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India & Saudi Arabia: The Influence of Indian Diaspora on Bilateral Relations

IFPP Graphic | Saudi India by A.M

India and Saudi Arabia, two regional powers, have deepened their ties through robust trade, people-to-people engagements, and cultural exchanges. Their relationship has evolved to encompass diverse areas such as energy, commerce, security, and counterterrorism, driven by mutual interests and aspirations. The Indian diaspora, with 2.5 million members in Saudi Arabia, plays a crucial role in this dynamic, contributing to both economies and strengthening bilateral relations. This article delves into the historical trajectory, economic complementarities, and cultural exchanges that have shaped India-Saudi Arabia relations, highlighting the significant impact of the Indian community on this partnership. 


Commentary by Rosello Biju K | Graphic by Asmita Maurya (M&D)
Summer Research Intern 2024


India and Saudi Arabia, both regional powers, have historically strengthened their relationship through trade, commerce, people-to-people engagements, and cultural exchanges. Today, Saudi Arabia plays a vital role in India's foreign policy, and India holds significant importance in Saudi Arabia's foreign strategy as well. This partnership has been driven by common interests and mutual aspirations. Their cooperation has expanded over time to include more complex and varied fields like energy, commerce, investment, security, defence, counterterrorism and migration. Economic complementarities have further solidified this relationship. Additionally, the presence of a large number of Indian diaspora is something that cannot be overlooked when discussing the two countries. Saudi Arabia hosts the third-highest number of Indian migrants. This article briefly explores the influence of this community on the bilateral relations between the two countries.


Historical Trajectory

India and Saudi Arabia have a long-standing relationship, established in 1947. The relationship was bolstered by King Abdullah's visit in 2006, which led to the signing of the 'Delhi Declaration'. In 2010, the 'Riyadh Declaration' was signed, elevating the relationship to a Strategic Partnership. In 2016, Prime Minister Narendra Modi's visit to Riyadh strengthened cooperation across political, economic, security, and defence sectors. In 2019, Crown Prince Mohammed bin Salman announced a $100 billion investment in India, signing six Memorandums of Understanding (MoUs)/Agreements in areas such as investment, tourism, housing, and audio-visual programs. Additionally, Saudi Arabia joined the International Solar Alliance (ISA), an initiative launched by Prime Minister Modi. These developments have significantly bolstered the multifaceted cooperation between the two nations.


This is not to say that the relationship is not without hindrances. India and Saudi Arabia have faced several obstacles, including historical, geopolitical, and strategic differences. Among the key inhibiting factors are the legacy of the Cold War, the political dynamics of the region, and the two countries' differing interests. During the Cold War, Saudi Arabia remained close with the US and Pakistan, while India maintained its non-aligned stance with close ties with the Soviet Union. India’s recognition of Israel in 1947 has also caused some discontentment in the Arab world, including Saudi Arabia.  Despite these complications, both countries now have a relationship that is mutually beneficial. In today's evolving global geopolitical landscape and growing economic interdependence, Saudi Arabia views India not only as a strategic economic partner but also as a potential "bridging power" capable of contributing significantly to regional peace and stability. This perspective stems from India's rising influence on the global stage and its ability to mediate and foster cooperation among diverse nations. The strategic location of this Gulf country makes it a valuable partner for India. The Indian diaspora plays a crucial role in strengthening the bilateral ties between the two countries.

 

Role of Indian diaspora

India is a significant contributor to the global workforce, providing skilled, semi-skilled, and unskilled labour migrants. The bilingual and English-speaking middle class has effectively bridged the language barriers to securing a significant place across the world. The Gulf region plays an important role as a primary destination for Indian migrants, attracting a substantial number of workers from India. With almost nine million Indian expatriates living in the GCC, 2.5 million are in Saudi Arabia, making it the 3rd largest destination for Indian migrants. This phenomenon has had a significant impact on India’s economy, with remittance inflows from the Gulf countries constituting a considerable portion of India's total remittances. This remittance forms the backbone of the economy in many Indian States like Kerala and Punjab. The primary factors drawing Indian expatriates to the Middle East have been attractive remuneration and geographical proximity, making the region a convenient and appealing destination.


Despite ongoing market changes, including the nationalization of jobs and economic diversification, these factors are unlikely to change in the foreseeable future. The allure of higher salaries compared to their home country and the relatively short distance from India to the Middle East ensures that this region remains a favoured choice for Indian professionals and workers seeking better opportunities abroad. Additionally, the longstanding presence of Indian communities in the Gulf, along with established networks and support systems, further solidifies the Middle East as a preferred destination for Indian expatriates.


From the Saudi Arabian perspective, Indians form a significant source of manpower. They form one of the largest communities of expatriates in the country. From professionals to white-collar workers to labourers and technicians, Indians have left an impact in the fields of engineering, medicine, and management in the Saudi workforce. They are preferred in many areas for their professionalism. On the other side, India has become a sought-after destination for tourism, medical tourism and education. Indian universities, in particular, have garnered attention from Saudi students who receive scholarships to study in India. The expanding economic relations between India and Gulf countries have significantly contributed to making the India-Gulf migration corridor one of the busiest in the world.

