I deem it a privilege to meet you shortly after being given the signal honour of addressing a Joint Session of the Congress earlier today. This meeting is an invaluable opportunity for me to set before friends of India-the votaries of a strong bilateral relationship-the task that lies ahead of us in forging a stronger India-US partnership.

I do so secure in the confidence that India will have your support in our efforts to strengthen and consolidate our bilateral ties. I thank you for your interest in India and the support that you have extended to making our relationship stronger and forward looking.

Earlier today, I referred to our common heritage as liberal democracies. I spoke of the commonalities that bind our two nations together. Indeed, given these commonalities and the fact that there has never been any reason for a conflict of interests between us, I have always been perplexed by the fact that our relations have not developed to their fullest potential. Our bilateral relationship has in the past been described as one between estranged democracies. However, during this visit, I have become convinced that our relationship must now evolve beyond this stereotype. We must have a transformation to create a true strategic partnership that befits two of the world's great democracies.

Such a transformation requires support from all sections of society. The India Caucus can join hands with Government on both sides, not just in removing the misperceptions and stereotypes of the past, but also in pooling our collective efforts to realize the hopes with which our two countries now view this partnership.

In our discussions yesterday, President Bush and I identified several new areas in which we would take our partnership forward. One of these is a Global Democracy Initiative to assist nations that aim to establish democratic institutions based on the eternal values of liberty, freedom and equality. This effort will be based on engagement with the international system, including through institutions of the United Nations, such as the UN Democracy Fund. In this context, India has decided to contribute $10 million to the UN Democracy Fund.

The President and I also shared the view that as democratic and pluralistic societies, we face a common threat from global terrorism. International terror does not merely threaten our security, it is also an assault on decency and our values. No grievance can justify terrorist attacks on innocent people. This is a challenge with which free societies cannot compromise. There must be an international norm of zero tolerance on terrorism.

We also discussed the issue of resuming cooperation in the field of civil nuclear energy. Energy scarcity and infrastructure bottlenecks are two major constraints on our further growth, along with older, unresolved problems of poverty, ignorance and chronic disease. Rising oil prices have brought into question our continued dependence on hydrocarbons. Increasingly, we in India see no alternative to investing more in nuclear energy, clean coal, hydrogen cells and other new and environmentally friendly technologies.

In this context, President Bush and I have reached agreement on cooperation in this vital sector. We are finding ways and means to enable cooperation in this regard, so that our plans are consistent with our respective national commitments and our respective national security needs. India, with its exemplary track record, will never pose any proliferation concerns for the international community. India has actively embraced globalization. This must now extend to cooperation in the field of civilian nuclear energy as well.

India is undergoing a rapid and increasingly all-encompassing process of transformation. A billion-strong society developing at our current pace in a democratic framework has no historical precedent. We are one of the fastest growing economies in the world.

Such an Indian economy is in the long term interests of US trade and business. Rising income levels and purchasing power in India have created demands for American products and services. The Open Skies Agreement signed in April 2005 reflects, for example, the emergence of strong tourism and travel. Admittedly, there is a trade gap, but if the United States plays to its strengths, that could easily narrow. This year, US exports have grown by almost 45% as compared to an Indian export growth rate of 15%.

Our focus remains on instituting policies of high growth aimed at encouraging investment flows and expanding trade. We are currently receiving about $6 billion annually as foreign investment. We need several times this amount. We have to strengthen investor confidence and have done so by putting in place a new Intellectual Property Rights regime, removing restrictions on joint venture expansions and resolving the controversy over Enron's investment in the Dabhol power project. The establishment of an India-US CEOs Forum and their first meeting in Washington will, I am confident, infuse enthusiasm in the US investor community.

Our vision of prosperity is not a narrow one. I believe that if India's current economic growth is sustained; it will impact for the better on our neighbourhood, and bring out the true development potential of a naturally integral region. Those of our neighbours who have identified in our growth an opportunity to advance their own economies have benefited substantially. We look forward to the process of economic development transforming the nature of political discourse in our region.

In addressing the emerging and future challenges of global interdependence, the question that must be asked by our friends is whether or not the interests of the United States would be better served by India's presence in the UNSC. I believe that the commonalities in our interests far outweigh any differences. UN reform must be comprehensive and extend also to making its activities more efficient and cost-effective.

A heavy responsibility rests on this Caucus in providing leadership for the realization of the ambitious agenda of our cooperation. I know I can count on your continued support as we move to further strengthen India-US relations.

Thank you.