India, Russia set target of $20 billion trade

MOSCOW - India and Russia Monday signed a $100 million credit line agreement and set a target of $20 billion by 2015 to strengthen bilateral trade.

Visiting Indian Prime Minister Manmohan Singh and Russian President Dmitry Medvedev affirmed that the two countries were keen on enhancing mutual cooperation in IT, communication, hydro-carbon, oil and gas and pharmaceutical sectors.

Among the six pacts the two countries signed Monday is a $100 million-agreement on “dollar credit line between EXIM (Export-Import) Bank of India and Russian Bank of Development and Foreign Economic Affairs”.

According to the deal, aimed to help promote export of capital goods from India, the EXIM bank will give $100 million credit line to the Russian bank.

Speaking at a joint press conference with Medvedev at the Kremlin, Manmohan Singh said: “We welcome greater Russian role in India’s nuclear energy sector. We have decided to set a target of 20 billion dollars by 2015. We have identified the areas of energy, information technology and communication and pharmaceuticals as the new thrust areas of cooperation.”

“Rough diamonds is another area and, of course, there are the traditional commodities like tea and other commodities which have been part of the traditional basket of goods and services. I think Russia is emerging as a major investor in India,” he said.

“I agree,” Medvedev said as he smilingly responded to Manmohan Singh’s remarks.

Medvedev also said the two countries were “moving forward” in “strengthening” their strategic partnership.

“Levels of trust and partnership (between India and Russia) are growing. Even in the economic crisis we expanded our trade to 5 billion dollars this year. We plan to increase our trade to 10 billion dollars next year,” he said.