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Economy News, Latest Economic News Today | The HinduBusinessLine

GE, HAL clinch tech deal on joint jet engine plan India rejects USTR allegations, seeks termination of Section 301 probe Indian automobile sales record highest-ever sales in FY26, first time after FY19: SIAM Madhya Pradesh CM says basmati rice from the State is exported to 47 nations 63 Moons’ cybersecurity arm pilots GPS-spoofing solution at Indian airports Highways ministry notifies amendment to streamline fee for overloaded vehicles on NHs Global aviation crisis deepens as fuel shortage, Iran conflict hit airlines TRI launches agri-voltaic project to help farmers earn double income Hotel industry to hit $31 billion in 2029; listed hotel firms set to add 70k rooms by 2030: CBRE Temperatures may trend up over North-West, Central India until weekend Reduction in airport tariff credit neutral, minimal impact on revenue: Ind-Ra Global coffee prices rise as fertiliser costs and West Asia tensions threaten supply Bluspring Enterprises to acquire LSG Sky Chefs India, enters aviation catering sector China says policy to improve relations with India remains unchanged amid Arunachal naming row Research firms divided over impact of below normal monsoon on food inflation Unnat Krishi Mahotsav concludes, farmers to emerge as energy, fuel & hydrogen providers, says Gadkari Airlines may get ₹5,000 crore credit support under proposed ECLGS variant How kashmir’s breakthrough is making Gucchi mushroom farming possible Centre not taking away State’s power on bonus for agri produces, says FM Sitharaman Carriers cut flights on cost pressures, uncertain demand GE Aerospace scales AI from pilots to production; India anchors global capability West Asia crisis may push India’s current account deficit to 2% of GDP: Crisil Tax Dept to resume Tiger Global reassessment, says GAAR relief won’t alter SC ruling Ceasefire talks fail to restore vessel movement in Strait of Hormuz, fate of 599 ships remain inconclusive DMRC launches mid-life refurbishment of Blue Line trains to enhance safety and passenger experience Retail inflation likely rose 3.5-4% in March India-UK free trade pact may come into force from second week of May: Official 'West Asia war a good opportunity for energy reforms, lower costs for industry' India’s marine exports surge to ₹62,408 crore in 2024-25, Govt sets ₹1 lakh crore target PM Modi to inaugurate Dehradun-Delhi Expressway on April 14 India’s economic growth journey huge opportunity for international partners: Kwatra From diesel to daylight: How government solar schemes are powering India’s farmers The next energy leap: Replicating ethanol’s success in diesel Delhi EV Policy: Electric 3-Wheelers Only by 2027, 2-Wheelers by 2028 Windfall levy on export bound diesel, ATF raised India-flagged LPG tanker Jag Vikram crosses Strait of Hormuz after US-Iran ceasefire Muted pricing power, rising costs to curb benefits of demand in cement sector: HDFC Securities Central Railway to run four special local trains for Ambedkar Jayanti Cotton Association revises output estimates for 2025-26 up at 324 lakh bales of 170 kg each Agtech marketing in the age of regional content and creator communities Rajnath Singh, Nitin Gadkari to join 3-day agri event at Shivraj’s home turf, inaugurated today How agripreneurship will drive improved rural livelihoods in India World’s largest tur producer, yet an importer: A self-sufficiency puzzle unfolding on ground Ethanol in diesel generators: India’s next practical step towards energy security How sustainable sourcing can unlock value in India’s agri-value chains West Asia Crisis: Induction cooking may consume 13-27 GW power Govt defers power plant maintenance for three months; 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India-Italy relations at decisive stage, expanded with unprecedented momentum: Modi & Meloni
PTI · 2026-05-20 · via Economy News, Latest Economic News Today | The HinduBusinessLine

Prime Minister Narendra Modi and President of the Council of Ministers of the Italian Republic Giorgia Meloni have said the relationship between India and Italy has now reached a decisive stage, evolving from a cordial friendship into a special strategic partnership.

In an article, jointly written by the two leaders for the Indian and Italian media, Modi and Meloni said that at a time when the international system is undergoing a profound change, the partnership between the two countries is guided by regular exchanges at higher political and institutional levels.

Modi is currently in Italy as part of the final leg of his five-nation tour.

Video Credit: Businessline

The two leaders said the bilateral relation is gaining a new and higher dimension that combines the economic dynamism, societal creativity, and millennia-old civilisational wisdom of the two countries.

"The relationship between India and Italy has now reached a decisive stage. In recent years, our ties have expanded with unprecedented momentum, evolving from a cordial friendship into a special strategic partnership grounded in the values of freedom and democracy, and a common vision for the future," they said.

The two leaders said the cooperation between India and Italy mirrors the awareness that prosperity and security in the 21st century will be shaped by the ability of nations to innovate, manage energy transitions, and strengthen strategic sovereignty.

To this end, they said they have committed to deepen and diversify the bilateral relationship with a view to pursuing new objectives and pooling the two countries' complementary strengths.

"We aim to forge a powerful synergy between Italian design, manufacturing excellence, and world-class supercomputers — reflecting Italy's position as an industrial powerhouse — and India's rapid economic growth, engineering talent, scale, and innovation and entrepreneurial ecosystem with over 100 unicorns and 200,000 start-ups," they said.

