India offers Vietnam $ 100-million credit for military ware

[thestringshredder]

In a first, India has offered a $ 100-million credit line to Vietnam to purchase military equipment. It will be used for purchasing four patrol boats.

The credit line was agreed upon around the time India once again expressed its resolve to remain involved in oil exploration activity in the Phu Kanh basin of the South China Sea. Vietnam says it is within its rights to invite India to explore for oil in this area. But China claims that this basin is within the “nine dotted line” or its zone of influence. The credit line is likely to be finalised by the time the General Secretary of the Communist Party of Vietnam visits India towards the end of the year.

Vietnam and India have long enjoyed strategic ties that include cooperation in the civil nuclear sector, training slots for Vietnamese military officers and frequent exchange of visits.

But this is one rare occasion when India is offering a defence-related credit line so far upfield. Usually, near neighbours squarely in India’s zone of direct influence have been the beneficiaries of New Delhi’s credit lines for the defence sector. For example, Mauritius, whose air force and navy have Indian defence hardware, was given credit lines to buy Indian patrol boats and Dhruv helicopters.

India has wanted to expand its defence ties with Vietnam to military hardware and one of the top- most items on the Vietnamese wish-list is the Brahmos missile, jointly produced with Russia, which, however, has close ties with both Vietnam and China and would not want to antagonise either.

Sources in the government wanted the credit line to be seen from the context of the overall drive to improve ties with South East Asian nations of which Vietnam’s close ties with India predate the Cold War. There has been a heavy traffic of high level visitors between the two countries that has led to a $ 45-million credit line for a 200-MW hydel project built by BHEL, offer of export of the Param supercomputer and a breakthrough for the Indian corporate sector though its Vietnamese counterparts have struggled.

The sources pointed out that India was beefing up security ties with all countries beyond its eastern flank as one of the vital components of its Look East policy. India and navies of some South East Asian countries have for long conducted the Milan series of naval exercises. The Indian Navy also conducts coordinated patrols with Thailand and holds joint exercises with Singapore and Japan.

Link - India offers Vietnam $ 100-million credit for military ware | idrw.org

 

[Brahmos_2]

Good move!

 

[Echo_419]

In a first, India has offered a $ 100-million credit line to Vietnam to purchase military equipment. It will be used for purchasing four patrol boats.

The credit line was agreed upon around the time India once again expressed its resolve to remain involved in oil exploration activity in the Phu Kanh basin of the South China Sea. Vietnam says it is within its rights to invite India to explore for oil in this area. But China claims that this basin is within the “nine dotted line” or its zone of influence. The credit line is likely to be finalised by the time the General Secretary of the Communist Party of Vietnam visits India towards the end of the year.

Vietnam and India have long enjoyed strategic ties that include cooperation in the civil nuclear sector, training slots for Vietnamese military officers and frequent exchange of visits.

But this is one rare occasion when India is offering a defence-related credit line so far upfield. Usually, near neighbours squarely in India’s zone of direct influence have been the beneficiaries of New Delhi’s credit lines for the defence sector. For example, Mauritius, whose air force and navy have Indian defence hardware, was given credit lines to buy Indian patrol boats and Dhruv helicopters.

India has wanted to expand its defence ties with Vietnam to military hardware and one of the top- most items on the Vietnamese wish-list is the Brahmos missile, jointly produced with Russia, which, however, has close ties with both Vietnam and China and would not want to antagonise either.

Sources in the government wanted the credit line to be seen from the context of the overall drive to improve ties with South East Asian nations of which Vietnam’s close ties with India predate the Cold War. There has been a heavy traffic of high level visitors between the two countries that has led to a $ 45-million credit line for a 200-MW hydel project built by BHEL, offer of export of the Param supercomputer and a breakthrough for the Indian corporate sector though its Vietnamese counterparts have struggled.

The sources pointed out that India was beefing up security ties with all countries beyond its eastern flank as one of the vital components of its Look East policy. India and navies of some South East Asian countries have for long conducted the Milan series of naval exercises. The Indian Navy also conducts coordinated patrols with Thailand and holds joint exercises with Singapore and Japan.

Link - India offers Vietnam $ 100-million credit for military ware | idrw.org

Great news
Hindi-Vietnamese Bhai Bhai

 

[Anonymous_CryptoSpy]

hell yeah.
PS 100million is bit low.... shud have been around 400million IMO.

 

[Viet]

good move India, that is the way to go. Don´t be afraid of China, they are not superman...

 

[Raje amar]

Good news.
India must advocate freedom of navigation in the international waters.
We have friends in the region and we must help them in the their needs.

 

[Tshering22]

hell yeah.
PS 100million is bit low.... shud have been around 400million IMO.

We're not exactly figuring in the top 5 world economies yet... you forget that.

 

[AADHAAR]

Good Move.

In addition to patrol boats, Akash SAMs should also be useful to them.

Brahmos would be costly, but ultimate weapon to keep the East Sea clean and free for navigation.

 

[Roybot]

Any idea which Patrol Vessel Vietnam will buy?

With the government ship yards busy with domestic order, this order will most likely go to private shipyards like Pipavav, which is building four 95m off shore patrol vessel for some unnamed Western African country.

 

[Assault Rifle]

Good move.

 

[MohitV]

good move India, that is the way to go. Don´t be afraid of China, they are not superman...

lol we know....but its just the indians policies that restrict us from acting....and sure we have got a lot to learn from u people

 

[Anonymous_CryptoSpy]

We're not exactly figuring in the top 5 world economies yet... you forget that.

pardon? is there any international guideline about credit limit wrt economic conditions?

 

[BoQ77]

Nice to see Indian members here agree with your govt decision !!!
We need true friends, not liars with nine-dotted line

 

[Tshering22]

pardon? is there any international guideline about credit limit wrt economic conditions?

No...but there is a limit on how much we can give as a developing nation of 1.2 billion people with 40% of the population still under decent standards of living.

Most fellow Indians fail to understand that there has to be a balance between international fundings such as these and what we can actually do.

China does what it does because of the position it is in wrt economy and money. Handing dole outs is not a problem for them because they are 3 times bigger than us in economy and geography.

But we must know our limits and try to make the best use of what we have and at the same time, support allied countries.

 

[faithfulguy]

No...but there is a limit on how much we can give as a developing nation of 1.2 billion people with 40% of the population still under decent standards of living.

Most fellow Indians fail to understand that there has to be a balance between international fundings such as these and what we can actually do.

China does what it does because of the position it is in wrt economy and money. Handing dole outs is not a problem for them because they are 3 times bigger than us in economy and geography.

But we must know our limits and try to make the best use of what we have and at the same time, support allied countries.

So is India building up an alliance with Vietnam? It seems that Vietnam is the only choice here as most other countries that is not China in East Asia sides with US.

Also, would the 100 million loan be use to advertise mail order brides. They need to boost their economy more than their military.