India-Malaysia Bilateral Agreements
India and Malaysia have signed 11 significant agreements aimed at enhancing cooperation across various sectors, including semiconductors and disaster management.
Economic and Trade Cooperation
- Prime Ministers Narendra Modi and Anwar Ibrahim emphasized promoting the use of local currencies, the Indian Rupee and Malaysian Ringgit, for trade settlements.
- The aim is to expand bilateral trade beyond the $18.6 billion recorded last year and increase investments in sectors such as defense, healthcare, and tourism.
- A collaboration was announced between NPCI International Limited (NIPL) and PayNet Malaysia to establish bilateral payment linkages.
Energy and Palm Oil Collaboration
- Malaysia reiterated its commitment to being a reliable supplier of sustainable palm oil.
- Discussions included deeper cooperation in palm oil cultivation and value-chain development.
- The two sides expressed interest in collaborating on large-scale solar energy initiatives.
Trade Agreements and ASEAN Relations
- There is a focus on the Malaysia-India Comprehensive Economic Cooperation Agreement and the ASEAN-India Trade in Goods Agreement (AITIGA).
- Both leaders welcomed the ongoing review of AITIGA to enhance mutual benefits and trade facilitation.
- Indian PM emphasized expanding India's relations with ASEAN, with support from Malaysia.
Strategic and Security Cooperation
- Strengthened cooperation in counter-terrorism, intelligence sharing, and maritime security was highlighted.
- Partnerships will be advanced in AI, digital technologies, semiconductors, health, and food security.
- The Indo-Pacific region is seen as a critical growth engine where both countries commit to peace and stability.
Cultural and Diplomatic Engagements
- PM Modi met Indian National Army (Azad Hind Fauj) veteran Jeyaraj Raja Rao and addressed the Tamil diaspora in Malaysia.
- A consulate will be opened in Malaysia's Sabah state as a diplomatic move to strengthen ties.
- Interactions with key industry leaders from Malaysia, including those from Petronas and Phison Electronics, were part of the visit.
