India and Israel sign Bilateral Investment Agreement (BIA)

Source: PIB

Context: India and Israel signed a Bilateral Investment Agreement (BIA) in New Delhi, witnessed by Finance Ministers of India and Bezalel Smotrich.

About India and Israel sign Bilateral Investment Agreement (BIA):

• What it is?

• A landmark investment protection and promotion treaty between India and Israel. Provides a minimum standard of treatment and a framework for transparent, secure, and fair investment flows. Establishes a neutral dispute resolution mechanism through arbitration to protect investors.

• A landmark investment protection and promotion treaty between India and Israel.

• Provides a minimum standard of treatment and a framework for transparent, secure, and fair investment flows.

• Establishes a neutral dispute resolution mechanism through arbitration to protect investors.

• Facilitate greater certainty, transparency, and security for investors in both countries. Safeguard investments against risks like expropriation, arbitrary restrictions, or policy shocks. Encourage mutual trade and capital flows, making investment environments more resilient. Balance investor protection with sovereign regulatory rights of the two governments.

• Facilitate greater certainty, transparency, and security for investors in both countries.

• Safeguard investments against risks like expropriation, arbitrary restrictions, or policy shocks.

• Encourage mutual trade and capital flows, making investment environments more resilient.

• Balance investor protection with sovereign regulatory rights of the two governments.

• Key Agreements:

• Protection from Expropriation: Ensures fair compensation if assets are seized or nationalised. Transparency Measures: Clear rules and open procedures to promote investor confidence. Independent Arbitration: Neutral dispute settlement mechanism outside domestic courts. Free Transfer & Compensation: Smooth repatriation of capital, profits, and compensation for losses. Sectoral Cooperation: Enhanced collaboration in fintech, infrastructure, digital payments, cybersecurity, defence, and high-tech innovation.

• Protection from Expropriation: Ensures fair compensation if assets are seized or nationalised.

• Transparency Measures: Clear rules and open procedures to promote investor confidence.

• Independent Arbitration: Neutral dispute settlement mechanism outside domestic courts.

• Free Transfer & Compensation: Smooth repatriation of capital, profits, and compensation for losses.

• Sectoral Cooperation: Enhanced collaboration in fintech, infrastructure, digital payments, cybersecurity, defence, and high-tech innovation.