India to spend $100 bn on energy infra, says PM Modi inviting Saudi investment

Saudi, Oct 29: Prime Minister Narendra Modi on Tuesday sought investment at Saudi Arabia's key financial summit, citing India's start-up environment, the scope for infrastructure development, sophisticate technology and the government's bid to promote skills and ease procedures.

Calling the FII Forum a brilliant initiative, PM Modi said, "The aim of this forum is not only to discuss the economic system here but also to understand the rising trends of the world and look for ways aimed at global welfare."

"In the next five years, India has set the mission of doubling the economy and take it $5 Trillio. I would like to discuss 5 trends which affect global businesses today," said PM Modi at the FII forum.

"Today India has become world's 3rd largest start-up ecosystem. Even in tier-2 and 3 cities of India startups have come up. Our start-ups have started investing at global scale. I invite global investors to benefit from our start-up ecosystem," he said.

"India is investing heavily in oil and gas infrastructure," he said, adding that as much as $100 billion will be spent by 2024 to create additional oil-refining capacity, laying new pipelines and building gas import terminals.

Modi highlighted the recent opening of the fuel retailing sector for non-oil companies to lure investment in the world's fastest-growing consumption centre. "India needs investments in the energy sector to meet the demand of a fast-expanding economy. And I request energy companies present here to take advantage of this opportunity," he said.

Under Skill India initiative, in the coming 3-4 years, 400 million people will be trained under different skills. This will provide assured skilled manpower to companies investing in India.

By 2024, we aim to invest US$ 100 Billion in refining, pipelines, gas terminals. I am happy that Saudi Aramco has decided to invest in West Coast Refinery Project - which will be the largest refinery of Asia.

Earlier, Modi and Saudi King Salman bin Abdulaziz Al-Saud on Tuesday condemned terrorism in all its forms and manifestations, and agreed to step up bilateral security cooperation.

Modi, who is here to attend the third edition of the Kingdom's high-profile annual financial conference, called on the King and the two leaders exchanged views on working together closely to strengthen the bilateral ties.

The two countries are expected to sign several agreements in areas like defence industries collaboration, security cooperation, air services agreement, renewable energy, medicine products regulation, prevention of trafficking of narcotics among others in the evening after Prime Minister Modi meets Crown Prince Mohammad bin Salman.

India, the world's third-largest oil consumer, imports 83 per cent of its oil needs. Saudi Arabia is its second-biggest supplier after Iraq. It sold 40.33 million tonnes of crude oil to India in 2018-19 fiscal, when the country had imported 207.3 million tonnes of oil.

India, the 6th largest economy in the world and the 3rd largest energy consumer after the US and China, buys some 200,000 tonnes of LPG every month from Saudi Arabia.

Saudi Arabia is still recovering from the September 14 drone attacks on two facilities of Aramco.