New India-U.A.E treaty is a testament to the growing economic and political importance of the relationship

 
The new treaty signed by India and the UAE on July 15, 2023 is significant for a number of reasons. First, it will allow India to settle trade in rupees instead of dollars, which could save the country billions of dollars in transaction costs. Second, the treaty will set up a real-time payment link between the two countries, which will make it easier and faster for people to send and receive money. Third, the treaty will foster greater economic cooperation between India and the UAE, which could lead to increased trade, investment, and job creation.

Here are some of the specific benefits of the new treaty:

Reduced transaction costs: By settling trade in rupees, India will no longer have to convert its currency into dollars, which can be a costly process. This could save the country billions of dollars each year.

Faster and easier cross-border payments: The real-time pay
ment link between India and the UAE will make it easier and faster for people to send and receive money. This will be especially beneficial for migrant workers who send money home to their families in India.

Increased economic cooperation: The new treaty is expected to foster greater economic cooperation between India and the UAE. This could lead to increased trade, investment, and job creation in both countries.

The new treaty is a significant step forward in the India-UAE relationship. It has the potential to boost trade and investment between the two countries, and it could also lead to increased economic cooperation in other areas. The treaty is a win-win for both countries, and it is a sign of the strong ties that exist between India and the UAE.

In addition to the economic benefits, the new treaty could also have political and strategic implications. The UAE is a key ally of the United States, and India is a rising power in the region. The new treaty could help to strengthen the relationship between India and the UAE, and it could also help to improve India's ties with the United States.

Overall, the new treaty between India and the UAE is a significant development with the potential to have a positive impact on both countries. It is a sign of the strong ties that exist between India and the UAE, and it is a testament to the growing economic and political importance of the relationship.