The recent defense agreement between Saudi Arabia and Pakistan—which includes mutual defense commitments and potential nuclear considerations—has renewed discussions about India’s relations with the Gulf countries. While Saudi-Pakistan ties raise concerns, India’s historical and strategic connections in the Gulf remain robust.
Understanding the Gulf Countries
The Gulf countries are Arab nations bordering the Arabian (Persian) Gulf, including Saudi Arabia, UAE, Qatar, Kuwait, Bahrain, Oman, and Iraq. Although Iran is geographically part of the Gulf region, it is not counted among the Gulf states due to its non-Arab and non-Sunni identity. India has long-standing cultural, trade, energy, and migration ties with these countries.
Saudi Arabia: India’s Traditional Ally
India and Saudi Arabia share deep-rooted relations spanning energy, trade, investment, and security. Over the past two decades, ties have strengthened significantly. Under Crown Prince Mohammed bin Salman (MBS), the relationship has seen renewed warmth. Prime Minister Narendra Modi’s third visit to Saudi Arabia in April 2024 resulted in agreements covering defense, energy, and infrastructure. About 2.6 million Indians reside in Saudi Arabia, further solidifying bilateral bonds.
UAE: India’s Largest Partner
The United Arab Emirates (UAE) is home to approximately 4.3 million Indians, making up around 35% of the country’s population. Trade between India and the UAE reached $28.4 billion in 2021-22 and is projected to hit $100 billion by 2026. Around 27% of India’s total remittances come from the UAE. Political ties are also strong, with frequent high-level visits by both sides.
Other Key Gulf Partners
-
Qatar: 800,000 Indians (25% of the population)
-
Kuwait: 1 million Indians (20% of the population)
-
Bahrain: 350,000 Indians (30% of the population)
-
Oman: 900,000 Indians (20% of the population)
These countries rely heavily on Indian labor and expertise, ensuring mutually beneficial relationships.
Iraq: Strategic Oil Partner
While India’s diaspora in Iraq is small (around 15,000–17,000), the country is crucial for India’s oil imports, supplying 22% of India’s total crude oil, the highest from any Gulf nation.
Three Pillars of India-Gulf Relations
-
Non-Resident Indians (NRIs): Approximately 8.9 million Indians live across Gulf countries.
-
Remittances: India receives $80 billion annually, largely from Gulf NRIs.
-
Energy and Trade: Gulf countries supply 60% of India’s oil needs, and trade with the GCC is valued at $154 billion.
Gulf nations also depend on India for food and grain, while Indian travelers remain a key customer base for airlines.
India’s True Friends in the Gulf
Despite the Saudi-Pakistan defense deal, India’s Gulf relationships are multi-layered and resilient. While Saudi Arabia is a critical partner for energy and political cooperation, the UAE stands out for trade and migration. Other countries—Qatar, Kuwait, Bahrain, and Oman—also remain reliable partners due to their Indian communities and economic ties.
In summary, when it comes to true friendship in the Gulf, the UAE and Saudi Arabia emerge as India’s most steadfast allies, supported by strong historical, economic, and strategic connections.
