Trade Minister Piyush Goyal stated on Tuesday that India is not reconsidering its position on letting Chinese investments into the nation.
India's Chief Economic Advisor, V. Anantha Nageswaran, stated earlier in July that the country should concentrate on attracting foreign direct investments from China in order to increase exports and manage the country's widening trade imbalance with Beijing. Government policy is not bound by the recommendations of the economic study, according to Goyal.
Nirmala Sitharaman, India's finance minister, had supported Nageswaran's proposal to let greater Chinese investment in the nation.
India may relax restrictions on a few Chinese investments:
According to two government officials who spoke to Reuters last week, India is poised to loosen limits on Chinese investment in non-sensitive industries like solar panels and battery manufacture, where New Delhi lacks experience and which promotes indigenous manufacturing.
Amidst military concerns along the distant Himalayan frontier, India increased its inspection of investments from Chinese enterprises in 2020.
According to one of the officials, who wished to remain anonymous, the administration intends to remove areas from government oversight those it believes are less sensitive from a security standpoint for Chinese investment.
Restrictions on Chinese investments in industries including telecom and electronics will persist, the government official said.
