The Bilateral Investment Agreement between India and Israel has officially come into force from 4 July 2026, marking an important step in strengthening economic and investment ties between the two countries.
The agreement was signed between the Government of the Republic of India and the Government of the State of Israel on 8 September 2025 in New Delhi. Its implementation is expected to provide a more secure, transparent and predictable investment environment for investors from both nations.
The India-Israel BIA is designed to protect investments and investors while also preserving the sovereign policy space of both governments. This balance allows each country to pursue legitimate public policy objectives while offering confidence and legal clarity to investors.
The agreement reflects modern principles of international investment law and takes into account the evolving global approach to investment protection, dispute resolution and regulatory flexibility.
With the BIA now in force, cross-border investment activity between India and Israel is expected to receive fresh momentum. The agreement is likely to support deeper cooperation in key sectors such as technology, innovation, agriculture, defence, water management, start-ups, manufacturing and infrastructure.
India and Israel already share a strong strategic and economic partnership, built on cooperation in high-technology sectors, agriculture, irrigation, defence systems, homeland security, cyber technology and innovation. The new investment agreement adds another institutional pillar to this growing relationship.
By creating a stable framework for investors, the BIA is expected to encourage greater business confidence, facilitate long-term investments and further deepen the economic partnership between the two countries.
The coming into force of the India-Israel Bilateral Investment Agreement represents a significant milestone in bilateral relations and underlines the shared commitment of both nations to expand trade, investment and economic cooperation.
The India-Israel BIA 2026 can be accessed at Department of Economic Affairs, Ministry of Finance website:
Source: PIB
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