India Targets Three Fresh Investment Protection Pacts by Year‑End

New Delhi – New Delhi is stepping up its drive to expand the web of bilateral investment treaties (BITs). Finance Minister Nirmala Sitharaman said the administration hopes to lock in at least three new accords before the close of 2026.

A new model to guide upcoming accords

India’s inaugural BIT template, adopted in 2016, has been under review as policymakers seek a sweet spot between strong investor safeguards and retained policy independence. A refreshed framework, under development for roughly a year and a half, is slated for cabinet endorsement in the coming weeks.

The modernised model will act as a common foundation for future talks, while still giving each treaty the flexibility to reflect the partner country’s specific interests. Recent deals with Saudi Arabia, the United Arab Emirates and Oman already embed language that the government feels better matches today’s investment climate.

Canada, Russia and other negotiations in motion

Talks with Canada are progressing, and Sitharaman hinted that a Canada‑India BIT could be signed by December or, at the latest, early next year. Parallel discussions are also underway with Russia, a long‑standing economic ally active in energy, transport and defence. An investment‑protection agreement would deepen that bond by adding a formal dispute‑resolution mechanism.

Why the renewed push on BITs?

Bilateral investment treaties give foreign investors greater certainty that their capital will be shielded and that any disputes will be resolved through agreed‑upon channels. By modernising the template and courting new partners, India aims to showcase a more predictable investment climate and attract additional foreign capital.

In recent years the country has already ratified BITs with a handful of states, including Israel, Uzbekistan and the UAE, according to the Department of Economic Affairs. With several negotiations proceeding side by side, officials are confident that at least three more treaties will be sealed by December, while the Canada talks could stretch into early 2027 if needed.