India announced on Thursday that it would lend Vietnam $300 million to strengthen its marine security as both countries aim to quadruple their trade and investment in the next five years.
Vietnam is a major pillar of India's policy toward Southeast Asian countries and a significant partner in its Indo-Pacific vision, Prime Minister Narendra Modi informed visiting Vietnamese Prime Minister Pham Minh Chinh.
Following their meeting, Chinh told reporters that although there are many security issues worldwide, there is also potential for cooperation.
"The Asia-Pacific region is a growth engine, but it's also where major politics are being fiercely contested," he stated. "We require a global strategy and methodology that supports multilateralism."
According to the prime ministers, both parties wished to deepen their collaboration in the fields of military as well as semiconductor and green technology, cloud computing, artificial intelligence, and climate action.
The "Army Software Park," an educational center established in Vietnam with Indian assistance to teach Vietnamese soldiers digital skills, was essentially opened by Modi and Chinh.
In 2022, there was a 27% increase in bilateral trade between the two nations, amounting to $14.14 billion. According to India's Ministry of External Affairs, during the same period, Indian exports to Vietnam were $6.7 billion, while Indian imports from Vietnam totalled $7.44 billion.
Iron and steel, cotton, cereals, meat and fish products, electrical gear and equipment, car components, cement, chemicals, and pharmaceuticals are among the goods that India sells to Vietnam.
Vietnam is India's primary source of imports for machinery and mechanical appliances, inorganic chemicals, copper and rubber, iron and steel, coffee and tea, spices, and electrical and electronic equipment.
The External Affairs Ministry of India estimates that the government has invested almost $1.9 billion in Vietnam in energy, agriculture, information technology, mineral exploration, and other fields.
Vietnam has made around $28.55 million in investments in India, primarily in building materials, chemicals, information technology, and medicines.
