‘India-UK talks for mutually useful FTAs, funding pact proceed at tempo’
NEW DELHI: Union finance minister Nirmala Sitharaman and United Kingdom chancellor of exchequer Rachel Reeves on Wednesday reiterated the dedication of the 2 governments to strengthen ties between the 2 nations and stated, either side are “persevering with negotiations at tempo” in direction of a “mutually useful” free commerce settlement (FTA) and bilateral funding treaty.
The finance ministers of the 2 international locations met in London for the thirteenth Financial and Monetary Dialogue (thirteenth EFD) and reiterated their dedication to construct a complete and strategic partnership between the 2 international locations, a finance ministry assertion stated.
A prime official conscious of India-UK free commerce negotiations stated the talks are on a fast-track.
India-UK FTA talks began on January 13, 2022 and initially moved shortly however later bought caught over key points akin to India’s excessive tariffs on vehicles and Scotch whiskies, other than the British sensitivity over immigration points. The 2 companions, nevertheless, resumed the FTA negotiations in February 2025 which was paused through the 14th spherical in Could 2024 after a niche of eight months.
The Indian delegation within the thirteenth EFD includes the nation’s finance secretary and senior officers from the ministry of finance and Indian Excessive Fee in London. Reserve Financial institution of India (RBI) governor Sanjay Malhotra additionally attended the assembly in digital mode. The UK delegation included the governor of the Financial institution of England, financial secretary of treasury and senior officers of the UK.
Each side reaffirmed their dedication to proceed collaboration in monetary providers sector, fintech and digital financial system and between the respective regulatory our bodies; collaboration at bilateral and multilateral fora to handle mutual and international financial points together with mobilising reasonably priced finance and funding for low carbon financial progress, taxation issues and illicit monetary flows.
The finance ministry assertion stated either side additionally welcomed the current announcement of UK universities establishing campus in India, launch of report of the India-UK Monetary Partnership (IUKFP) on direct itemizing in IFSC GIFT Metropolis, launching of recent personal sector workstream on inexperienced finance, below the auspices of the IUKFP and different new areas of focus.
The thirteenth EFD concluded with the adoption of the joint assertion by the 2 ministers that famous the resolve of the 2 companions for “a shared ambition” to make sure financial stability, improve funding, and reform economies to drive progress and prosperity throughout each international locations.
“We have a good time our sturdy financial partnership, with bilateral commerce valued at over £40bn and important overseas direct funding shares in each instructions,” the joint assertion stated.’’
Each side additionally famous the potential for “higher internationalisation” of the Indian rupee, welcome India allowing the opening of rupee accounts in abroad jurisdictions, and conform to discover the function that London as a worldwide monetary centre and hub for overseas alternate can play in supporting the internationalisation of India’s forex, it stated.
“Each side look ahead to exploring the chance for collaboration in pensions and insurance coverage funds, recognising that higher worldwide funding can decrease the price of capital, help home pensions and insurance coverage wants, and drive shared financial progress,” it stated.
