Saudi, India to strengthen investment, 'counter-terrorism' ties

Saudi King Salman bin Abdulaziz and Indian Prime Minister Narendra Modi agreed in Riyadh on Sunday to facilitate investments and to strengthen their cooperation in fighting "terrorism".

"The two leaders expressed strong condemnation of the phenomenon of terrorism in all its forms," said an Indian Foreign Ministry statement after their talks.

Modi arrived in the world's largest crude exporter on Saturday and has held talks with top Saudi officials, his country's community in the Muslim kingdom, as well as Indian workers and local businessmen.

Saudi Arabia is home to almost three million Indian expatriates who send home more than $10bn in remittances every year, according to India's Foreign Ministry.

India, which imports about 80 percent of its oil needs, is keen to take advantage of current low crude prices by signing overseas deals that will help secure supplies to meet growing demand as its economy develops.

The Indian Foreign Ministry statement on Sunday said that "the two leaders expressed satisfaction at their growing bilateral trade in the energy sector".

They agreed "to transform the buyer-seller relationship in the energy sector" to focus "on investment and joint ventures in petrochemical complexes, and cooperation in joint exploration in India, Saudi Arabia and in third countries," it added.

Their investment authorities signed a framework agreement to facilitate investments by the private sectors in the two countries. 

Security discussions

They also discussed regional and international developments, including the security situation in West Asia, the Middle East and South Asia, and agreed to bolster defence cooperation.

They "agreed to enhance cooperation in counter-terrorism operations" and cyber-security, "including prevention of use of cyber space for terrorism, radicalisation and for disturbing social harmony," the Indian Foreign Ministry statement said. 

Away from the public glare, Delhi and Riyadh have been expanding their counter-terror cooperation, notwithstanding warm ties between Saudi and Pakistan, the Economic Times reported.

Just days ahead of Modi's two-day visit to Riyadh, Saudi Arabia and the US Treasury announced joint sanctions on four individuals and two organisations with alleged links to al-Qaeda, the Taliban and Pakistan-based militant group Lashkar-e-Taiba, which India blames for the 2008 Mumbai attacks that killed 166 people. 

The two countries signed a memorandum of understanding on cooperation in intelligence-sharing on money laundering and "terrorism financing," according to a statement from the official Saudi Press Agency.

Modi's right-wing nationalist Bharatiya Janata Party swept to power in 2014 promising to revive India's economy and create much-needed jobs.