The growing focus of Indian companies, including government ones, on emerging markets across Asia and Africa, and the attendant political risks of doing business in a dynamic policy regime—a problem that several Western multinationals have encountered in India—has highlighted a new challenge for New Delhi: protecting the overseas investments of Indian firms.
Earlier this week, Bangalore-based GMR Group’s contract to develop an airport in Male was scrapped by the Maldives government.
“These are certainly 21st century challenges for India,” said a senior government official who did not want to be identified. “We want to play by the rules of the game, that is our aim. So we are also participating in setting the rules of the game—at WTO (or elsewhere) to ensure the system will provide an open forum, whether it is discussing bilateral investment protection treaties, the movement of people or data transfer.”
looking beyond borders 