India-Middle East-Europe connectivity corridor to be launched soon: PM Modi
An agreement has been reached to build an India-Middle East-Europe connectivity corridor for economic integration, Prime Minister Narendra Modi announced on Saturday at the G20 Summit in New Delhi. "Today, we all have reached an important and historic partnership. In the coming times, it will be a major medium of economic integration between India, West Asia, and Europe," he said.
Why does this story matter?
The joint infrastructure deal seemingly aims to counter China's ambitious Belt and Road Initiative (BRI)—a global infrastructure development strategy that seeks to invest in more than 150 countries and international organizations. The project also aims to boost trade between India, the Middle East, and Europe while also establishing a modern-day Spice Route to connect regions that account for roughly one-third of the world economy.
Project jointly spearheaded by India, US
The economic corridor project was jointly spearheaded by India and the United States (US) with the aim of showing a sustainable path to the whole world, PM Modi stated. The announcement follows previous reports that US President Joe Biden and his allies would lay out plans for a rail and trade corridor connecting India to the Middle East and, eventually, Europe on Saturday.
'Real big deal': Biden
"This is a real big deal. I want to thank Prime Minister Modi. Building sustainable, resilient infrastructure, making quality infrastructure investments, and creating a better future," President Biden said at the launch of the initiative. "Last year, we came together as one to commit to this vision," he added. Meanwhile, PM Modi and European Commission President Ursula von der Leyen called the project "historic."
G20 leaders shaking hands following agreement
Why project is important
The corridor would aid in the expansion of trade, the transportation of energy resources, and the enhancement of digital connectivity. It is also expected to make travel between India and Europe 40% faster. It would link railway and port facilities across India, Saudi Arabia, the United Arab Emirates (UAE), Jordan, Israel, and the European Union (EU), said Biden's National Security Advisor, Jake Sullivan.
G20 nations reach consensus on New Delhi declaration
In another major development, the G20 leaders adopted a joint declaration of nations at New Delhi's G20 Summit earlier on Saturday. PM Modi said, "Due to the hard work of our teams and your cooperation, a consensus has been reached on the New Delhi G20 leaders' summit declaration." G20 members were reportedly divided over the Russia-Ukraine crisis, due to which a consensus was difficult.
