Beijing: China has been enraged over the change in the Foreign Direct Investment (FDI) rules by India. China has termed it against the rules of the World Trade Organization (WTO). A spokesman for the Chinese Embassy in New Delhi said on Monday that India's new rules for direct foreign investment from certain countries violate the WTO's non-discriminatory principle and are against the general trend of free trade.
The official further said that the new policy imposing 'additional constraints' is also against the general sanction for an independent, fair, non-discriminatory and transparent environment for investment in the G-20 group. It is noteworthy that the Government of India had recently amended the FDI rules, saying that any company or person of land sharing countries with India will have to seek the government's permission before investing in any sector in India. This decision will affect foreign investment from countries like China.
This decision of the government is very important. This decision has been taken so that the foreign companies of the neighboring countries do not take over the domestic companies by taking advantage of the fragile conditions created due to the coronavirus global epidemic.