Cabinet to take up revamped model bilateral investment treaty soon
BusinessLine 1 hr ago·25 Sept 2026, 9:32 am
The Indian cabinet has announced it will soon examine a new model for bilateral investment treaties (BITs). The draft is meant to replace older templates and introduce a faster, more streamlined process for negotiating BITs with other countries.
The changes are designed to keep India’s right to tax and its judicial system intact while still offering stronger guarantees for Indian firms investing overseas. By tightening red lines and expanding outbound‑investment protections, the government hopes to attract more foreign capital and give Indian exporters more confidence abroad.
Investors should keep an eye on when the model is finalised and how it is incorporated into upcoming BIT negotiations. Details on sector‑specific clauses or any shift in dispute‑settlement rules could influence the risk profile of companies with significant overseas exposure.
Excerpt from BusinessLine
Government is all set to bring new model bilateral investment treaty framework as the proposal is likely to be taken up by the Union Cabinet soon, government sources said. The framework is being reworked after 10 years. “The draft text of the new BIT framework has been finalised and sent to the Union Cabinet for…Read the original at BusinessLine
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