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India and Russia sign energy, defense deals worth billions

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(Last Updated On: October 24, 2022)

India's Prime Minister Narendra Modi speaks with Russian President Vladimir Putin during exchange of agreements event after India-Russia Annual Summit in Benaulim, in the western state of GoaWritten by: Reuters

India and Russia signed billions of dollars of defense and energy deals on Saturday at a summit that sought to inject new life into a relationship that has been tested by shifting global alliances and conflict in the Middle East.

Under the biggest agreement, a group led by Russian state oil major Rosneft (ROSN.MM) said it would pay $12.9 billion for a controlling stake in both India’s Essar Oil and port facilities that it owns.

The countries, which had strong ties during the Cold War, announced plans for a joint venture to build helicopters in India. New Delhi said it would also buy surface-to-air missile systems and stealth frigates from Moscow.

“Ours is a truly unique and privileged relationship,” Indian Prime Minister Narendra Modi said after talks with Russian President Vladimir Putin in the western seaside state of Goa.

Modi said that his views were aligned with Putin’s on the unstable situation in Afghanistan and the Middle East, where Moscow is at odds with the West in the five-year-old civil war in Syria that has killed hundreds of thousands.

“We are conducting a comprehensive dialog on a wide scale of international issues, in which Indian and Russian approaches are close to each other or coincide,” said Putin.

Modi also praised Putin’s support for the fight against international terrorism, which India accuses its neighbor and rival Pakistan of sponsoring. “Russia’s clear stand on the need to combat terrorism mirrors our own,” Modi said.

MULTIPLE DEALS

The Rosneft-Essar deal will be the biggest foreign takeover in India, and Russia’s largest outbound deal, according to Thomson Reuters data.

It comes as Russia moves to reassert its role in global affairs and at a time when its own economy is stagnant, hit by Western sanctions and low oil prices.

Under the deal, a group led by Rosneft will acquire 98 percent of Essar Oil, and with it a 400,000 barrels-per-day refinery and port at Vadinar for $12.9 billion, the two sides said.

Russian state bank VTB (VTBR.MM) said it would refinance $3.9 billion owed by the Essar Group. Rosneft would pay $3.5 billion and its partners, oil trader Trafigura and investment fund UCP the same amount for an equal joint stake.

The refinery deal follows a string of upstream investments in Russia by Indian companies in recent months that, Modi said, were worth $5.5 billion.

Also on display was Russia’s nuclear prowess, with the second reactor of the Russian-built Kudankulam plant in Tamil Nadu hooked up to the grid and concrete being poured in a ceremony carried by a TV linkup to mark the start of work on the third and fourth reactors there.

Putin said that Russia would be able to build a dozen nuclear reactors in India over the next 20 years to back Modi’s growth strategy for Asia’s third-largest economy, which continues to suffer chronic power shortages.

HELICOPTERS, MISSILES, SHIPS

The defense pacts will also deepen military ties between the two countries that dates back to the Soviet era, when India entirely depended on Moscow to equip its armed forces. The United States has since taken over as India’s top arms supplier.

Indian military officials have said the plan is for the joint venture to build at least 200 Kamov 226t helicopters required by the country’s defense forces. Hindustan Aeronautics Ltd will be the local partner of Russian Helicopters and state arms exporter Rosoboronexport.

The S-400 surface-to-air missiles would strengthen India’s defenses along its borders with China and Pakistan, Indian military officials have said. Also agreed were plans to build and supply stealth frigates for the Indian navy.

Russia’s Deputy Prime Minister Dmitry Rogozin, who is in charge of space and military industries, said two frigates could be built in India and two in Russia, RIA news agency reported. Rogozin said the ships may later be equipped with missiles manufactured by BrahMos Aerospace, a venture co-owned by the Indian and Russian governments.

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Red Cross official seeks ‘staggered’ return of Afghan refugees from Pakistan

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(Last Updated On: April 28, 2024)

A senior Red Cross official has called for the return of Afghan refugees from Pakistan to occur “in a more staggered way” so Afghanistan can better absorb them.

“It will be important to work with the government of Pakistan in 2024 to ask that if there are going to be returnees,” that they arrive “in smaller numbers at a time just so it is more manageable on the Afghan side,” said Alexander Matheou, regional director, Asia Pacific Region for the International Federation of the Red Cross, Voice of America (VOA) reported on Saturday.

Speaking in the Qatari capital, Doha, Matheou told journalists on Friday the challenges facing Afghan returnees from Pakistan was one of several pressing issues he discussed with the officials of the Islamic Emirate in Kabul.

“You will be aware that over half a million have crossed the border over recent months, and it is likely that we will see large numbers of new arrivals in the coming months,” he said.

“I imagine this is probably the largest population flow in a short period of time in Asia since the population movement from Myanmar into Bangladesh in 2017,” he added. “So, it is a significant event.”

Since October, Pakistan has expelled more than 500,000 Afghan refugees who lacked proper documentation.

Matheou noted many of the returnees have lived in Pakistan for decades and are ill-equipped to begin a new life in a country that to them is unknown, without government or international support.

He described the returnees as being in generally poor health, especially the children, who account for nearly half of all returnees.

“The evidence of that was we visited clinics where they reported a real spike in cases of acute malnutrition coming from the arrivals from Pakistan.

“We visited routine immunization programs of the IFRC and the Afghan Red Crescent in the villages, and there it was clear looking at the children that as well as being anemic, you could see wasting and stunting among the children,” he said.

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Turkmenistan committed to complete TAPI energy project

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(Last Updated On: April 28, 2024)

Turkmenistan is committed to complete the Turkmenistan–Afghanistan– Pakistan–India (TAPI) energy project together with the regional countries, Muhammetmyrat Amanov, CEO of TAPI Pipeline Company Limited, said.

“Turkmenistan is making significant progress on the TAPI natural gas pipeline, which aims to supply 33 billion cubic meters annually to South Asia” Amanov said speaking at the Turkmen Energy Investment Forum (TEIF 2024) in Paris.

He highlighted that the Turkmenistan section of the pipeline is complete and the ongoing discussions to advance the project beyond Turkmenistan are in strict alignment with international standards.

Amanov said the project emphasizes environmental sustainability by leveraging natural gas to reduce emissions significantly compared to coal and oil, thereby tackling indoor pollution and enhancing regional air quality.

“In light of the ongoing project developments, Turkmenistan remains committed to upholding international law, fulfilling its obligations, and adhering to international norms and regulations,” he stressed.

 

 

 

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Three road construction projects launched in Kabul

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(Last Updated On: April 27, 2024)

Three road construction projects worth about one billion Afghanis started in capital Kabul on Saturday.

The projects were inaugurated by Deputy Prime Minister for Economic Affairs Mullah Abdul Ghani Baradar.

The projects are: the second phase of Kotal Khairkhane road, the first part of the Shahid square to Qasaba, and the Airport road to Gumruk.

In the inauguration ceremony, Mullah Baradar said that Kabul municipality is working hard to beautify and regulate the city, and people should cooperate with the government in protecting public benefit projects.

He directed the officials of Kabul municipality to complete the mentioned projects on time and with good quality.

The second phase of Kotel Khairkhaneh road is 2.5 kilometers long and 60 meters wide. Thie road will cost 364 million Afghanis and will be completed in 20 months.

The Shahid square-Qasaba road is 1.8 kilometers long and 45 meters wide, which will be built at a cost of 175 million Afghanis in one year.

The Airport-Gumruk road is 2.7 km long and 60 meters wide, which will be completed at a cost of 407 million Afghanis in 20 months.

The projects are funded by Kabul Municipality.

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