Prime Minister Narendra Modi, speaking at the India-Oman Business Summit in Muscat on Thursday, spotlighted India's robust economic performance, revealing that the nation's growth has surged past 8%. He emphasized that this solidifies India's position as the world's fastest-growing major economy, a feat achieved amidst a challenging global landscape.
A New Chapter in India-Oman Economic Ties
The centerpiece of the summit was the signing of the much-anticipated India-Oman Comprehensive Economic Partnership Agreement (CEPA). PM Modi declared that this pact would inject new confidence and energy into the bilateral partnership for the 21st century. He underscored that India has not merely altered its policies over the past 11 years but has fundamentally transformed its "economic DNA."
Engaging with business leaders from both nations, the Prime Minister outlined a vision for deeper economic collaboration. He connected India's growth trajectory directly to the benefits for its partners, stating, "Whenever India grows, it helps its friends grow as well." He particularly highlighted the mutual advantage for Oman, citing not only close friendship but also crucial maritime neighbourhood.
Trade Figures and Strategic Importance
Union Commerce and Industry Minister Piyush Goyal, who also addressed the gathering, provided concrete data on the thriving trade relationship. He noted that bilateral trade has already crossed the $10 billion mark, reaching $10.613 billion in FY 2024-25, up from $8.947 billion the previous year. Goyal stressed that this is just the beginning and called for a more diversified trade partnership.
The CEPA is designed to unlock this potential by facilitating duty-free trade and dismantling barriers. Goyal invited Omani businesses to leverage India's vast market, while positioning Oman as a strategic gateway for Indian businesses into the Gulf, Africa, and West Asia. He underscored the deal's significance, noting it is Oman's second FTA with a country in nearly two decades, a clear testament to the importance both nations place on the relationship.
India's FTA Momentum and Regional Engagement
The India-Oman CEPA marks a pivotal step in strengthening New Delhi's economic engagement with the Gulf region. It follows a series of strategic trade agreements signed by India in recent years, including pacts with the UAE (2022), Australia (2022), the European Free Trade Association (2024), and the UK.
PM Modi and Minister Goyal both emphasized the deep, generational trust that underpins commercial ties between India and Oman, with both sides possessing a nuanced understanding of each other's markets. The signing of the CEPA is widely seen as heralding a new, ambitious chapter in a long-standing and prosperous relationship.
