Category: Economy

India is strengthening its economic and diplomatic ties with the United Kingdom, with fresh initiatives aimed at expanding their £41 billion trading agreement. External Affairs Minister S. Jaishankar is in the UK to advance negotiations on trade, investment, and strategic relations. His visit is anticipated to speed up ongoing negotiations and create new prospects for collaboration.

As part of this increasing connection, India will establish two new consulates in Belfast and Manchester. This action is intended to boost regional economic involvement, increase investment relations, and provide extra assistance to the Indian diaspora in these regions. The British High Commission highlighted that Indian FDI in the UK increased by 28% by the end of 2023, keeping India as the second-largest investor in FDI projects for the fifth year in a row.

Jaishankar and UK Foreign Secretary David Lammy met at Chevening House to discuss ways to deepen the UK-India Comprehensive Strategic Partnership. They concentrated on trade, climate change, and global security concerns, such as the Russia-Ukraine crisis and Middle East developments.

The UK also applauded India’s move to raise the FDI threshold in the insurance sector from 74% to 100%, allowing British companies to expand in India.

In 2024, non-oil trade between the United Arab Emirates (UAE) and India reached over US$65 billion, a 20.5% rise from US$54 billion in 2023. This increase is due to the ongoing success of the Comprehensive Economic Partnership Agreement (CEPA), which is now in its third year.

India remained the UAE’s leading destination for non-oil exports, accounting for 13.5% of total exports. The volume of these exports increased by a startling 75.2% compared to 2023, demonstrating the two countries’ growing economic relations. Experts credit CEPA with eliminating trade barriers and lowering tariffs, resulting in fresh opportunities for business.

The bilateral trade connection has grown dramatically, with total merchandise trade between the two countries expected to reach $83.7 billion by 2023-24. Non-oil commerce alone provided US$57.8 billion, meeting the ambitious objective of reaching US$100 billion in bilateral non-oil trade by 2030.

Electrical machinery, equipment, chemicals, and high-tech items are among the key areas driving growth. A new Bilateral Investment Treaty (BIT) signed in 2024 aims to strengthen mutual investments and economic cooperation even further.

The UAE-based Aqua Bridge Group would spend ₹4,000 crore in Uttar Pradesh’s fisheries sector, transforming the industry significantly. This is one of the largest foreign investments in India’s aquaculture industry. The initiative’s goal is to build an advanced fish farming ecosystem through cutting-edge technology, research, and structured market networks.

The UP Industrial Development Authority (UPIDA) will oversee the project, which will be centred in Unnao’s Saraiya village and span six districts: Sitapur, Hardoi, Unnao, Ayodhya, Barabanki, and Rae Bareli. Unnao’s fish farming cluster will serve as the core hub, with AI-driven fisheries management and export-oriented production.

Jai Prakash Singh, coordinator of the UP Diversified Agriculture Support Project (UPDASP), indicated that the Intensive Aquaculture Farm & Aquatic Research Centre will concentrate on contemporary fish feed production, post-harvest processing, and farmer training. A memorandum of understanding between the UAE enterprise and the state government is due shortly.

Unlike traditional investments, this concept combines AI-powered aquaculture with research-based farming. It is expected to quadruple fish production and create jobs for 1 lakh people, including 34,000 fish-farming households. Additionally, one lakh farmers would be trained in advanced aquaculture technologies.

On February 18, Singapore’s Minister for Development, Desmond Lee, officially opened the Gemilang Kampong Gelam Festival and Ramadan Bazaar. The occasion demonstrates the government’s dedication to both tourism and cultural preservation.

The government has taken steps to aid these efforts, such as creating an inter-agency task force and a limited liability business with a guarantee. These actions are intended to preserve Kampong Gelam’s cultural heritage while increasing its economy.

Kampong Gelam is one of Singapore’s oldest districts and has a rich cultural past. It continues to be a centre for historic companies and customs that add to its lively ambience. To strike a balance between historical preservation and corporate expansion, the Kampong Gelam Alliance has worked with consultants, ministries, and the Urban Redevelopment Authority (URA) during the last three years.

Little India and Chinatown are two more historic districts that are essential to maintaining Singapore’s cultural character. Businesses in these sectors face difficulties, however, due to shifting consumer tastes and growing expenses.

The new task force will address this by concentrating on two main areas: improving infrastructure and placemaking strategies and assisting heritage enterprises through workforce development, skills transfer, and modernisation.

Asia’s FinTech business is expanding at an unprecedented rate, with total transaction volumes expected to reach $18.9 trillion by the end of 2025. According to UnaFinancial’s most recent data, there has been a 12.6% increase year-on-year, strengthening Asia’s supremacy in the global FinTech market.

In 2024, the region had FinTech transactions of $16.8 trillion, up $2.1 trillion from the previous year. Asia accounted for 48.2% of the worldwide FinTech sector, worth $34.8 trillion. Digital payments and transfers continued to drive the expansion, accounting for $834 billion of total growth. Digital banking followed closely behind, adding $684 billion, while digital commerce grew by $435 billion. The other financial technology sectors expanded by $124 billion.

The increasing use of mobile banking, smart apps, and cashless transactions is fuelling Asia’s FinTech industry. Emerging economies in the region are seeing increasing FinTech adoption, owing to increased smartphone usage and limited access to traditional financial services. 

