Stronger India-UAE trade, digital payments and emerging technologies could support investment and market access for Indian tech businesses
India’s growing economic engagement with the United Arab Emirates (UAE) is opening potential opportunities for the country’s technology and electronics industries, with bilateral trade targeted to reach US$200 billion by 2032.
The trade target, equivalent to approximately Rs 18.88 lakh crore, comes as cooperation between the two countries expands into digital payments, emerging technologies and investment.
India-UAE bilateral trade currently stands at around US$101 billion, or Rs 9.53 lakh crore. This is an increase from approximately US$73 billion before the India-UAE Comprehensive Economic Partnership Agreement (CEPA).
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The agreement has improved market access and strengthened economic ties
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Greater awareness of its benefits could help businesses make better use of the opportunities available under the partnership
Investment and technology cooperation
The UAE has invested nearly US$25 billion in India over the past two decades and recently made a further investment commitment of US$5 billion. More than 200,000 Indian companies operate in the UAE, highlighting the scale of business connections between the two markets.
Mohammad Haseeb, Strategic Country Manager at Ras Al Khaimah Economic Zone, pointed to significant potential for further growth in bilateral trade and business engagement.
Technology cooperation is also expanding, including through Unified Payments Interface (UPI) and virtual corridors. These developments could support cross-border transactions and create opportunities for digital businesses and startups.
The UAE’s participation in BRICS during India’s 2026 chairship may provide an additional platform for trade and investment cooperation. The grouping’s wider economic engagement could help Indian businesses explore new markets and partnerships.
Opportunities for Indian businesses
Delegations from Punjab, Bihar, Madhya Pradesh and Odisha are exploring investment opportunities in the UAE, while UAE investors continue to engage with Indian markets.
The presence of around 4.5 million Indians in the UAE further strengthens commercial and community links between the two countries.
For Indian technology and electronics companies, closer ties could support market expansion, investment and collaboration in emerging technologies. However, turning the potential into sustained business growth will depend on effective implementation of trade agreements and continued investor engagement.
