India and France on Monday signed a Memorandum of Understanding over the purchase of 36 Rafale jets. The deal, announced in April by Prime Minsiter Narendra Modi, has been in limbo after negotiations hit a roadblock over price issues. The purchase of the 36 Rafale jets from France would cost India around Rs 60,000 crore.
“We are very happy that we have formed an agreement for purchase of 36 Rafale aircrafts with France,” said PM Modi.
The decision taken today will strengthen our bilateral relations, he added.
French President Francois Hollande, who is currently in India as chief guest for Republic Day celebrations, told media on his arrival that negotiations over the sale of Rafale jets are on the right track.
He also noted that Indo-French cooperation in defence “is part of our strategic partnership. It is based on trust, a very strong trust between both our countries.”
The purchase of jets will boost the Indian Air Force assets and provide India with a strategic edge over neighbours.