New bilateral investment treaty framework to get Cabinet nod soon: FM Sitharaman

India’s finance minister Nirmala Sitharaman said the cabinet will soon give its nod to a revised bilateral investment treaty (BIT) framework. The update aims to modernise India’s investment pacts, tackling lingering issues such as tariff barriers and trade imbalances with partner nations.
For investors, a clearer BIT regime can improve the predictability of foreign capital flows into India. Stronger protection and dispute‑resolution mechanisms may encourage more overseas funds to target Indian equities, especially in sectors that rely heavily on foreign investment, potentially lifting overall market sentiment.
Going forward, market participants will watch the exact timing of the cabinet approval, the list of countries that will adopt the new framework, and any detailed changes to dispute‑settlement or sector‑specific caps that could shape future capital inflows.
Excerpt from BusinessLine
Finance Minister Nirmala Sitharaman on Monday said a new template for bilateral investment treaties is ready and is expected to get Cabinet approval soon in a bid to make it more investor-friendly. The new template, being prepared over the last one-and-a-half years, seeks to address shortcomings in the model approved…Read the original at BusinessLine
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