GCC: Political and economic union of the Arab states bordering the Persian Gulf and constituting the

Arabian Peninsula, namely Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and nited Arab !mirates "otal G#P $%&' trillion

Pro(osed Currency :Khalee)i Organisation structure:

"he Su(reme Council:heads of states*determines (olicy "he +inisterial Council:foreign ministers* draws u( (olicy "he Secretariat General:drafts rules and regulations and hel(s countries im(lement
Among the stated ob)ecti,es are: formulating similar regulations in ,arious fields such as economy, finance, trade, customs, tourism, legislation, and administration* fostering scientific and technical (rogress in industry, mining, agriculture, water and animal resources* establishing scientific research centers* setting u( )oint ,entures* unified military (resence -Peninsula Shield .orce/ encouraging coo(eration of the (ri,ate sector* strengthening ties between their (eo(les* and establishing a common currency by 01%1 Current status: A GCC common mar2et was launched on 3anuary %, 0114&567 "he common mar2et grants national treatment to all GCC firms and citi8ens in any other GCC country, and in doing so remo,es all barriers to cross country in,estment and ser,ices trade& Oman and the further notice& A! later announced their withdrawal of the (ro(osed currency until

On +ay %1, 01%%, a re9uest by 3ordan-e:(ertise in military and de,elo(ed technology/ to )oin the GCC was formally being considered and +orocco-has a well de,elo(ed military that could assist in Saudi Arabia;s efforts in the <emen conflict/ was in,ited to )oin the council

A customs union was declared in 011=, but (ractical im(lementation has lagged behind

=%st GCC Summit was held in Abu #habi from #ecember, 01%1& "he Summit decided to go ahead with the third (hase of the GCC (ower grid which will streamline the electricity generation, maintenance and consum(tion in GCC& >t ,oiced su((ort against terrorism, (ledged su((ort to all regional and international efforts aimed at combating terrorism and called on the international community to establish a global centre to fight terrorism& Arab S(ring: sees the u(risings as an un(recedented threat to regional security&>t wants stability more than anything&"he bloc bac2ed a no?fly 8one in @ibya On +arch %', the GCC;s Peninsula Shield .orce, with troo(s from Saudi Arabia and (olice from the nited Arab !mirates, entered Bahrain to hel( 9uell the (rotests there& >t is interesting that the two countries that e:(erienced intense (rotests in the GCC region were Oman and Bahrain A both relati,ely (oor countries& And, both A bolstered by the $01 billion assistance from the other GCC neighbors A ha,e met (olitical challenges in (art with la,ish financial inducements to 2ey sectors of society& Saudi Arabia too has in,ested at least $%=1 billion to create )obs, build houses, (ay bonuses and create unem(loyment benefits, among others& Started discussing bids of 3ordan and +orocco to bolster their military&
>ndia?GCC: >m(ortance to >ndia: Bilateral trade: $4BbCearly '1 D of >ndiaEs crude oil im(ort is met from GCC

countries& offers tremendous (otential for coo(eration in trade, in,estment, energy, man(ower etc "his region hosts nearly B&B million >ndians&"he oil?rich Gulf States with their massi,e oil re,enues are engaged in an ambitious economic de,elo(ment and moderni8ation (rogramme, which has created a demand in GCC States for s2illed man(ower and labour

GCC countries have mutually beneficial complementarities with India in the field of investments.India has successfully bid for oil blocks in Yemen, Qatar and Oman. Efforts are on oin to setup !oint ventures in downstream petrochemicals, fertili"er and ener y intensive industries in the ulf and in India "he Gulf countries provide an e#cellent market potential for India$s manufactured oods and services, es(ecially in (ro)ect ser,ices e:(orts&

>n an effort to build a ta: base and economic foundation before the reser,es run out, the A!;s in,estment arms, including Abu #habi >n,estment Authority, retain o,er $611 billion in assets& Other regional funds also ha,e se,eral hundred billion dollars& >ndia?GCC ."A: .ramewor2 agreement was signed in 011'& = rounds of negotiations were held& >t was agreed that the (ro(osed ."A will also include ser,ices and in,estment besides trade in goods&Cegotiations are going on& Political #ialogue: Bth round of (olitical dialogue was strengthening u( of >ndia?GCC relations& !conomy, trade and industry were stated as to( (riority as well as e:change of ,iews on security issues The Gulf region, like South-East and South Asia, is part of ournaturaleconomic hinterland. We must pursue closer economic relations with all our neighbours in our wider Asian neighborhood. ndia has successfull! pursued a "#ookEast$ polic! to come closer to the countries of South-East Asia. We must, similarl!, come closer to our western neighbors in the Gulf.$-%&