India set to clear 45 investments from China: Non-sensitive sectors to get faster approval
New Delhi, Feb 23: India is set to clear 45 investments from China. This would also include those from the Great Wall Motor and SAIC Motor Corp.
The development comes as the military tensions between the two countries ease out with the disengagement being complete at the north and south banks of Pangong Tso.
The proposals have been held up since last year after the Indian government tightened controls on the Chinese investment in retaliation against the troop intrusion along the Line of Actual Control in Eastern Ladakh.
Nearly 150 investment proposals from China worth over USD 2 billion were stuck in the pipeline. Reports say that most of the 45 proposals set for early approvals are in the manufacturing sector. These are concerned noon-sensitive in terms of national security.
Last year Great Wall and General Motors had made a joint proposal seeking consent for the Chinese automaker to purchase the US COmpany's car plant in India.
Great Wall plans to invest USD 1 billion in India over the next few years. "Should we be granted all relevant approvals, we will push all work forward in India, abiding by the laws and rules laid down by the Indian government," a spokesperson of the company said. A GM spokesperson quoted by Reuters said that they will continue to seek all relevant approvals to support the transaction.
The Indian government will approve investments from the non-sensitive sectors faster. The investments from the sensitive sector will be reviewed later. Textiles, electronics, chemicals and automobiles are seen as non-sensitive, while those involving data and finance are deemed sensitive.