Kathmandu. Australia and India have signed an agreement to supply uranium during Prime Minister Narendra Modi’s visit to Australia.

Noting that India’s demand for electricity is high, Prime Minister Modi outlined a plan to increase nuclear power production substantially in the coming years.

Australia is home to about 28 percent of the world’s uranium resources, but exports to India have been hampered by legal hurdles and political sensitivities.

Prime Minister Narendra Modi said after talks with his Australian counterpart Anthony Albanese, he signed an important agreement on nuclear energy.

It will pave the way for uranium supplies from Australia to India and accelerate the pursuit of clean energy.

In a joint statement, the two countries said it had allowed long-term uranium exports for “peaceful purposes”. According to the agreement, exports must be under safeguards established by the International Atomic Energy Agency.

The deal will boost the capacity of non-fossil fuels by making it easier for Australian uranium exports to India, Albanese told reporters.

Prime Minister Albanese on Thursday praised Modi’s leadership and said it helped strengthen ties between the two countries.

Prime Minister Narendra Modi will be honoured with a rock-star ceremony at a stadium in Melbourne.