The leaders said this is not a simple integration, but a co-creation of value where the respective industrial strengths amplify one another.

They said the Free Trade Agreement between the European Union and India paves the way for increased trade and investment in both directions.

Video Credit: Businessline

"We want to reach and exceed the Euro 20 billion target for trade between Italy and India by 2029, with a focus on defence & aerospace, clean technologies, machinery, automotive components, chemicals, pharmaceuticals, textiles, agri-food, tourism and more," they said.

In the article, Modi and Meloni said "Made in Italy" has always been synonymous with excellence worldwide, and today it finds a natural synergy with the high-quality goals of the "Make in India" initiative.

The growing interest of Italian businesses in the production of goods for India and the increasing presence of Indian industries in Italy, numbering over 1,000 from both sides, is a positive sign that will strengthen the integration of our supply chains, they said.

The two leaders said technological innovation lies at the very heart of the partnership, and the coming decades will be shaped by a technological revolution of unmeasurable scope, marked by advances in such sectors as artificial intelligence, quantum computing, advanced manufacturing, critical minerals, and digital infrastructure.

They said India's dynamic innovation ecosystem, coupled with a highly skilled professional talent pool, and Italy's advanced industrial capabilities make the cooperation in the above sectors both natural and strategic.

"The growing partnership between our universities and research centres will support this. India's Digital Public Infrastructure is already finding resonance with a large number of countries, particularly in the Global South," they said.

The leaders said AI, in particular, is already impacting societies and the global economy, and Italy and India have long been collaborating to ensure that its development is responsible and human-centred.

India and Italy also see AI as a powerful instrument for inclusive development, especially for the Global South, where digital public infrastructure and accessible, multilingual technologies can bridge divides rather than deepen them, they said.

"Building on India's vision of MANAV — putting humans at the centre of technology – and Italy's leadership in promoting a human-centric 'algor-ethics' rooted in its humanist tradition, our partnership seeks to ensure that AI acts as a catalyst for social empowerment," they said.

Modi and Meloni said their approach combines India's digital scale with Italy's ethical and industrial expertise, ensuring technology serves human dignity.

They said that by sharing best practices in secure digital cooperation, capacity building and resilient cyber infrastructure, the two countries aim to create an open, trustworthy and equitable digital space in which every nation can shape and benefit from AI.

This perspective forms the core of Italy's G7 presidency and outcomes of the AI Impact Summit 2026 held in New Delhi.

The leaders said conceiving AI as a tool created by humans for humans means firmly asserting that technology cannot replace individuals or undermine their fundamental rights nor be used to manipulate public debate or alter democratic processes.

"Our approach to defending freedom and human dignity in an increasingly interconnected world hinges on this very challenge," they said.

Modi and Meloni said the India-Italy cooperation also covers the space sector, and India's impressive advancements in space exploration and satellite technology, together with Italy's aerospace engineering excellence, offer significant opportunities for next-generation technology development.

They said Italy and India intend to further strengthen their cooperation in sectors such as defence, security and strategic technologies.

"Our collaboration will help ensure the security of critical maritime routes, strengthen resilience in the face of threats, such as terrorism, international criminal networks, drug trafficking, cybercrimes and human trafficking," they said.

The leaders said energy is another key pillar of our partnership, and the global transition towards diversified energy sources requires innovation, investment, and cooperation.

"Our collaboration along with other countries in key India-led initiatives — International Solar Alliance (ISA), Coalition for Disaster Resilient Infrastructure (CDRI) and Global Biofuels Alliance (GBA) -- is also important in this context," they said.

The two leaders said physical, digital and human connectivity is the thread that weaves us together and both India and Italy are located at the very heart of two crucial hubs of the global economy, the Indo-Pacific and the Mediterranean — regions that cannot be viewed as separate spheres but as increasingly interconnected spaces.

As a matter of fact, the leaders said they are witnessing the emergence of what might be termed the Indo-Mediterranean, an important corridor for trade, technology, energy, data and ideas tying the Indian Ocean to Europe.

"It is precisely within this interconnected space that our bond naturally evolves into a special strategic partnership — one that bridges two continents and shapes new global dynamics," they said.

They said the India-Middle East-Europe Economic Corridor (IMEC) represents a vision aimed at connecting our regions through modern transport and infrastructure, digital networks, energy systems, and resilient supply chains. India and Italy are also committed to working together with other partners to make this vision a reality.

"We can address our shared challenges by drawing upon the profound partnership and the enduring cultural ties between our nations," they said.

Within Indian culture, Modi and Meloni said, the concept of "Dharma" evokes the sense of responsibility that must guide our actions, while the principle of "Vasudhaiva Kutumbakam" — the world is one family — resonates powerfully in the interconnected digital age.

They said such values find a natural echo in Italy's humanist tradition, rooted in the Renaissance, which highlights the dignity of each individual and the power of culture to unite peoples and societies.

"Our shared vision, therefore, aims to lay the foundation for a strong and forward-looking India-Italy Partnership with our people at the centre," the two leaders said.

Published on May 20, 2026