The Gulf stream, Pg17

Key Highlights:

• The number of Indian migrants in the UAE has increased from approximately 0.97 million in the early 2000s to about 3.56 million currently.
• Indians constitute the largest expatriate group in the UAE, making up 35% of the country's population, followed by Pakistanis, Filipinos, and Egyptians.
• Saudi Arabia hosts the next largest group of Indians in the Gulf, with 2.46 million, while Kuwait has 1 million Indian migrants.
• Remittances from the Gulf accounted for 43.5% of the total remittances received by India in 2012, amounting to $30 billion out of $69 billion.
• Bilateral trade between India and the UAE reached US $100.06 billion in 2024-25, making the UAE India's third-largest trading partner.
• In 2025, about 0.2 million Indian blue-collar workers migrated to the UAE for employment, while 0.13 million went to Saudi Arabia.

Detailed Insights:

• The surge of Indian migrants in the UAE is attributed to the security and stability provided by the country, attracting professionals and business owners from diverse Indian states.
• The UAE hosted the fifth-largest number of international migrants globally in 2019, with the India-UAE and India-Saudi Arabia corridors being among the largest migratory streams.
• Post-Covid, there has been an increase in high-net-worth Indians establishing businesses in the UAE, attracted by its status as a tax haven.
• The nature of Indian migrants has evolved from primarily laborers to include those in IT, engineering, and business sectors, reflecting the city's expanding diversity and cosmopolitan environment.
• While the Kafala system in some Gulf countries has led to exploitation of workers, many still opt for these countries due to high demand and significantly higher earnings compared to India.
• The UAE is a diversified economy with revenue generated through tourism and its role as a financial hub, promoting new technology through AI and skill development programs.
• The number of registered Indian firms in Saudi Arabia increased from 400 in 2019 to 3,000 in 2023-24, with investments in sectors like management, construction, and IT.

Key Concepts Involved:

• NRI (Non-Resident Indian): An Indian citizen who resides outside of India.
• PIO (Person of Indian Origin): A person who, or whose ancestors, were of Indian origin but are citizens of another country.
• Kafala System: A labor sponsorship system in some Gulf countries where employers sponsor workers, often leading to exploitation.
• Remittances: Money sent by migrants to their family or community in their home country.