The India–UAE economic corridor has emerged as one of the world’s fastest-growing trade partnerships, reflecting a deepening strategic and economic convergence between two key global economies. Anchored by the Comprehensive Economic Partnership Agreement signed in 2022, bilateral trade between India and the United Arab Emirates crossed the landmark $100 billion level five years ahead of the original 2030 target. In January 2026, leaders announced a new and more ambitious goal: $200 billion in bilateral trade by 2032.

The scale of economic engagement is underpinned by strong diversification. Non-oil trade alone has touched $65 billion, growing nearly 20% year-on-year, signalling a shift beyond the traditional energy-centric relationship. Two-way investments are also robust, with UAE investments in India exceeding $22 billion, while Indian companies have invested over $16 billion in the UAE. Nearly five million Indians live in the UAE, and more than 1,200 weekly flights make this one of the busiest air corridors globally.

Sectoral cooperation is expanding into manufacturing, logistics, financial services, renewables, and technology. Reliance Industries has partnered with TA’ZIZ on a $2+ billion low-carbon chemicals project, while Larsen & Toubro is developing a major solar-plus-storage project in Abu Dhabi. In banking, Emirates NBD acquired a majority stake in RBL Bank, marking a milestone in financial integration.

Strategically, the corridor is now expanding into third markets. Bharat Mart in the UAE will serve as a wholesale export hub for Indian goods targeting Africa, West Asia, and Eurasia. Simultaneously, both nations are collaborating in digital infrastructure and AI, reinforced by India hosting the AI Impact Summit 2026 in New Delhi. Together, India and the UAE are transforming a bilateral partnership into a globally oriented economic alliance.