The Chinese President Xi Jinping during his state visit to India has signed agreements with Prime Minister Narendra Modi to strengthen the economic ties between the two countries.
Accordingly, China will invest US$ 20 billion dollars in Indian infrastructure development and the manufacturing sector in the next five years. "This opens a new chapter in our economic relations. We have also agreed on specific steps to enhance cooperation in upgrading India`s railways sector. We will begin the process of discussions on civil nuclear energy cooperation that will bolster our broader cooperation on energy security," the Indian PM said after signing the agreements.
He further said that both leaders have agreed that the current economic relations between the two countries do not do justice to the potential. PM Modi expressed concern at the slowdown in trade and the worsening trade imbalance and has sought the Chinese President's partnership in improving market access and investment opportunities for Indian companies in China. President Xi, in turn assured the Indian PM of his commitment to take concrete steps to address the concerns.
PM Modi highlighted the fact that both India and China are undergoing economic transformation on an unprecedented scale and speed. "Therefore, a climate of mutual trust and confidence; respect for each other`s sensitivities and concerns; and, peace and stability in our relations and along our borders are essential for us to realize the enormous potential in our relations," he said. "If we achieve that, we can reinforce each other`s economic growth. We can contribute to peace, stability and prosperity in our region. And, we can give new direction and energy to the global economy."
The two leaders also discussed regional connectivity and the proposal for the Bangladesh, China, India and Myanmar Economic Corridor. Located at the crossroads of Asia, India believes that reconnecting Asia is important for its collective prosperity. "I also believe that our efforts to rebuild physical connectivity in the region would also require a peaceful, stable and cooperative environment," PM Modi added.
