Chinese premier’s visit this week is significant for the country’s investment in India.
Chinese President Xi Jinping will visit India on September 17, 2014 for a three-day trip where, along with Indian Prime Minister Narendra Modi, he will lay the groundwork for investment in India. Starting from industrial parks to bullet trains, the talks on investments will revolve mainly around development.
Currently, the Government of India is scouting for investments for Modi to attain his goals of improving the country’s infrastructure, strengthening manufacturing and reaching out for prosperity. The Indian PM is exploring present offerings and strategic partnerships from competing countries, China, Japan and the US.
Modi’s visit this year to China resulted in a $35 billion investment over five years from the country. His priority is also to pour in more investment to improve border infrastructure to enhance military logistics, considering the well-networked roads along the Chinese border have skewed the the advantage towards Chinese troops.
At present, India is working on a two-track China policy through which it will access China’s aid and investments, as well as raise focus on military preparedness and strategic partnerships to cope and counter China’s rise, if necessary.
For now, Chinese firms are expected to set up factories in India to manufacture products for Indian consumers, as well as escalate export to overcome the country’s over $30 billion trade deficit.
Photo Credits: The Hindu