1. SAARC Currency Swap Framework (2024-27)
Key Features
- Replaced 2019-22 framework
- Part of Global Financial Safety Net
- Promotes regional integration among SAARC nations
- Provides short-term foreign exchange funding
Important Components
- USD/Euro SWAP Window: $2 billion
- New INR SWAP Window: ₹25,000 crore
- Purpose: Support INR internationalization
2. Bilateral Investment Treaties (BITs)
A. India-UAE BIT
Implementation:
- Signed: February 13, 2024
- Effective: August 31, 2024
Key Features:
- Closed asset-based investment definition
- Portfolio Investment coverage
- Protection against:
- Denial of justice
- Fundamental breach of due process
- Targeted discrimination
- Arbitrary treatment
Special Provisions:
- Mandatory local remedy exhaustion (3 years)
- Investment protection from expropriation
- National Treatment clause
- Anti-corruption safeguards
- Carve-outs for taxation, procurement, subsidies
B. India-Uzbekistan BIT
Signed: September 27, 2024
Features:
- Minimum treatment standards
- Non-discrimination clause
- Independent arbitration forum
- Protection against expropriation
- Transparency mechanisms
3. International Cooperation
A. India-Qatar Joint Task Force
Established: 2024
- Co-chairs: Secretary, Economic Affairs (India) & Under Secretary, Ministry of Commerce (Qatar)
- First meeting: June 6, 2024, New Delhi
- Focus: Investment cooperation & opportunities
B. India-Sri Lanka Economic Cooperation
Financial Support:
- GOILOCs: $718.12 million
- Support for IMF’s Extended Fund Facility
- Co-chair of Common Forum with Japan & France
4. National Infrastructure Readiness Index (NIRI)
Launch Details
- Initiated: September 2024
- Purpose: Promote competitive federalism
Objectives
- Evaluate state/UT infrastructure readiness
- Assess ministry/department performance
- Enhance development climate
- Create comprehensive evaluation framework
5. Business Reform Amendments 2024
A. Overseas Direct Investment
- Date: July 12, 2024
- Changes: Rule 19(3) amendment & Rule 19(4) addition
B. Foreign Exchange Management
- Date: August 16, 2024
- Key Changes:
- Cross-border share swaps allowed
- FDI in White Label ATMs permitted
C. Compounding Proceedings
- Date: September 12, 2024
- Digital payment integration
- Streamlined application processing
D. Securities Regulation
- Date: August 18, 2024
- Enables GIFT IFSC listings
- Global capital access for startups
Important for Prelims
- SAARC Framework amounts:
- INR window: ₹25,000 crore
- USD/Euro window: $2 billion
- India-UAE BIT dates:
- Signing: February 13, 2024
- Implementation: August 31, 2024
- Sri Lanka assistance:
- GOILOCs value: $718.12 million
- India’s role: Co-chair with Japan & France
- Reform timeline:
- ODI: July 2024
- FEMA: August 2024
- Compounding: September 2024
