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September, 2014

  • ximodiChina’s president Xi Jinping visited Indian Prime Minister Narendra Modi on his home turf to strengthen bilateral relations and augment trade and investments between the two countries. While the ensuing border dispute was on the agenda, simultaneous incursions, and nonchalance by visiting Chinese delegations both before and after the Presidents visit numbed down the issue for India.

    The border wasn’t the only moot point between the neighbours, strangely just a week before President Xi’s visit, the Chinese Ambassador to India, was suddenly and unceremoniously asked to return home. While the readjustment within the cadre has sent diplomatic rumour mills on fire, it did stoke nerves of distrust amongst the sweet and sour neighbours.

    Nonetheless, on the outset, China – India relations blossomed. The two nations signed 16 agreements in Delhi (for the full list click here), one of which will see China investing US$20 billion (£12.2billion) in India’s infrastructure over five years. Landmark agreements were also signed to realign India’s railway system on modern lines and build atleast two Special Economic Zones exclusively for Chinese companies to manufacture and export from. Other deals were also signed in the pharmaceuticals and farm products space as well as increasing co-operation in trade, space exploration and civil nuclear energy. Softer issues were also touched upon and signals were given for boosting language and cultural ties between the people.

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