India-Middle East-Europe Economic Corridor may face obstacles as a result of the Israel-Hamas war: Report
While the conflict’s immediate consequences are confined to Palestine and Israel, it soon may have a ripple effect impacting the entire Middle East. In fact, the Israel-Hamas war could also derail the prospect of a historic peace deal between Israel and Saudi Arabia, a crucial linchpin in the India-Middle East Europe Economic Corridor (IMEEC) framework, according to the GTRI report.
Although Saudi Arabia and Israel have historically maintained no formal diplomatic ties, recent years have witnessed signs of opposition, with negotiations underway for normalisation, GTRI Co-Founder Ajay Srivastava said.
“The ongoing Israel-Hamas conflict may disrupt the project’s timelines and outcomes, marking a pivotal juncture in the development of this ambitious economic corridor. While the war’s direct impact remains regional, the geopolitical consequences reverberate far beyond, with potential consequences for the proposed corridor,” he added.
What is the India-Middle East-Europe Economic Corridor?
Last month, during the G20 Summit, India, the US, UAE, Saudi Arabia, France, Germany, Italy and the European Union signed a Memorandum of Understanding (MoU) to establish the India-Middle East-Europe Economic Corridor.
The India-Middle East-Europe Economic Corridor will consist of two separate corridors, the East corridor connecting India to West Asia/Middle East and the Northern corridor connecting West Asia/Middle East to Europe.
It will include a rail line, which upon completion, will provide a reliable and cost-effective cross-border ship-to-rail transit network to supplement the existing multi-modal transport routes enhancing transhipment of goods and services between South East Asia through India to West Asia/Middle East and Europe.
The project’s key goal is to enhance transportation and communication links between Europe and Asia, and it is often viewed as the response to China’s Belt and Road Initiative
However, the GRTI report said that the disruption in the Middle East, a vital link in this corridor, may lead to delays and complications in the project’s execution.
