Title - India, China sign MoUs on rail, IT

The world’s two most populous nations may have their differences on various matters, including the contentious boundary issue. But on the economic and commercial front, India and China have pledged to deepen their ties and create an environment for promoting investment for the mutual benefit of the two nations. This pledge to deepen their trade ties came during the second India-China Strategic Economic Dialogue during which as many 11 agreements estimated to involve an investment of $5.2 billion were inked. Aiming to promote greater economic and commercial engagement, the two sides agreed to improve trade and investment environment, remove market barriers and deepen business cooperation according to the minutes of the meeting issued on the conclusion of the dialogue. India and China also agreed to enhance transportation links, encourage greater bilateral investments and work towards achieving a more balanced and sustainable bilateral trade. Bilateral trade between the two countries has increased from $3 billion in 2000 to $74 billion at present. Both sides also agreed to intensify cooperation in the financial sector by encouraging financial institutions of the two countries to set up operations in either country to support enterprises of the two countries to establish/expand commercial operations. Among the pacts signed on Monday was between the Planning Commission and China’s planning body, the National Development and Reforms Commission (NDRC), for undertaking joint studies in economic policy research and development planning. MoUs were inked to encourage cooperation between India’s Bureau of Energy Efficiency and NDRC. Another MoU was between Indian Railways and China’s ministry of railways for enhancing technical cooperation in the railway sector. Yet another agreement was inked by India’s IT industry body Nasscom and China Software Industry Association (CSIA) for enhancing cooperation in IT and ITES sector.