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India’s diaspora in the Gulf: A catalyst for global influence

Indian diaspora in the Gulf has also facilitated stronger trade and investment ties

India’s global diaspora has long been a cornerstone of its international influence, with over 18 million Indians living and working in countries around the world. While this community thrives across continents, the Gulf countries have become particularly important, serving as a vibrant hub for millions of Indian expatriates. In nations like the UAE, Saudi Arabia, Oman, and Qatar, Indians are not just contributing to the economies of their host countries but are also playing a pivotal role in enhancing India’s global standing. As India’s journey toward becoming a new superpower unfolds, its diaspora in the Gulf countries is increasingly recognized as a crucial component in this ascent.

The Indian expatriate community in the Gulf Cooperation Council (GCC) countries is estimated to number over eight million, representing one of the largest and most significant diaspora groups in the region. This community has grown dramatically over the past few decades, driven by economic opportunities in sectors such as construction, healthcare, hospitality, and finance. The contribution of Indian professionals, laborers, and entrepreneurs to the region’s infrastructure development, business ecosystem, and service industries has been profound.

In the UAE alone, Indians make up approximately 30% of the total population, and in countries like Oman and Qatar, they constitute a significant part of the workforce. What sets the Indian diaspora in the Gulf apart is its diversity: while a large proportion works in blue-collar jobs, an increasing number of Indian professionals are rising to prominent positions in business, finance, technology, and healthcare. From managing multi-billion-dollar companies to leading critical infrastructure projects, the Indian presence is felt at all levels of the Gulf economy.

The financial remittances sent back to India by Gulf-based Indians have been instrumental in supporting India’s economy. In 2022, India received an estimated $100 billion in remittances, with a large share coming from the Gulf region. These remittances have played a vital role in bolstering India’s foreign exchange reserves, stabilizing its currency, and supporting the livelihoods of millions of families back home.

However, beyond the sheer economic contribution, the Indian diaspora in the Gulf has also facilitated stronger trade and investment ties between India and the GCC. Indian entrepreneurs and business leaders in the Gulf have been key to attracting investments into India’s infrastructure, technology, and real estate sectors. These investments not only strengthen bilateral relations but also contribute to India’s broader economic growth and ambition to become a global manufacturing and innovation hub.

As India’s stature rises on the global stage, its diaspora in the Gulf plays a critical role in projecting its soft power. Indian cultural and social organizations in the Gulf promote India’s rich heritage, from Bollywood cinema to classical arts, further enhancing India’s global image. Indian festivals such as Diwali and Holi are celebrated with great enthusiasm in cities like Dubai and Muscat, underscoring the deep cultural ties between India and the Gulf nations

Moreover, the presence of influential Indian leaders in the Gulf’s corporate and political spheres has helped amplify India’s voice in international forums. India’s Prime Minister Narendra Modi has made strengthening ties with the Gulf a priority, resulting in increased collaboration on issues like energy security, counter-terrorism, and technology. Indian expatriates often serve as informal ambassadors, fostering goodwill and contributing to the robust diplomatic relationships that India enjoys with Gulf states.

India’s growing influence in the Gulf is not just about economics and culture—it has significant strategic implications for India’s rise as a global power. The Gulf is one of the world’s most important geopolitical regions, home to vast energy reserves and critical maritime routes. India’s close ties with Gulf countries ensure access to crucial energy supplies, which are vital for its growing economy.

Furthermore, India’s strategic partnerships with Gulf nations, fostered in part by its diaspora, have enhanced its standing in international platforms such as the G20 and the United Nations. India’s leadership in these forums, as seen during its G20 presidency, is amplified by the strong relationships it maintains in the Gulf, making the diaspora a key asset in India’s diplomatic toolkit.

The Indian diaspora in the Gulf is a dynamic and integral part of India’s global identity. Their contributions to both their host countries and to India itself are significant, extending beyond remittances and economic ties to include cultural influence and diplomatic engagement. As India continues its ascent on the global stage, its Gulf diaspora will remain a critical force in shaping the country’s path toward becoming a true global superpower.

India’s diaspora is not merely an extension of its population; it is an active participant in its global aspirations, reflecting and amplifying the country’s ambitions in new and unprecedented ways. Through its people, India is cementing its position as a rising power, with the Gulf serving as a critical partner and platform for its growing global influence.

The author is a writer at Milabalyawmi.