India, UAE to discuss investment related challenges as FDI decline in India

India and the United Arab Emirates (UAE) are set to discuss challenges related to investments by companies from both nations in the upcoming days.

Piyush Goyal, India's Commerce and Industry Minister, will commence a two-day visit to the UAE on Thursday. He will co-chair the 11th India-UAE High Level Task Force on Investments (HLTFI) and interact with key industry figures. The dialogue will also involve the UAE delegation, led by Sheikh Hamed bin Zayed Al Nahyan, a member of the Executive Council of the Emirate of Abu Dhabi.

An official statement from the commerce department mentioned, "The session will evaluate the progress achieved by the Joint Task Force, aiming to promote investment in sectors ripe for economic growth."

The meeting comes amid a decline in foreign direct investment (FDI) into India. The first half of the 2023 calendar year witnessed a 37 per cent drop in FDI equity inflows, totalling $20.21 billion, compared to the same period the previous year.

Goyal is also scheduled for bilateral discussions to enhance trade, streamline investment protocols, and reinforce areas of mutual interest, further solidifying the bond between the two countries.

Established in 2013, the joint task force has been instrumental in enhancing trade, investment, and economic ties between the UAE and India. Over the years, the HLTFI has effectively addressed various challenges encountered by firms from both nations.

This meeting holds significance as it's the first since the one-year anniversary of the India-UAE Comprehensive Economic Partnership Agreement (CEPA).

Additionally, during Goyal's visit, NPCI International Payments Ltd, NPCI's international division, is expected to collaborate with Al Etihad Payments in Abu Dhabi, aiming to enhance cross-border payment transactions and champion the RuPay debit and credit cards.