NEW DELHI: The Ministry of External Affairs (MEA) is giving a huge push to economic diplomacy in keeping with the PM’s goal of securing maximum foreign direct investment (FDI) to boost economy by organising over the next few months a slew of business conclaves in Latin America and Eastern Europe which are hitherto not known to invest big funds in India.
Even as it steps up business engagements with traditional economic partners by facilitating investments from those countries and assisting various state governments, MEA plans a slew of conclaves to attract further investments.
In September, a business conclave with Nordic countries is in pipeline and this would be followed by India-Latin America business conclave in Mexico in November, followed by business meet of India-East European countries in December, officials told ET. While Sweden figures in the top 20 foreign investors in India and Finland and Norway have substantive investments in this country, the Modi government is keen to tap resources and skills from the economically powerful Nordic states.
Latin America holds huge potential for two-way trade but geography has been acting as an impediment. However, Mexico — a G-20 member country — has enhanced business links with India and the PM’s visit in June further opened up prospects. Similarly, Brazil, Chile, Colombia and Argentina have huge potential for bilateral trade and investments.
Latin America overall enjoys political and economic stability and there is a mutual complementary with India due to functional democracies in that region.
India will be key country in the Argentinian first ever investor summit in September and Chile and India will sign new Preferential Trade Agreement soon.
Eastern Europe, though, has not been on the radar of Indian governments with regard to investments. While Poland and Czech Republic are principal economic partners from the region, Delhi wants to expand the basket to other countries in the region.
Besides, the MEA in collaboration with the various states is organising an Impact Investor Summit in November to facilitate foreign funding for social sector projects in Tier-II and Tier-III cities, targeting bottom of the pyramid of the population, officials informed.