New Delhi, September 8, 2025 –

In a landmark move to strengthen economic partnerships, Israel’s Minister of Finance, Bezalel Smotrich, and India’s Finance Minister, Nirmala Sitharaman, signed a Bilateral Investment Agreement (BIA) today in New Delhi. The agreement, the first of its kind between India and an OECD member state under India’s new investment treaty model, aims to foster reciprocal investments and enhance trade between the two nations.

The signing ceremony, held during a visit by a high-level Israeli delegation led by Minister Smotrich, marks a significant milestone in Israel-India relations. Replacing a 1996 agreement terminated in 2017, the new BIA ensures greater certainty and protection for investors, paving the way for expanded economic collaboration. The agreement is the result of months of intensive negotiations between the Chief Economist’s teams at Israel’s Ministry of Finance and their Indian counterparts.

During their meeting, Ministers Smotrich and Sitharaman underscored the deep economic ties between Israel and India, rooted in shared strategic interests. They committed to advancing cooperation in innovation, infrastructure, financial regulation, and digital services trade. The ministers also agreed to explore collaboration within regional development banks and to consider establishing a bilateral financial protocol to improve financing conditions for Israeli exporters.

Minister Smotrich extended an invitation to Minister Sitharaman for a reciprocal visit to Israel and announced plans to explore opening a Ministry of Finance representation in India to further strengthen ties with government and market stakeholders.

The Israeli delegation, including Director General Ilan Rom, Chief Economist Dr. Shmuel Abramzon, Accountant General Yahli Rothenberg, and Chairman of the Israel Securities Authority Seffy Zinger, is engaging in working meetings with Indian counterparts to deepen economic cooperation.

Minister Smotrich expressed gratitude to the Embassy of Israel in New Delhi for its pivotal role in facilitating the agreement, highlighting their dedicated support as instrumental to this achievement.

This agreement signals a new chapter in Israel-India economic relations, with both nations poised to leverage their complementary strengths for mutual growth and innovation.