India has relaxed curbs on Chinese investments in certain sectors to attract more foreign capital, as Beijing and New Delhi continue to gradually repair their economic relationship after years of tense relations.<\/p>\n
In a cabinet statement released on Tuesday, New Delhi introduced a fast-track approval mechanism for investments from land-bordering countries \u2013 including China. The move amends a previous restriction that had mandated government scrutiny for all such capital inflows.<\/p>\n
Under the new rules, investments in specific sectors \u2013 including capital goods, electronics and solar components \u2013 will be processed within 60 days, as long as Indian residents hold majority shareholdings over the ventures at all times, according to the statement.<\/p>\n
Investors from bordering nations who hold a non-controlling beneficial ownership of up to 10 per cent will be granted automatic clearance, subject to specific regulatory conditions, it added.<\/p>\n
\u201cFrom the perspective of supply chain collaboration, India should welcome Chinese investment,\u201d said Mao Keji, a research fellow at the International Cooperation Centre of China\u2019s National Development and Reform Commission.<\/p>\n
Mao said New Delhi might have realised it had been imprudent to shut out Chinese capital for the past several years.<\/p>\n
New Delhi first introduced mandatory screening of foreign direct investments from land-bordering countries \u2013 a move known as Press Note 3 \u2013 in April 2020, which it justified as being necessary to guard against \u201copportunistic takeovers\u201d during the pandemic.<\/p>\n","protected":false},"excerpt":{"rendered":"India has relaxed curbs on Chinese investments in certain sectors to attract more foreign capital, as Beijing and…\n","protected":false},"author":2,"featured_media":529040,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[8580,45,49,48,95,27958,46,207748,1799,10410,207747,26930,38055,207749,53055,9671,21663],"class_list":["post-529039","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-beijing","tag-business","tag-ca","tag-canada","tag-china","tag-chinese","tag-economy","tag-himalayan","tag-india","tag-indian","tag-mao-keji","tag-narendra-modi","tag-new-delhi","tag-press-note","tag-shanghai-cooperation-organisation","tag-xi-jinping","tag-xiaomi"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/529039","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/comments?post=529039"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/529039\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media\/529040"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media?parent=529039"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/categories?post=529039"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/tags?post=529039"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}