India and Israel have signed a Bilateral Investment Agreement in New Delhi, aimed at providing greater certainty and protection for investors, while boosting the growth of mutual investments between the two nations.
The agreement was signed by Finance Minister Nirmala Sitharaman and her Israeli counterpart Bezalel Smotrich.
According to the official statement, &ldquo;The agreement marks a historic milestone in the relations of the two countries. The agreement is expected to boost investments, provide greater certainty and protection for investors, facilitate the growth of trade and mutual investments by ensuring a minimum standard of treatment, and an independent dispute resolution mechanism through arbitration.&rdquo;
The deal also includes provisions to safeguard investments against expropriation, ensure transparency, and enable smooth transfers and compensation for losses, while maintaining a balance between investor protection and the State&rsquo;s regulatory rights, thereby preserving sufficient policy space for sovereign governance.
This signing underscores the shared commitment of both India and Israel to deepen economic cooperation and build a more resilient investment framework. Bilateral investments currently stand at around $800 million, and the agreement is expected to significantly raise this figure, benefiting businesses and economies in both countries.
Finance Minister Nirmala Sitharaman highlighted that both nations should increase business interactions to explore fresh investment opportunities and maximize the benefits of the agreement. She also pointed out a series of reforms India has undertaken over the last decade, making it the fastest-growing economy in the world and creating an investment-friendly environment.
Sitharaman expressed condolences over the loss of innocent lives in the recent terrorist attack in Israel, while also acknowledging the civilizational values both countries share that contribute to global peace. Both ministers recognised the common threat of terrorism and reaffirmed solidarity with each other.
Israeli Finance Minister Bezalel Smotrich spoke about the strong shared background of the two nations, both of which have achieved high economic growth despite security challenges. He stressed the importance of expanding cooperation in cybersecurity, defence, innovation, and high-technology sectors.
The two ministers also reiterated their joint commitment to enhancing economic cooperation in fintech, infrastructure development, financial regulation, and digital payment connectivity. They agreed to further promote and protect investments on a reciprocal basis.
Extending the partnership further, the Israeli Finance Minister also invited Nirmala Sitharaman to visit Israel. [Except for the headline, this article has not been edited by the Benefit News editorial team and is published directly from the IANS news feed]

India, Israel ink landmark investment pact

Nations sign deal to boost trade, protect investors, and deepen economic cooperation

India, Israel ink landmark investment pact

Nations sign deal to boost trade, protect investors, and deepen economic cooperation

September 8, 2025 | 19:09 IST