Aramco’s petroleum processing plant.
Saudi Arabia’s cash-rich group, Aramco, plans to invest in India’s petroleum sector, according to a tweet by the External Affairs Ministry in New Delhi.
Head of Aramco Khalid A Al Falih called on Prime Minister Narendra Modi during which he conveyed that the state-owned company was eyeing India as the most preferred investment destination.
Minister Al Falih in dialogue with PM Modi – source MEA.
“Minister Al Falih to PM: Aramco looks to India as its No 1 target for investment,” External Affairs Ministry Spokesperson Vikas Swarup tweeted.
Aramco is Saudi Arabia’s national oil company with crude reserves of about 265 billion barrels which is over 15 per cent of all global oil deposits.
The Saudi government plans to sell shares in Aramco which is being transformed into an industrial conglomerate including petrochemicals and steel.
Saudi Arabia accounts for about one-fifth of total oil imports in India. The kingdom is India’s fourth largest trading partner.
India is specifically looking at Saudi investment in “high temperature (high pressure) deep sea offshore (well) exploration” which is opened to Foreign Direct Investment (FDI).
India’s ties with Saudi Arabia have been on an upswing over the last two decades and the two countries are keen to move beyond buyer-seller relationship in the energy sector and go for joint ventures and investment in refineries and oil fields.
Modi, who visited Riyadh April 2-3, has also invited top Saudi businessmen to invest in India’s key sectors like defence, insurance, railway and energy sectors, pointing out that India is an attractive investment destination even in the face of a global economic slowdown.
Saudi Arabia is planning to set up world’s largest sovereign wealth fund of over US$2 trillion.
India plans to build a staggering 50 million low cost housing, a mega project requiring huge investment which will create massive economic opportunities besides creating jobs.
“I want to give house to every poor Indian. I think every year a new Saudi Arabia has to be built in my country. That is a huge requirement,” said the Prime Minister. fii-news.com
