- Israel views Modi's visit as a shift from symbolism to concrete delivery in ties with India
- Both nations are advancing talks on a long-pending India-Israel Free Trade Agreement
- Technology, AI, agriculture, and defense are key sectors for expanding bilateral cooperation
Israel's chief economist at the Ministry of Finance, Shmuel Abramzon, has said the relationship between New Delhi and Jerusalem is entering a decisive phase -- one focused less on symbolism and more on delivery. The remarks came while Prime Minister Narendra Modi was in Israel for his second official visit.
Speaking exclusively to NDTV in Jerusalem, Abramzon described the visit as "the next level" in bilateral ties, underscoring progress on trade, technology, defence cooperation and a long-pending Free Trade Agreement (FTA) that both sides are keen to conclude.
"Israel is very, very happy to welcome Prime Minister Modi here in Israel, in Jerusalem," Abramzon said. "We had Prime Minister Modi here in 2017 -- that visit set the vision, set the friendship and the partnership. Now we are at the implementation stage. It's very, very exciting. We're taking everything to the next level."
FTA Talks Moving, But Timelines Cautious
A central expectation surrounding the visit is momentum on the India-Israel Free Trade Agreement, particularly against the backdrop of global tariff turbulence and shifting supply chains. With India signing or negotiating trade deals with the European Union, the United States and several other economies, Israel sees urgency in deepening its economic engagement with New Delhi.
"We are very, very keen to sign the FTA," Abramzon said. "Israel knows it has to act fast." Recalling earlier cooperation, he added, "We've seen it with the bilateral investment treaty. I was in Delhi to celebrate that signing. As we speak, there is actually a team in India involved in negotiations right now."
While refusing to commit to a firm deadline, Abramzon signalled optimism. "I would be careful to put a timeline, because these things take time and it's not only about Israel -- it's both sides. But I believe it would be quite quick."
Technology, AI And Manufacturing: A Natural Match
Abramzon highlighted technology -- especially artificial intelligence--as a key pillar of future cooperation. He pointed to a strong Israeli presence at a recent AI summit in India and growing trilateral and multilateral frameworks involving the United States.
"We're very excited to cooperate with India in AI," he said. "Israel has strength in parts of the AI value chain, but we don't have the masses that can produce. India has scale. This is really an amazing match between our two countries."
Beyond AI, he identified agriculture, water management, semiconductors, civilian technologies and defence as sectors ripe for expansion. "India has a very strong standing and potential in manufacturing," Abramzon said. "Israel, as a small country, would love to connect its technologies with the scale that India can provide."
Defence Cooperation And 'Strategic Alignment'
Defence remains one of the most sensitive yet central pillars of India-Israel ties, shaped by decades of quiet but consistent cooperation. Abramzon acknowledged its importance while remaining guarded on specifics.
"I can't elaborate on the details of defence manufacturing," he said, responding to questions about joint production and speculation around systems like Israel's Iron Dome. "But it's definitely on the table. It's a natural fit."
He framed defence ties within a broader strategic context. "Both India and Israel are peaceful countries and want peace in the region," Abramzon said. "But part of that is also being strong in our regions. Both sides understand this, and definitely defence industries are part of the deal."
The visit is also expected to elevate the bilateral relationship to a more comprehensive strategic partnership, with Prime Minister Modi invited to address the Knesset, a rare honour reflecting the political warmth between the two democracies.
What Draws Israel To India's Economy
Asked what stands out most about India's economic trajectory, Abramzon pointed beyond sheer size to growth momentum and institutional innovation. "We've seen a very impressive jump that makes India move towards its 2047 vision," he said. "India is one of the top growers in the world."
Two areas, in particular, have caught Israel's attention. "The first is fintech and the financial sector," Abramzon said. "We've seen amazing growth, and we want to be part of this Indian growth story."
He revealed Israel's interest in deeper integration with India's digital financial infrastructure. "We want to be integrated into the financial sector of India. We want to be part of the payment systems -- the global payment systems and the UPI that India has developed -- and enjoy some of these financial services."
The second area, he stressed, is manufacturing. "India's manufacturing capacity is extremely attractive. Combining Israeli technology with Indian production makes sense for both sides."
From Symbolism To Substance
With tricolours illuminated across Israel and high-level political engagement continuing, Abramzon's message was clear: the India-Israel relationship is maturing.
"Prime Minister Modi's visit symbolises continuity, trust and ambition," he said. "But more importantly, it reflects a shared desire to turn friendship into concrete outcomes."
As global economic uncertainties reshape trade and technology partnerships, Israel appears eager to anchor itself more deeply in India's growth story -- not just as a partner in innovation, but as a stakeholder in India's rise as a global manufacturing and financial hub.
