As dozens of countries scale back economic ties with Israel, investment funds withdraw capital, and Turkey severs commercial relations entirely, a rare positive economic development comes from the world’s most populous country. India, home to roughly 1.5 billion people, has announced its intention to sign a broad economic cooperation agreement with Israel this month.
According to the report, ahead of the agreement’s signing, a senior Israeli economic delegation will travel to India later this month. Finance Minister Bezalel Smotrich will lead the team and include Finance Ministry Director General Ilan Rom and other top officials.
In recent months, Israeli and Indian finance ministries have worked closely to create a wide-ranging cooperation framework, primarily aimed at encouraging bilateral investment and trade. The Finance Ministry anticipates that the deal could eventually generate billions of dollars in trade and knowledge exchange—a scale “unprecedented in recent years” and described as an “exceptional achievement,” particularly in today’s challenging economic climate.
“India sees strategic value in linking with Israel’s economy,” said a senior Finance Ministry official. Alongside Smotrich, key officials such as Accountant General Yehli Rotenberg, Chief Economist Shmuel Abramzon, and Israel Securities Authority Chairman Yosef Singer will take part. The delegation will spend several days in India engaging in a series of high-level meetings, including discussions between Smotrich and his Indian counterpart, Finance Minister Nirmala Sitharaman.
The agreement is designed to encourage investors by establishing mutual protections, giving Israeli investors more certainty against regulatory changes, nationalization, or unfair measures in India. Israel is the first Western country with which India has formalized such investor protection arrangements.
As a large developing nation, India places significant hope on stable economic ties with Israel, viewing the Israeli economy as strong, emerging, and a reliable partner for collaboration.