Assessing the Investment Climate in India and Improving Market Access in Financial Services in India

by Arvind Subramanian, Peterson Institute for International Economics

September 25, 2013

The Indian economy will require important adjustments to recover from its recent turbulence. Upcoming elections may complicate the cause of reform. Over the past year, India has embarked on unprecedented liberalization of foreign direct investment (FDI) and other capital inflows, which could pave the way for India to pursue a bilateral investment treaty (BIT) with the United States. Such a treaty could lead to expanded US-India trade culminating in a free trade agreement in the medium term.

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