Israel Urged to Fast-Track India-Middle East-Europe Economic Corridor

New Delhi, Sep 14 – The India-Middle East-Europe Economic Corridor (IMEC), a project with the potential to reshape global trade, energy and digital connectivity, has suffered delays due to the ongoing Israel-Hamas conflict.

The corridor, signed at the G20 Summit by India, the European Union, the US, Saudi Arabia, UAE, France, Germany and Italy, aims to create a multi-modal network of railways, ports and highways. This new route is expected to reduce logistics costs by 30% and cut transport time by 40% compared to the Suez Canal, while also reducing supply chain risks.

For Israel, IMEC is more than just an economic venture—it is seen as a strategic opportunity to boost its regional role and strengthen geopolitical ties. Prime Minister Benjamin Netanyahu has described it as a platform for Israel’s integration into Arab economies and global supply chains.

Experts believe Israel should prioritize the project once the conflict in Gaza subsides. They suggest establishing a multilateral institutional framework and a dedicated body to attract private and public investment, ensuring smooth collaboration among participating nations.

Regional instability, particularly from Iran-backed groups, has slowed momentum. However, analysts argue that normalization deals, while helpful, are not essential, and that the initiative can still move forward with effective diplomacy.

The IMEC also serves as a counterbalance to China’s Belt and Road Initiative, with Europe and the US looking to strengthen their strategic and economic presence in South Asia and the Gulf. France, Italy and other nations have already appointed special envoys to push the project ahead, while Israel and Cyprus recently relaunched joint energy projects under its framework.

Observers stress that stronger commitment from Israel, the US and Europe will be crucial to realizing IMEC’s promise as a transformative global trade route.