Turkey’s sworn enemy, India’s friend…why is Modi govt so interested in Cyprus?
New Delhi: Prime Minister Narendra Modi made a two-day visit to Cyprus on June 15-16, which was the first visit by an Indian Prime Minister in two decades. This visit was part of PM Modi’s three-nation visit, which also includes Canada (for the G7 summit) and Croatia. This visit is taking place at a time when tensions are at their peak in West Asia.
This visit to Cyprus is strategic as India is trying to reshape its relations in the Mediterranean and Europe and Cyprus is playing an important role in this strategy. This visit took place after ‘Operation Sindoor’, which is being considered as India’s direct message to Turkey. Turkey has long stood with Pakistan and in recent years its role in anti-India activities has increased after which India started strengthening its relations with Cyprus and Greece.
India Cyprus relationship
Cyprus, located in the Mediterranean, became independent from British rule in 1960. But soon tensions began between Cypriots of Greek and Turkish origin. In 1974, a coup was carried out in Cyprus with the support of Greece’s military dictatorship (junta), which aimed to integrate Cyprus with Greece. In response, Turkey launched a military attack on Cyprus, citing the protection of Turkish Cypriots.
Although the legitimate government was later restored in Nicosia, capital of Cyprus, Turkish troops remained in the northeastern part of the island. Later that region declared itself the ‘Turkish Republic of Northern Cyprus’ – a political entity recognized only by Ankara.
India has consistently supported a solution to this issue under UN resolutions and international law. India has played a major role in the United Nations Peacekeeping Force in Cyprus (UNFICYP) and three Indian military officers have served as heads of the UN mission.
Supporter of India’s permanent membership in UNSC
Cyprus has been a strong supporter of India’s international ambitions. The island nation has publicly supported the proposal to grant India permanent membership in the expanded UN Security Council. In addition, Cyprus has also supported the India-US civil nuclear deal, especially in global regulatory institutions such as the Nuclear Suppliers Group (NSG) and the International Atomic Energy Agency (IAEA).
Strengthening India-Cyprus economic ties
Several key economic agreements were signed in the presence of Prime Minister Modi and Cyprus President Nikos Christodoulides. The two leaders welcomed the signing of the MoU between NSE International Exchange GIFT City, Gujarat and the Cyprus Stock Exchange. NIPL (NPCI International Payments Limited) and Eurobank Cyprus agreed to launch UPI for cross-border payments between the two countries.
The India-Greece-Cyprus (IGC) Trade and Investment Council was also launched. It will promote trilateral cooperation in areas such as shipping, logistics, renewable energy, civil aviation and digital services. The Prime Minister welcomed the fact that many Indian companies see Cyprus as a gateway to Europe and a hub for IT services, financial management and tourism.
Hub of investment and trade in Europe for India
Cyprus is becoming a hub of investment and trade in Europe for India. Trade between India and Cyprus in the financial year 2023-24 was $ 136.96 million. Medicines, ceramics, steel, textiles and machinery are exported from India, while medicines, beverages and other products come to India from Cyprus.
Cyprus plays an important role for India in Europe
Cyprus is an important link in India’s ‘India-Middle East-Europe Economic Corridor (IMEC)’ plan, which connects India to the Middle East and Europe. Apart from this, Cyprus also has marine energy resources, where India wants to cooperate. Due to maritime disputes with Turkey, India wants to strengthen its presence in this region. Cyprus will chair the European Union in 2026, which can help India get strong partners in Europe for the India-Europe Free Trade Agreement (FTA).
Defense cooperation between the two countries has been progressing steadily since the signing of the Memorandum of Understanding (MoU) on defense cooperation in December 2022. Taking it further, the two countries have finalized the Bilateral Defense Cooperation Program (BDCP) for 2025 in Nicosia. Currently, the Indian Defense Advisor (Defense Attache) for Cyprus is posted at the Indian Embassy in Cairo and is handling the responsibility of defense coordination.
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