India inks deal to acquire S-400 air defence system from Russia
New Delhi: After months of walking the tight-rope, India on Friday inked a USD 5 billion deal to purchase the much-vaunted S-400 air defence system from Russia, amidst US warnings of punitive sanctions against nations doing "significant" business with Moscow.
The deal, signed during Russian President Vladimir Putin's visit here, however, was underplayed by New Delhi, perhaps in a bid to keep its robust ties with Washington unblemished.
Prime Minister Narendra Modi and Putin, who held their annual summit, did not mention the S-400 deal in their respective press statements. Government officials also did not publicly announce the inking of the deal. However, official sources confirmed that it was signed - by a joint secretary-level official in the defence ministry from the Indian side.
A top Indian official said: "Now that the contract is signed I presume the timeline (for the payment mechanism) has to be fairly soon."
A joint statement issued after the summit said, "the sides welcomed the conclusion of the contract for the supply of the S-400 Long Range Surface to Air Missile System to India," the only reference to the deal.
Russian news agency TASS also confirmed the deal was signed, quoting Russian presidential spokesman Dmitri Peskov as saying, it was concluded "on the sidelines of the visit."
The defence deal is the first for India to have with Russia after the imposition of the Countering America's Adversaries Through Sanctions Act (CAATSA) by Washington against Moscow in August last year.
However, the US embassy spokesperson here while responding to a query said that the CAATSA was aimed at Moscow and not intended to damage the military capabilities of its "allies and partners."
During the 19th annual summit, Modi and Putin discussed ways to boost the strategic partnership in critical areas, including defence, counter-terrorism, energy and space.
India and Russia also signed eight other pacts, including one on cooperation on India's ambitious human space mission project Gaganyaan, after Modi and Putin held one-on-one and delegation-level talks.
