Both the countries have also agreed to share relevant information on the regulatory framework and investment priorities/projects as may be needed during the preparation of investment proposals. Both the countries have also agreed to provide necessary local assistance to implement projects under this MoU.
Widening trade deficit with China is a major concern for India. Signing of the MoU is expected to facilitate investment from Chinese companies into India, facilitate an orderly flow of production factors from China into India and accelerate development of competitive manufacturing sector in India as a result of which many goods which are now being imported from China could be expected to be produced in the country which in turn is expected to reduce the country’s trade deficit. Increase in manufacturing growth will also provide gainful employment to large number of youth in the country.
Widening trade deficit with China is a major concern for India. Signing of the MoU is expected to facilitate investment from Chinese companies into India, facilitate an orderly flow of production factors from China into India and accelerate development of competitive manufacturing sector in India as a result of which many goods which are now being imported from China could be expected to be produced in the country which in turn is expected to reduce the country’s trade deficit. Increase in manufacturing growth will also provide gainful employment to large number of youth in the country.
