New Delhi [India], September 8 (ANI): India and Israel have signed a new Bilateral Investment Agreement (BIA) aimed at strengthening reciprocal investments and expanding economic cooperation between the two nations, according to an official statement by Israel's Ministry of Finance.

At the center of the visit, Israel's Minister of Finance Bezalel Smotrich and India's Finance Minister Nirmala Sitharaman signed the agreement in New Delhi on Monday. The statement noted that Israel has become the first OECD member state with which India has signed such a strategic agreement, in line with India's new model for investment treaties.

The agreement will promote reciprocal investments between investors from both countries, ensuring certainty and protection while contributing to enhanced trade and investment flows. It replaces the previous agreement signed in 1996, which was terminated in 2017 as part of India's broader policy on investment treaties, the Ministry of Finance said.

The official statement added that the signing followed months of intensive work between the Chief Economist's teams at Israel's Ministry of Finance and their counterparts in India. Both ministers underscored the strong economic relationship between the two countries, rooted in shared strategic interests, and reaffirmed their commitment to cooperation in areas such as innovation, infrastructure development, financial regulation, and digital trade. They also agreed to explore avenues for collaboration within regional development banks.

Smotrich invited Sitharaman for a reciprocal visit to Israel, while both sides agreed to jointly examine the establishment of a bilateral financial protocol to improve financing conditions for Israeli exporters. The Israeli finance minister further noted that his ministry is considering opening a representation in India to strengthen institutional ties and advance joint economic projects, according to the Ministry of Finance statement.

The delegation led by Smotrich included senior officials from the Ministry of Finance and the Securities Authority: Director General Ilan Rom, Chief Economist Dr. Shmuel Abramzon, Accountant General Yahli Rothenberg, and Chairman of the Israel Securities Authority Seffy Zinger. During their stay, officials are holding meetings with Indian counterparts to advance cooperation between the two economies.

The statement from Israel's Ministry of Finance also expressed appreciation to the Embassy of Israel in New Delhi for its role in facilitating the agreement, noting that its close cooperation was instrumental in achieving this milestone. (ANI)