India offers five nations help in setting up digital payment systems

External Affairs Minister S Jaishankar today offered the five Central Asian countries India’s expertise in creating digital payment platforms and suggested greater use of the Chabahar Port in Iran for speedier transportation of traded goods.

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The minister was addressing a meeting of the India-Central Asia Business Council here this evening. The Foreign Minister equivalents of Kazakhstan, the Kyrgyz Republic, Tajikistan, Turkmenistan and Uzbekistan are in India on a two-day visit. A summit meeting is scheduled for tomorrow. Two-way trade between India and Central Asia is around $2 billion annually.

Jaishankar said closer engagement between banks and the financial sector would strengthen economic interaction. Some beginnings had been made in terms of the opening of Special Rupee Vostro Accounts (SRVAs) in Indian banks by central Asian banks.

Jaishankar told the visiting delegation about the need for improving connectivity. He suggested that more resources and efforts be directed towards the International North-South Transport Corridor and emphasised the use of the Chabahar Port.

India, he said, would be happy to partner on platforms such as the UPI, Aadhaar and DigiLocker with central Asian countries. The use of digital technologies and AI applications would help unlock the full potential of trade and economic ties. It would help in tourism, assist students and people seeking medical aid.

The minister said India, with a $4-trillion economy, was growing at 6 to 8 per cent annually. It would create new demands for products and services.

“We need to diversify our trade baskets so that all of us have more options,” Jaishankar said.

He sought greater predictability in economic interactions and suggested more long-term contracts and arrangements, cross-investments and joint ventures.