INSUBCONTINENT EXCLUSIVE:
NEW DELHI: India, US, Saudi Arabia and the European Union on Saturday announced a multinational rail and ports deal on the sidelines of the
G20 summit with an aim to counter China's ambitious Belt and Road Initiative (BRI).06:26G20 Summit 2023: MEGA Infra plan announced to
counter China's BRI; Why this economic corridor is a 'big deal'?The mega joint infrastructure deal, which has been in the works for
awhile, is a major highlight of the ongoing G20 meeting in Delhi
The deal was announced by Prime Minister Narendra Modi with US President Joe Biden, Saudi crown prince Mohammed bin Salman and leaders of
EU."Today we all have reached an important and historic partnership
In times to come, it will become effective medium for economic integration of India, Middle East and Europe," PM Modi said at the launch of
and establish a modern-day Spice Route to bind regions that account for about a third of the global economy.Officials told AFP the plan
would include a slew of data, rail, electricity and hydrogen pipeline projects.One proposed project would link railway and port facilities
to 40 percent."This is nothing but historic," European Commission president Ursula von der Leyen said while announcing the corridor.Reports
said that India will be connected through shipping lanes from ports in the region.Additionally, a US-supported proposal to expedite
land-trade routes between Gulf Arab countries and the Mediterranean Sea has also been discussed among Israel and Gulf nations."We look
forward to the integration of the initiative and the Economic Corridor project which is announced in this meeting
I would like to thank those who worked with us to reach this founding step to establish this important economic corridor," the Saudi crown
prince said during the announcement
A game-changerThe plan is expected to be a possible game changer for global trade, presenting an alternative to China's wide-ranging
strategic infrastructure investments.Jon Finer, President Biden's deputy national security adviser, earlier said that the proposed
memorandum of understanding include the United States, India, Saudi Arabia, the United Arab Emirates, the European Union and other
countries.He said first that the corridor would increase prosperity among the countries involved by increasing the flow of energy and
Second, the project would help to address the lack of infrastructure needed for growth in lower- and middle-income nations
ChinaThe US push comes as Saudi Arabia and the UAE, both old allies of US, have been strengthening their ties with China as they seek to
enhance relations with rapidly growing eastern economies
China has also boosted ties with the Middle East of late, helping to broker a detente between Saudi Arabia and Iran earlier this year.Last
month, the oil-rich Gulf states announced their intention to join the Brics group of emerging market nations, with China playing a leading
role in this move.The plan is being seen as an ambitious effort by Washington to counter China's Belt and Road initiative that sought to
connect more of the world to the country's economy.It is being announced just a month before China's Xi hosts global leaders for the
third Belt and Road Forum in Beijing
Russia's Vladimir Putin is also expected to attend the event
of dollars worth of projects in emerging markets.Of late, China's BRI has been facing a series of troubles due to rising loan defaults and
slowing down on investments
(With inputs from agencies)WatchUS Prez Joe Biden on India-Middle East-Europe Economic Corridor: 'We need to maximize the impact of our
