Trade Agreements and Foreign Investment: Contemporary Issues in the Indian Economy
Dr. Suhasini Parashar
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Abstract
In economy , trade agreements and foreign investment approach helps in the country to upgrade capital
formation and encourage employment opportunities .Trade agreements through , the World Trade
Organization(WTO) was established with motive of enhancing the free and fair trade, improve growth rate of
world trade by encouraging members to reduce trade barriers and to increase the overall prosperity in the
global economies. The WTO Administers Trade agreements ; Trade negotiations; Settles trade disputes;
Monitors and reviews national trade policies ; Provides technical assistance and training for developing
countries; Co-operates with other International organization . The developing countries favored the legalistic
model on the grounds that , it offered more effective protection of their rights than the pragmatic model that
could be more easily dominated by the more powerful countries . The agreements of WTO cover everything
from trade in goods, services and agricultural products. These agreements are based on the principles nondiscrimination , reciprocity, transparency. The another issue is ,India opened its market to foreign investors
after the liberalization of the economy in 1991. FDI in India facilitate economic growth through overseas
direct investment by bridging the gap between foreign investors and investing opportunities in India. FDI also
helps bring in more job opportunities, new technology, managerial expertise and improved infrastructure. In
this article , the focus remain on trade agreement and foreign investment on economy .
Keywords: Negotiations; Foreign Investment; Foreign Trade; Technology
References
- Dhingra,I.C.The Indian Economy Environment, Sultan Chand & Sons,2018.
- Mahajan,A.& Dutt C. Indian Economy, Sultan Chand & Sons,2016.
- www.businessenvironment.com
- www.fdi.finance.com
- www.indianeconomy.com
- www.investindia.com
- www.investopedia.com
- www.to.com