India extends $ 500 Million Defence Credit to Vietnam to counter China

HANOI—India on Saturday agreed to provide Vietnam with a $500 million loan for defense purposes, a further sign of warming ties between two countries in separate territorial disputes with China.

Indian Prime Minister Narendra Modi and his Vietnamese counterpart Nguyen Xuan Phuc also announced after their meeting in Hanoi that Vietnam and India have upgraded their diplomatic relations to the level of comprehensive strategic partnership from strategic partnership.

“Our decision to upgrade our strategic partnership to a comprehensive strategic partnership will provide a new direction and momentum to our bilateral cooperation,” Mr. Modi said. “Our common efforts will also contribute to stability, security and prosperity in this region.”

The alliance between India and Vietnam is set to develop further in the wake of Mr. Modi’s visit. India is negotiating to sell supersonic Brahmos cruise missiles to Vietnam, a deal that might also include the stationing of Indian technicians there to maintain the hardware.

India’s interests in Vietnam were rooted initially in the offshore oil exploration in the Gulf of Tonkin. China had expressed its reservations and apprehension about the venture, but that has not prevented either India or Vietnam from shying away from it. Apart from elevating Strategic Partnership into a Comprehensive Strategic Partnership which could either be interpreted as an empty gesture or as a very important move forward, the most interesting part of the 12 agreements signed between India and Vietnam was the $500 million defense credit line as well as the offer for the manufacture of patrol boats for Vietnam.

Defense analysts say the weapons are ideally suited to taking out naval targets. In seeking to upgrade military capabilities as China improves its own capabilities, Vietnam has emerged as the world’s eighth-largest arms importer from 2011 to 2015, according to the Stockholm International Peace Research Institute.

These agreements make India an active participant in the defense arrangements in the region, however, peripheral that involvement might be, and it is peripheral at the moment.

Indian Prime Minister Modi Visits Pagoda temple

Prime Minister Narendra Modi on Saturday visited the historic Pagoda temple in Hanoi and the stilt house where revered leader Ho Chi Minh lived, apart from enjoying fishing with his Vietnamese counterpart Nguyen Xuan Phuc. Addressing Buddhist monks at the temple, Modi said Vietnam was an inspiration for everyone to shun violence and follow Buddha’s path of peace and harmony.

narendra modi, modi, modi vietnam visit, ho chi minh house, pm modi foreign trip, pm modi vietnam trip, india news

“World should walk on the path of peace that brings happiness and prosperity, while war only brings transient greatness,” the prime minister said.

“The advent of Buddhism from India to Vietnam and the monuments of Vietnam’s Hindu Cham temples stand testimony to these bonds,” Modi said.

He said the India-Vietnam ties were 2,000 years old. Modi emphasised that his visit to Vietnam – the first by an Indian premier in 15 years – was to “nurture a relationship between our two societies and nations.”

“These cultural bonds reflect themselves in many ways. Most prominently, in the connect between Buddhism and the monuments of the Hindu Cham civilization,” he said.

“Some people came here with the objective of war. We came here with a message of peace which has endured,” Modi said. Modi said Buddhism, which took the sea route, travelled to Vietnam in its purest form from India.

He invited all the monks to visit India – the land of Buddha – and especially to Varanasi “which I represent in the Indian Parliament.”

He said he is fortunate to visit the Pagoda temple after first President Rajendra Prasad in 1959.

The Quan Su Pagoda, also known as Ambassador’s pagoda, is said to have served emissaries that were sent from Champa and Laos to Vietnam in the past. The pagodas – a Buddhist heritage and popular toursit sites – are at the heart of Vietnamese Buddhism and are a precious treasure of Hanoi.

The pagoda is said to have served emissaries that were sent from Champa and Laos to Vietnam in the past. Earlier today, Modi visited Ho Chi Minh’s stilt house at the majestic presidential palace. He was accompanied by Premier Phuc and thanked him for his generous welcome.

“Earlier this morning, you made the special gesture of personally showing me Ho Chi Minh’s house… Thank you, Excellency, for extending me the privilege. Let me also congratulate the people of Vietnam on their national day that you celebrated yesterday,” he said.

The stilt house was the residence of Ho Chi Minh from 1958 until his death in 1969 and is located inside the majestic Presidential Palace in Hanoi.

Modi also congratulated the people of Vietnam on their national day on Friday and laid a wreath at the Monument of National Heroes and Martyrs of Vietnam located across the Ba Dinh Square, across the Ho Chi Minh Mausoleum.

“Homage to indomitable will of a leader. PM @narendramodi pays respects at the mausoleum of Ho Chi Minh. Beginning with the memory of Vietnam’s Martyrs. PM @narendramodi lays wreath at Monument of National Heroes & Martyrs,” Swarup said in a series of tweets.

Earlier today the prime minister was given a ceremonial welcome at the palace as he became the first Indian prime minister to visit the communist nation in 15 years.

“For people of my generation, Vietnam holds a special place in our hearts. The bravery of the Vietnamese people in gaining independence from colonial rule has been a true inspiration. And, your success in national reunification and commitment to nation building reflects the strength of character of your people,” Modi said.

He said India believed in sharing knowledge, experience and expertise with other developing countries.

“The Cuu Long Delta Rice Research Institute, is a prime example of the enormous impact of our cooperation. India helped set up the institute in the Mekong Delta, sending agricultural experts and training its faculty in India,” he added.

Related posts