Who Knows If Modi is really Cursed This is the reason that he is attracting issues with the neighboring and friends one by one. Honestly speaking some of these came to India automatically neither Modi administration has any role or wishes for these. Below we have figured out the reasons behind this newest issue between India and Saudi Arabia. We would like to remind our readers that India and Saudia have strong ties.
India has complained to the Saudi government about Indian-administered Kashmir being shown as a separate border unit on a world map printed on the back of a recently issued 20 riyal note in Saudi Arabia.
According to a report by the French news agency AFP, the Indian Foreign Office in New Delhi has announced a new currency of 20 riyals from Saudi Arabia in celebration of its presidency of the G20. Concerned neo-hippies and their global warming, I’ll tell ya.
Kashmir Region A Disputed Territory
The Kashmir region shares disputed borders between India, Pakistan, and China, and is listed as a separate country on Saudi Arabia’s new currency note, including part of Indian-administered Kashmir.
The Indian Foreign Ministry has said that Saudi officials should take corrective action, but Saudi officials have not commented.
India is part of the Group of Twenty countries and Prime Minister Narendra Modi will address its virtual summit in November this year.
India’s claim to the disputed region of Kashmir is intensifying, and on August 5 last year, the disputed state’s special constitutional status was revoked and it was divided into two administrative parts. Was merged into the ‘Treaty’.
Tens of thousands have been killed in the three-decade-long separatist movement in Indian-administered Kashmir, and since the August 5 crackdown last year, the government of the Hindu extremist party BJP has called for a crackdown. Curfew and communication closed for a long time in Nagar Valley and other areas.
Previous Reaction of India Government
The Indian government last week protested the inclusion of Ladakh as part of China in geo-tagging data on the social media site Twitter.
Three years ago, a new law was enacted in India that made it a punishable offense to show a part of the country by mistake, under which a criminal could be sentenced to three years in prison.
New Delhi shut down Al Jazeera for a week in 2015 because a map on Al Jazeera showed Kashmir as separate from India.
Ever since Narendra Modi came to power, India’s relations with the Gulf countries have clearly strengthened.
Indias Effort to Improve the Ties with Saudia
In the last five years, India and Saudi Arabia have come closer and in 2016, they were warmly welcomed by Narendra Modi’s visit to Riyadh. Crown Prince Muhammad bin Salman also paid a two-day visit to India on February 19 and 20, which further improved relations.
A quarter of India’s crude oil imports come from Saudi Arabia, and India spent 87 87 billion on it in 2018-2019.
Saudi Arabia is India’s fourth largest trading ally after the United States, China and the United Arab Emirates. However, some experts believe that the relationship is far apart despite the closeness.
Relations between India and Saudi Arabia are not as extensive as those between Pakistan and Saudi Arabia. Saudi Arabia does not want to lose Pakistan and has increased its military aid to Pakistan in difficult times. Riyadh, on the other hand, does not know whether India will provide it with security and military assistance.
Traditionally, Saudi-Pakistani relations have been as strong as a rock, and this is due to mutual trust. In the case of Kashmir and Afghanistan, Saudi Arabia is leaning towards Pakistan
However, in recent years, Saudi Arabia has recognized India’s growing power in the world.
Trade between the two countries reached 27 billion last year and is estimated to reach 49 49 billion next year.
But if the trade balance is against India, it is a matter of concern for its government.
It would not have been so important if Saudi Arabia had invested 70 billion in India as promised during the visit of then Prime Minister Manmohan Singh to Riyadh in 2010.
But only one-third of the 1 billion invested, while India’s investment in Saudi Arabia is more than 1 billion.
Saudi Arabia is not interested in India because it is we who want things from them. Whether it’s oil, jobs for our workers there, or Saudi investment. And as far as India is concerned, Saudi Arabia is not as strategic as China, Pakistan, and the United States.
It is no secret that India’s emerging economy needs huge foreign investment. Saudi Arabia has 1 trillion in investment funds. It needs to diversify its investment, India has a huge market.
Logic says that if the relationship between the two is deep, they can be beneficial to each other. But Saudi Arabia has so far not given much importance to India for investment.
Whether it is Pakistan or India, Maldives, or Egypt or Sudan, Saudi Arabia has made all the investment promises but only 10 to 15 percent of them have been fulfilled. This is because oil prices did not reach Saudi Arabia’s projected price of 78 US Dollarsa barrel and cost the war in Yemen.
The Industrial Relation Between India and Saudia
India and Saudi Arabia have very deep trade relations. 17% of India’s oil and 32% of LPG comes from Saudi Arabia and the trade between the two is about ً 27.5 billion. Of this, India buys 22 22 billion worth of petroleum products from Saudi Arabia, while India’s exports are worth only 5 5.5 billion.
This trade imbalance is worrying for India. On the other hand, Saudi Arabia also wants to invest 100 100 billion in India. However, the Saudi economy is also slowing down at the moment. One reason for this is the fall in oil prices and the increase in spending due to the ongoing war with Yemen.
So far, Saudi Arabia’s economy has depended on oil, but now it wants to invest in other sectors as well. That is why he wants to invest in India, China, Japan and South Korea. At the same time, changes are taking place inside Saudi Arabia, tourism is being promoted and new companies are being opened.
In addition to trade and international relations, India and Saudi Arabia have many interests at stake. Saudi Arabia employs about 1.5 million Indians, earning India billions of dollars in foreign exchange.
A large petrochemical complex is being built in the Indian state of Madhya Pradesh with the help of Saudi Arabia and the United Arab Emirates. The potential کی 100 billion investment from Saudi Arabia also includes agreements with Reliance Energy and BPCL.
India is also building oil reserves. Such reserves have been created in South India. Now India is building another such reserve so that it can be used in case of emergency or in case of sudden rise in prices. Saudi Arabia and the United Arab Emirates can also be very helpful in this project.
India wants to have about 3 months stock. That is, even if oil is not imported for 3 months, it can still work.
What is the role of Saudi Arabia?
Investment by just one country will not solve India’s immediate economic problems, but it is also true that better trade relations with Saudi Arabia will make a difference.
The global economy has weakened considerably. India’s investment expectations from Western countries are not being met. There are hopes from Japan and South Korea as they have good relations with India and have significant investment plans in India. A large part of it has reached India.
India is set to build a trade corridor between the north and the south, along with plans for smart cities and industrial cities. Saudi Arabia also has a significant role in all these projects. On the other hand, oil coming to India from Iran has been stopped and therefore India has to take oil from Saudi Arabia and Iraq.
How much India depends
India and Saudi Arabia have become increasingly dependent on each other. That is why Saudi Arabia, which once fully supported Pakistan, is now moving closer to India. Another reason is its 2008 Look East policy.
Nevertheless, it is true that Saudi Arabia has close ties with Pakistan in many areas. Pakistan and Saudi Arabia have very close ties.
However, there is some tension between the two because Saudi Arabia thought that Pakistan would openly support Iran and play a major role in the ongoing war in Yemen, but this did not happen.
In today’s world, economic interests have become more important than political ones. India’s economy of about two and a half trillion is growing and Saudi Arabia wants to take advantage of it.
Extremism will also be an important topic in the India-Saudi talks. India wants an international conference on extremism to be planned by all countries together. So far there has been a lot of cooperation between Saudi Arabia and India in this regard. Saudi Arabia has not refused India’s request to extradite a wanted person.
The Saudis are trying to figure out how deep their relationship with India should be.