Strengthening India-Oman Strategic Partnership

Summary of Prime Minister Narendra Modi's Visit to Oman

1. Diplomatic Context:

• PM Modi's visit on December 17, 2025, coincides with the 70th anniversary of diplomatic relations between India and Oman.
• Modi's previous visit was in 2018; Sultan Haitham bin Tarik visited India on December 16, 2023.

2. Strategic Partnership:

• Oman maintains a foreign policy of moderation and neutrality; it has been a consistent partner of India in the Gulf region.
• A strategic partnership agreement was signed in November 2008.
• Defence cooperation has a memorandum of understanding (MoU) on military cooperation established in 2005.

3. Defence and Security:

• Oman is pivotal to India's West Asia Policy, engaging in joint military exercises across all three arms of the Indian armed forces since 2012.
• An Indian naval ship has been deployed in the Gulf of Oman for anti-piracy missions.
• Logistics agreement for Duqm Port enhances Indian Navy's operational capabilities in the region.

4. Economic Relations:

• Bilateral trade projected at $10.613 billion for FY 2024-25.
• Foreign Direct Investment (FDI) from Oman to India since 2000 totals approximately $605.57 million.
• Oman-India Joint Investment Fund has invested $600 million, including a recent tranche of $300 million.

5. Financial and Technological Collaboration:

• The Central Bank of Oman signed a MoU with the National Payments Corporation of India (NPCI) to integrate payment systems and launched the Rupay debit card in Oman.
• Emphasis on fintech and digital payments as a pathway for cooperation.

6. Comprehensive Economic Partnership Agreement (CEPA):

• CEPA is expected to be finalized, making Oman the second Gulf nation to engage in such an agreement with India.
• The agreement aims to diversify trade amid increasing tariffs from the US on Indian imports.

7. Energy Cooperation:

• Discussions on green hydrogen, renewable energy, and critical minerals as part of the global energy transition.
• Potential for Oman's strategic petroleum reserves to be held in India, similar to existing agreements with the UAE.

8. Connectivity Initiatives:

• The India-Middle East-Europe Economic Corridor (IMEC) will involve Oman significantly, enhancing regional connectivity.

9. Defence Production and Technology Transfer:

• Possibility of establishing joint production facilities for defense equipment including Tejas fighter aircraft and naval patrol ships.
• Further collaboration on counter-terrorism and anti-piracy measures.

10. Educational and Health Collaboration:

• Plans to establish offshore campuses of Indian Institutes of Technology (IIT) and Indian Institutes of Management (IIM) in Oman.

11. Significance of the Visit:

• This visit symbolizes a commitment to deepen and expand cooperation across various domains in a rapidly changing geopolitical landscape.
• Oman remains a key partner for India in enhancing security, trade, and strategic presence in the Gulf region.

Conclusion: The India-Oman partnership is set to strengthen through the expected CEPA, enhanced defense ties, economic collaboration, and cooperation in emerging sectors like renewable energy, positioning Oman as a pivotal ally in India's strategic endeavors in West Asia.