<h1>Advance Pricing Agreement provides transfer pricing certainty and reduced litigation, enhancing investment confidence for Japanese investors in India.</h1> A bilateral Advance Pricing Agreement (APA) was concluded between India and a Japanese company for five years, finalised in about one and a half years. The APA provides transfer pricing certainty and uniformity for multinational enterprises, aims to reduce transfer pricing litigation, and is intended to improve the investment climate and generate positive sentiment among Japanese investors in India.