New Delhi, January 25: French President Francois Hollande and Prime Minister Narendra Modi on Monday inked a Memorandum of Understanding on the purchase of 36 Rafale fighter jets by Indian Air Force. The deal is worth Rs. 60,000 crore and was stuck in a price deadlock since Modi’s visit to France last year. The dead was announced by Modi in April but there were differences over the price, with the Indian side trying to bring the price down by about 20% of the quoted price.
“We are very happy that we have formed an agreement for purchase of 36 Rafale aircrafts with France,” Modi said at a joint address, after the MoU was signed by between the two countries’ governments. “The 14th agreement for purchase of 36 Rafale Fighter jets signed, except for some financial issues which both sides agreed to resolve soon”, said a statement from the Ministry of External Affairs. Hollande and Modi have also agreed to fight extremism and terrorism together. “France and India are both aware of threats of terrorism, as both nations have been targeted recently”, Hollande said at the join address. Also Read: Only financial details remain in striking Rafale deal: Narendra Modi
The government-to-government deal is the most eagerly awaited one between the two countries and Hollande had indicated his support for the conclusion of the deal, when he had said on Sunday that the deal was “on the right track”. He had also said that Indo-French cooperation in defence was a very important part of the strategic partnership. Modi has announced the decision to buy the jets, in a surprise move and one that was aimed at providing the Indian Air Force with a strategic edge over the neighbours.
14th agreement for purchase of 36 Rafale Fighter jets signed, except for some financial issues which both sides agreed to resolve soon: MEA
— ANI (@ANI_news) January 25, 2016
India-France welcomed the conclusion on Rafale deal, though some financial issues remain to be closed: Foreign Secy
— ANI (@ANI_news) January 25, 2016
For breaking news and live news updates, like us on Facebook or follow us on Twitter and Instagram. Read more on Latest India News on India.com.
