New Delhi, September 8, 2025 – India and Israel have signed a landmark agreement on reciprocal promotion and protection of investments, marking a new chapter in the two nations’ growing economic cooperation.
The new pact replaces the bilateral investment treaty (BIT) originally signed in 1996, which was terminated in 2017 as part of India’s broader policy to review and renegotiate such agreements.
According to officials, the agreement provides a modern framework for facilitating cross-border investments and ensuring legal protection for investors from both countries. It aims to boost investor confidence and strengthen trade ties between New Delhi and Tel Aviv.
“India and Israel enjoy a strong strategic partnership. This agreement will give a new push to economic cooperation and open avenues for businesses in sectors like technology, agriculture, defence, and renewable energy,” said an official statement from the Ministry of Commerce and Industry.
Bilateral trade between India and Israel stood at over USD 10 billion in 2024, with technology, defence, agriculture, and innovation forming the key pillars of cooperation. Officials expect the new agreement to further enhance investment flows and joint ventures in emerging areas such as artificial intelligence, cybersecurity, clean energy, and water management.
The signing of the pact underlines India’s continued efforts to modernize its investment treaty framework while expanding economic engagement with strategic partners.
