NEW DELHI, 17 February 2006 — At a joint sitting of both houses of Indian Parliament that marked the beginning of the budget session yesterday, President A.P.J. Abdul Kalam said that the recent visit by Custodian of the Two Holy Mosques King Abdullah marked an upswing in India’s relations with Saudi Arabia.

“This visit has opened a new vista and enlarged our traditional ties,” said Kalam.

“The foreign policy of my government is, as has always been the case, guided by enlightened national interest.”

Kalam said his government is paying close attention to relations with the countries of the Gulf Cooperation Council, home to four million Indians and “a major source of supplies of our oil and gas.”

“We attach very high importance to West Asian issues and remain supportive of the efforts of the international community in finding a just and durable solution to the problems faced by the Palestinian people so that they may achieve a state of their own.

At the same time we attach high importance to our friendly relations with Israel which we hope to strengthen and diversify,” he said.

Kalam said that India expects to gain access to international cooperation for the enlargement of India’s nuclear energy sector based on reciprocal commitments of India and the US expressed in a recent joint statement by the leaders of the two countries.

“Major initiatives are underway to encourage the expansion of investment, trade and technology transfers, accelerate cooperation in agriculture, health and human resource development, in cooperation for energy security, a framework for defense cooperation and expanding cooperation on key global challenges,” he said.

Elaborating on India’s ties with Russia, Kalam said: “Our time-tested friendship with Russia has led to the growth and development of extensive ties of cooperation in the fields of oil and gas, trade and investment, nuclear energy, space, high technology and defense.”

He also touched on India’s relations with China, the European Union and its member states and the progress in India’s “Look East” policy.

Exuding confidence about the Indian economy being “on the move,” Kalam called the 5 percent annual growth in 1999-2003 lackluster in comparison to 7.5 percent growth in 2004-05.

He said the Indian economy may cross the 8 percent mark in this fiscal year.