India and Saudi Arabia are two ascending powers, both being G-20 economies and important players in respective regions of South Asia and Middle East. In over a decade since the visit of King Abdullah and the signing of Delhi Declaration in 2006, the two have strengthened bilateral relations based on strong trade and frequent political engagements. The signing of a Memorandum of Understanding on defense cooperation in February 2014 added a new dimension with promise for close security cooperation. Bilateral ties were further strengthened by the visit of Prime Minister Narendra Modi to Riyadh in April 2016. With growing business, increased investments and close security co-operation Indo-Saudi relations have started to acquire strategic dimension. Despite some challenges, Indo-Saudi relations are poised to gain a strategic dimension based on common concerns and interests in security and defense cooperation and business investments.