The government has not issued any statement yet on the confrontation between two of its close Gulf partners as it does not want to be seen as getting involved in the crisis, said a person familiar with the matter. India is keeping a close watch on the Yemen battleground as a widening of the conflict can impact India’s trade, oil supplies and diaspora in the region, according to the person.
Controlling Yemen is critical for both Saudi Arabia and the UAE to extend their influence in the Red Sea, Indian Ocean Region and Horn of Africa. Saudi Arabia is backing a unified Yemen, while the UAE is supporting separatists in southern Yemen.
The UAE has emerged as India’s principal partner in West Asia. Saudi Arabia holds the largest diaspora in the region and is a key crude oil supplier. India is eyeing an increase in investments from Saudi Arabia and also seeking to increase exports to the country. India-UAE relations have strengthened over the past decade with PM Narendra Modi visiting the Gulf nation seven times since 2015. Foreign and commerce ministers of the two countries have made several reciprocal visits over the past few years. Ties have widened since the UAE recognised Israel under the US-brokered Abraham Accords.