Japan Overtakes the United States as India's Largest Source of Foreign Direct Investment

Foreign direct investment equity inflows into India rose 6% to nearly $19.81 billion in the first quarter, with Japan the largest source and investment from the United States falling to $1.34 billion, the Economic Times reported. Services took the largest share. The composition matters more than the headline growth rate, because it shows India's capital base diversifying away from a single dominant source while tariff disputes with Washington remain unresolved.

India and Chile agreed to begin negotiations on a comprehensive trade agreement, and Chile's state copper producer CODELCO signed a deal with Hindustan Copper that The Hindu reported could reduce Chile's dependence on the Chinese market. The two countries also agreed to deepen cooperation on Antarctic exploration. For India the appeal is secured access to copper at a time when electrification demand is rising. For Chile it is a second large buyer for the commodity that dominates its exports.

Regional diplomacy moved in the same direction. Prime Minister Narendra Modi and Bangladesh Chief Adviser Muhammad Yunus held a 40-minute meeting despite ongoing tensions, covering the treatment of minorities, boundary tensions, the Ganges and Teesta water treaties and the status of former prime minister Sheikh Hasina, according to The Hindu.

Each of these arrangements is bilateral and specific, negotiated outside multilateral frameworks and outside the two blocs that dominate trade policy discussion.