 

In February 2022, the National Skill Development Corporation (NSDC) of India, in collaboration with the Indian Ministry of Skill Development and Entrepreneurship, signed an Agreement on the Skill Verification Program with Takamol Holding, under the Saudi Ministry of Human Resources and Social Development. This agreement started the Skill Verification Program between India and Saudi Arabia, aimed at standardizing and recognizing the skills of Indian workers in the Kingdom. In 2014, the two countries signed an Agreement for Domestic Sector Workers, establishing guidelines and safeguards for Indian domestic workers employed in Saudi Arabia. This was followed by an Agreement for General Category Workers in 2016, further broadening the scope of cooperation to include a wider range of professions.


Another important element in the relationship between India and Saudi Arabia is the annual Hajj pilgrimage. Saudi Arabia is the host of two of the holiest places in Islam, Mecca and Medina. During Crown Prince Mohammed bin Salman's visit to New Delhi in February 2019, a significant development occurred with the announcement of an increase in India's Hajj quota. This increase allowed an additional 24,975 Indian pilgrims to participate in the pilgrimage, raising the total number to 200,000 for the August 2019 Hajj.

 

Cultural relations

The presence of the Indian migrant community has effectively served as a cultural bridge, strengthening the ties between India and Saudi Arabia. The Indian diaspora has deeply assimilated aspects of Arab culture, making it an integral part of their lives in Saudi Arabia. Through their efforts, they have significantly contributed to fostering and enhancing bilateral relations between the two nations.


India and Saudi Arabia have a longstanding cultural relationship, which has seen significant growth in recent years, particularly in alignment with Saudi Arabia's Vision 2030. A notable event was India's role as the 'Guest of Honour' at the 32nd Saudi National Festival of Heritage and Culture, 'JANADRIYAH,' held from February 7-28, 2018. India’s Azadi ka Amrut Mahotsv celebrations in 2021-2022 coincided with the 75th anniversary of diplomatic relations between India and Saudi Arabia. The Indian Embassy conducted a variety of events as part of the celebrations, including quizzes, exhibitions, film festivals, cultural events and sports tournaments.


Another major cultural aspect is Yoga, which has grown in popularity in Saudi Arabia, especially after it was classified as a 'sports activity' in November 2017. As a result, the Embassy is celebrating International Day of Yoga (IDY) in prominent places of Riyadh, with participation from quite a few Saudi nationals, notably young, as well as journalists, the diplomatic corps and the Indian diaspora. Nouf al-Marwaai, a Saudi national, received the Padma Shri award in 2018 for her efforts to popularize Yoga in Saudi Arabia. The Saudi Ministry of Sports and India's Ministry of AYUSH signed an MoU on Yoga Cooperation on IDY 2021, paving the way for the creation of formal Yoga standards and courses in the Kingdom, a first in the Gulf region.

 

Conclusion

 These developments show that Indian migrants do have a considerable influence on the relations between India and Saudi Arabia. For India, maintaining strong relations with West Asian countries like Saudi Arabia is critical to the well-being and safety of its expatriate community. These links are especially important in situations that require emergency evacuations. A classic example is Operation Raahat in 2015, when India, with significant aid from Saudi Arabia, staged a large-scale evacuation of Indian citizens and international nationals during the Yemen conflict. This operation demonstrated the necessity of bilateral collaboration in securing the prompt and efficient rescue of individuals from conflict zones, emphasizing India's strategic and humanitarian ties with Saudi Arabia and other West Asian countries.


References


Fargues, Philippe, et al. “Indian Migration to the Gulf: Overview of Trends and Policy Initiatives by India.” Gulf Labour Markets, Migration, and Population (GLMM) Programme, https://repository.iimb.ac.in/bitstream/2074/12591/1/Chanda_GRC_2018_P.179_197.Pdf. Accessed 17 July 2024.

“Growing Trends in India-Saudi Arabia Bilateral Engagements.” Indian Council of World Affairs, https://www.icwa.in/show_content.php?lang=1&level=3&ls_id=4792&lid=2842. Accessed 17 July 2024.

Hussain, Zakir. India-Saudi Arabia Policy Engagements: Some Suggestions. Dec 2014. ResearchGate, https://www.researchgate.net/publication/270576745_India-Saudi_Arabia_Policy_Engagements_Some_Suggestions.

“India-Saudi Bilateral Relations.” Embassy of India, Riyadh, Saudi Arabia, https://www.eoiriyadh.gov.in/page/india-saudi-bilateral-relations/. Accessed 17 July 2024.

Kumar, Sanjay. “India-Saudi Arabia Partnership Getting Stronger.” International Journal of Trade & Commerce-IIARTC, vol. 6, no. 2, 2017, pp. 428-438. Research Gate, https://www.researchgate.net/profile/Sudhir-Yadav-Phd/publication/350610623_IJTC-V6-N2_2017/links/6068b28692851c91b19fe3f1/IJTC-V6-N2-2017.pdf#page=118.



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