Asia is predicted to account for 47.1% of the worldwide FinTech market by 2025, with a value of $40.1 trillion. With ongoing innovation in digital finance, the area is strengthening its place as the world’s FinTech leader.

Thailand’s tourism potential is being actively promoted by the Tourism Authority of Thailand (TAT) at the South Asia Travel and Tourism Exchange (SATTE) 2025. The Yashobhoomi-India International Convention and Expo Centre will host the event from February 19–21. It is an important opportunity for Thailand to interact with Indian tourists. TAT celebrates its 16th year of involvement, taking advantage of the chance to highlight Thailand’s diverse travel options and rich cultural legacy.

Over 35,000 people are anticipated to attend SATTE 2025, India’s largest travel and tourism show, including 1,400 exhibitors. A visitor information area, a business networking area, and a cultural demonstration part showcasing traditional Thai art forms are the three designated zones of the 300-square-metre Thailand Stand. The stand, which is represented by 50 Thai travel agencies, encourages business-to-business (B2B) partnerships and increases interaction amongst industry participants.

‘Living it Up in Thailand’ and ‘Celebrations with Care and Inner Shine’ are two of TAT’s programs aimed at attracting different travel categories, such as weddings, family vacations, and luxury leisure, with 2.3 million Indian arrivals anticipated by 2025.

On Friday, leaders from the Gulf Cooperation Council (GCC), Jordan, and Egypt will gather in Saudi Arabia for a pivotal meeting. Crown Prince Mohammed bin Salman will greet the leaders in Riyadh for what has been called “an informal brotherly meeting,” according to the Saudi Press Agency (SPA).

The meeting is a continuation of a long-standing custom of frequent informal talks between these countries. According to officials, the gathering will offer a chance to discuss regional cooperation and developments. The agenda for the next Arab summit will be a major point of discussion.

Egypt recently said that on March 4, it will host an urgent Arab conference with a focus on Gaza rehabilitation. Abdel Fattah al-Sisi, the president of Egypt, stated that his nation is developing a comprehensive plan to reconstruct the region destroyed by conflicts without forcing its Palestinian inhabitants to leave.

This comes after former US President Donald Trump made a controversial proposal that Gaza be repopulated and turned into a luxury destination. The Arab world, which views the idea as an attempt at forced displacement, has strongly denounced it.

Thai visitors no longer need a visa to enter Mumbai, Delhi, Chennai, Kolkata, Bangalore, and Hyderabad. Up to December 31st, the Indian government has instituted a 30-day visa-free entry policy. To balance the growing number of Indian tourists visiting Thailand, this effort seeks to draw in more Thai tourists.

The Indian embassy in Thailand affirmed on February 7 that Thai visitors are not required to pay a visa fee to enter India. Single or multiple entry and a maximum stay of 30 days are permitted with the e-tourist visa. The application must be filled out beforehand via the official website.

It is anticipated that this project will improve tourism and cultural contacts between the two countries. Nearly 2 million Indian visitors travelled to Thailand in 2023. In 2024, that figure is anticipated to increase to 2.5 million. India is reducing the cost of visas for Thai visitors to counteract this trend.

Furthermore, an expansion of flights between the two nations has been authorised by India. Six key routes now provide more than 7,000 additional seats every week. This action promotes Thai tourists to discover India’s rich cultural legacy, boosts local economies, and fortifies diplomatic ties.

The Reserve Bank of India (RBI) has launched a new smartphone application, ‘RBI Data,which aims to provide easy access to vital financial and economic information. With this software, users may effortlessly access over 11,000 different data series about India’s economy. The program seeks to make it easier to retrieve financial information by reducing the need to recall multiple economic indicators.

According to RBI, the app will provide financial and economic data in a user-friendly and visually appealing style. The software offers graphical representations and charts of time-series data, making it easier for users to see trends.

Users can also view details such as data sources, measurement units, update frequency, and history records. The app also contains a ‘financial Outlets’ feature, which allows users to find financial services within a 20-kilometer radius.

For regional financial information, the app includes a ‘SAARC Finance’ area with data on South Asian countries. It also provides direct access to the RBI data portal.

The app serves researchers, students, and professionals by providing easy access to extensive economic insights. Meanwhile, the RBI expanded the UPI credit line structure, allowing individuals to use pre-approved credit lines as funding sources.

The Comprehensive Economic Partnership Agreement (CEPA) between India and the United Arab Emirates celebrated its third anniversary on February 18, 2025. On February 18, 2022, India’s Prime Minister Shri Narendra Modi and the President of the United Arab Emirates, His Highness Sheikh Mohamed bin Zayed Al Nahyan, inked this historic trade agreement during a virtual summit. It becomes formally operative on May 1, 2022.

Bilateral trade between the two countries has experienced an unprecedented increase since the agreement’s adoption. Between FY 2020–21 and FY 2023–24, the total trade value increased from USD 43.3 billion to USD 83.7 billion. Trade reached USD 71.8 billion between April and December 2024 alone, demonstrating the swift economic interaction between the nations.

The growth of non-oil commerce, which totalled USD 57.8 billion in FY 2023–2024, has been greatly aided by CEPA. The objective of reaching USD 100 billion in non-oil commerce by 2030 is in line with this expansion.

In FY 2023–2024, India’s non-oil exports to the UAE increased dramatically to USD 27.4 billion. Products made from refined crude oil, jewellery and stones, electrical equipment, chemicals, and high-tech items are important export markets.