Asserting that there was a huge potential to further ramp up economic engagement between India and Luxembourg, the third largest source of Foreign Portfolio Investments (FPI), Prime Minister Narendra Modi on Thursday pitched for strengthening ties in areas such as financial and digital technologies.

“There is a huge potential to expand economic engagement,” Mr. Modi said, addressing the first bilateral summit in two decades via videoconferencing with his Luxembourg counterpart Xavier Bette.

Luxembourg is one of the most important financial centres globally. Several Indian companies have raised capital by issuing Global Depositary Receipts at the Luxembourg Stock Exchange. Luxembourg-based investment funds hold substantial banking and asset management market share in portfolio investments in India.

Mr. Modi spoke about possible cooperation in dealing with the economic and health challenges posed by the pandemic, and invited Luxembourg to join the Coalition for Disaster Resilient Infrastructure (CDRI).