In a landmark move, Prime Minister Narendra Modi announced the elevation of India-Israel relations to a "special strategic partnership" during his ongoing state visit to Israel on February 26, 2026. Highlighting shared commitments against terrorism and innovation-driven growth, Modi revealed agreements on UPI integration in Israel, alongside advancements in defence, space, and civil nuclear energy. This visit, amid escalating West Asian tensions, underscores the deepening bilateral ties that could reshape regional stability and economic cooperation.
Historic Tributes and High-Level Engagements
PM Modi's second day in Israel began with a solemn tribute at Jerusalem's Yad Vashem Holocaust Memorial, where he honored millions of Jews killed during World War II. Accompanied by Israeli President Isaac Herzog, Modi planted a sapling symbolizing peace and remembrance. "Humanity must never become a victim of conflict," Modi stated, praising the Gaza Peace Plan as a pathway to resolution.
Following the memorial, Modi held bilateral talks with President Herzog, who lauded India's rapid economic growth and encouraged student exchanges. Modi extended an invitation for Herzog to visit India, emphasizing people-to-people connections. Delegation-level discussions with Israeli Prime Minister Benjamin Netanyahu focused on mutual interests, including counter-terrorism efforts. "There is no place for terrorism in the world," Modi asserted, committing to joint action under frameworks like IMEEC and I2U2.
Key Agreements and Economic Boost
A highlight was the signing of an agreement to link India's Unified Payments Interface (UPI) with Israel's systems, enabling seamless digital transactions and boosting fintech ties. Modi expressed optimism about finalizing a Free Trade Agreement (FTA) soon, noting ongoing negotiations that began on February 23. Bilateral trade reached $3.62 billion in 2024-25, and the FTA aims to ease customs, protect intellectual property, and support SMEs.
Defence emerged as a cornerstone, with last year's MoU paving the way for joint research, co-development, and production. Reports suggest potential deals worth $8.6 billion, including advanced drones like the Heron MK-2 and missile systems. Netanyahu praised Modi's "amazingly efficient government," while sharing a personal anecdote: his first date with wife Sara was at an Indian restaurant in Tel Aviv, symbolizing cultural bonds.
Broader Collaborations and Expert Insights
Discussions extended to AI, agri-tech, water management, and innovation. Netanyahu highlighted precision education via AI, stating, "The future belongs to those who innovate." Foreign Secretary Vikram Misri described the visit as "exceptional" and "productive," yielding rich outcomes in under 24 hours.
Experts like Israeli Consul General Yanee Revach view this as a boost for India's self-reliance under Make in India. For readers, practical takeaways include exploring UPI for travel to Israel, monitoring FTA for business opportunities, and supporting anti-terrorism dialogues amid global conflicts.
PM Modi's visit reinforces India-Israel strategic partnership at a critical juncture, blending historical respect with forward-looking collaborations. As Modi returns, these ties promise enhanced security, economic growth, and innovation—proving that shared values can bridge divides in a turbulent world.
