NEW DELHI, Jan 8 (Reuters) – India’s finance ministry plans to scrap five-year-old restrictions on Chinese firms bidding for government contracts, two government sources said, as New Delhi seeks to revive commercial ties in an environment of reduced border tensions.
The curbs, imposed in 2020 after a deadly clash between the countries’ troops, required Chinese bidders to register with an Indian government committee and obtain political and security clearances.
The measures effectively barred Chinese firms from competing for Indian government contracts that were estimated to be worth $700 billion to $750 billion.
The Ministry of Finance’s plan to ease the curbs followed requests from other government departments that face shortages and project delays due to the 2020 restrictions, the sources said.
A high-level committee NITI AAYOG, headed by a former cabinet secretary, Rajiv Gauba, has also recommended easing the restrictions. Gauba is a member of a prominent government think tank.
Specifically, curbs on imports from China of equipment for the power sector have hindered India’s plans to raise its thermal power capacity to about 307 GW over the nextdecade.
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NEW DELHI, Jan 8 (Reuters) – India’s finance ministry plans to scrap five-year-old restrictions on Chinese firms bidding for government contracts, two government sources said, as New Delhi seeks to revive commercial ties in an environment of reduced border tensions.
The curbs, imposed in 2020 after a deadly clash between the countries’ troops, required Chinese bidders to register with an Indian government committee and obtain political and security clearances.
The measures effectively barred Chinese firms from competing for Indian government contracts that were estimated to be worth $700 billion to $750 billion.
The Ministry of Finance’s plan to ease the curbs followed requests from other government departments that face shortages and project delays due to the 2020 restrictions, the sources said.
A high-level committee NITI AAYOG, headed by a former cabinet secretary, Rajiv Gauba, has also recommended easing the restrictions. Gauba is a member of a prominent government think tank.
Specifically, curbs on imports from China of equipment for the power sector have hindered India’s plans to raise its thermal power capacity to about 307 GW over the nextdecade.
!ping IND