The Union Cabinet chaired by Prime Minister Shri Narendra Modi has given its approval for signing and ratification of the Bilateral Investment Treaty (BIT) between the India and Belarus on Investments.

The Treaty is likely to increase investment flows between the two countries. The agreement is expected to improve the confidence of the investors resulting in an increase in FDI and Overseas Director Investment (ODI) opportunities and this will have a positive impact on employment generation.

The signing and ratification of a BIT between the two countries will work as a strategic initiative as Belarus is the member of the Eurasian Economic Union (EAEU). India has already initiated the BIT text with the Kyrgyz Republic and is in talks with the Russian Federation for a new BIT, based on the Model BIT text.

Bilateral Investment Treaty strengthens investor protections and aims to boost cross-border investment flows and economic cooperation. Signing and ratification of a Bilateral Investment Treaty between India and Belarus will establish a bilateral legal framework to promote and protect cross-border investments, enhance investor confidence through legal protections and predictable treatment, and facilitate increased foreign direct investment and Overseas Direct Investment opportunities; the Treaty is positioned as a strategic initiative linked to Belarus's membership of the Eurasian Economic Union and forms part of India's wider BIT negotiation strategy.