JeetoBharat
All current affairs

India’s Stand at WTO: Why New Delhi Opposes the China-Led Investment Facilitation Pact

GS2

India has formally reiterated its opposition to integrating the Investment Facilitation for Development (IFD) agreement into the WTO, arguing it undermines multilateralism and consensus-based decision-making.

India has formally reiterated its opposition to the China-led Investment Facilitation for Development (IFD) agreement being integrated into the World Trade Organization (WTO) framework. This stance was communicated through a formal submission to the WTO’s General Council, emphasizing that such plurilateral initiatives lack a multilateral mandate and threaten the organization's foundational principle of consensus-based decision-making. The IFD agreement, backed by over 120 of the WTO’s 166 members, aims to create a transparent and predictable environment for foreign direct investment (FDI) by streamlining administrative procedures and enhancing international cooperation. While proponents argue it will boost global development, India, along with South Africa, has consistently blocked its inclusion as a 'Plurilateral Agreement' under Annex 4 of the WTO Agreement.

Continue reading — free with login

JeetoBharat publishes daily UPSC current affairs mapped to the Mains syllabus. Log in to read full articles.

Log in to read full article

No credit card required. Free registered users get unlimited access.

This article was curated using AI. While we strive for accuracy, please verify critical facts from official sources.