India and South Africa Stall Investment Facilitation Agreement at WTO

In a significant turn of events at the World Trade Organization (WTO) meeting held in Abu Dhabi, India and South Africa have voiced formal objections to an investment facilitation agreement, resulting in a setback to its adoption. The objections were not only documented but also corroborated by several delegates present.

Concerns Over Consensus

The core of the resistance stems from concerns regarding consensus. The objecting document highlighted, 'We underscore that given the lack of exclusive consensus, this is not a matter for the...(meeting) agenda.' This stance indicates a call for a more inclusive agreement process within the WTO framework.

Impact on the Investment Facilitation for Development (IFD) Agreement

The Investment Facilitation for Development (IFD) Agreement has been embraced by approximately 125 countries, which accounts for roughly three-quarters of the WTO's membership. The aim of the IFD Agreement is to streamline administrative processes, enhance the overall investment climate, and foster an increase in foreign direct investment. However, the objections raised by India and South Africa have put a halt to the forward progress of the agreement at the moment.

India, SouthAfrica, WTO