India announced its biggest defence line for credit (LoC) yet – $500 million – during Prime Minister Narendra Modi’s visit to Vietnam on Saturday, even as both countries “noted” the Arbitral Tribunal order on the South China Sea and called on everyone to respect the United Nations Conference on the Law of the Sea (UNCLOS).
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Hangzhou (China), September 4 (IANS) Prime Minister Narendra Modi on Sunday told Chinese President Xi Jinping about India’s concerns over terrorism emanating from Pakistan’s restive regions through which the $46 billion China-Pakistan Economic Corridor is being built.
“Our decision to upgrade our Strategic Partnership to a Comprehensive Strategic Partnership captures the intent and path of our future cooperation”.
Speaking at a joint press conference in the Vietnamese capital, the visiting PM said that India has always considered Vietnam as a comprehensive strategic partner.
Mr. Modi said this could become Asia’s century only if all Asian countries took responsibility for taking steps to make the dream a reality.
Modi also said India needs energy to support its development.
India and Vietnam share borders and large trade volumes with China.
The PM also thanked Turnbull for Australia’s “proactive support” for India’s membership to the NSG.
India and the USA have been calling for freedom of passage in the worldwide waters, much to the discomfort to Beijing, whose claim over SCS was recently struck down by an global tribunal in favour of the Philippines.
With these issues involving Pakistan, the perception in India is gaining that carefully developed ties by the two countries in the last few years were being allowed to slide to further the interests of Beijing’s all weather ally Pakistan.
Signing of a Logistics Exchange Memorandum of Agreement between the India and the USA drew a warning from China.
China, too, has been concerned over close India-US ties, especially in defence, as the two countries signed the Logistics Exchange Memorandum of Agreement (LEMOA) that will give the militaries of the two countries access to each other’s facilities for supplies and repairs.
Another $5 million will facilitate the construction of an army software park at the Telecommunications University in Nha Trang.
He also said, “we need to act to eliminiate safe havens for economic offenders, track down and unconditionally extradite money launderers”.
“We must also intensify our coordination in regional and multilateral fora”, he told Modi, who reiterated that India always stood as a friend with Vietnam throughout history.
Pointing to various commonalities between India and China which are emerging powers and members of BRICS, the editorial said, “India hopes it can improve its underdeveloped infrastructure with the help of Chinese investments and technology”.
Speaking about the framework agreement on Space Cooperation, he said it would allow Vietnam to join hands with Indian Space Research Organisation to meet its national development objectives.
Modi earlier in the day said fighting corruption, blackmoney and tax-evasion were central to effective financial governance.
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The leaders also discussed enhancing counter terrorism cooperation. India has been helping Vietnam’s civil nuclear sector since signing the first agreement in 1986.
