about9 per cent per annum within two years. Our domestic savings are high, and can support investment rates of as high as 38 per cent of the gross domestic product,” he said. Prior to the prime minister’s address, Saudi and Indian businessmen participated in an open dialogue moderated by Fahd AI-Sultan, secretary- general of the Council of Saudi Chambers of Commerce and Industry. Stating that the Saudi private sector was keen to have ec0nomic ties with India, AI-Sultan sought multiple-entry visas for Saudi businessmen. “We need Indian expertise to support our small and medium enterprises,” he said .