Prime Minister Narendra Modi and UAE President Sheikh Mohamed bin Zayed Al Nahyan.
Credit: PTI Photo
New Delhi: The government on Thursday approved the signing and ratification of a Bilateral Investment Treaty (BIT) between India and the United Arab Emirates (UAE).
The pact would help promote investments between the two countries.
"The Union Cabinet chaired by Prime Minister Narendra Modi, today has given its approval for signing and ratification of BIT between India and the UAE," an official statement said.
The treaty is expected to improve the confidence of investors, especially large investors, resulting in an increase in foreign investments and overseas direct investment (ODI) opportunities, the statement said, adding that this may have a positive impact on employment generation.
"The approval is expected to increase investments in India and is likely to help in realising the goal of Atmanirbhar Bharat by encouraging domestic manufacturing, reducing import dependence, increasing exports etc," it added.
The two nations have also implemented a free trade agreement in May 2022.
India received an FDI of USD 16.7 billion between April 2000 and September 2023.