India will lift most tariffs on four nations in Europe in a “watershed” deal that is expected to yield $100 billion worth of investment over 15 years and one billion jobs for the world’s fifth-largest economy.
The trade deal with European Free Trade Association nations, not part of the EU, was inked ahead of the country’s general elections due in the next few months that may give Prime Minister Narendra Modi a third-straight term in office.
The Indian government has finalized a series of major trade agreements over the past few years, and a deal with the UK is in the pipeline.
This “marks a new turn and watershed moment in the bilateral relationship between India and [European Free Trade Association] countries of Switzerland, Iceland, Norway and Liechtenstein,” India Prime Minister Narendra Modi said in comments shared on X, formerly Twitter.
India expects this free trade agreement to stimulate its key exports in IT services, business services, audio-visual services among others, said Commerce and Industry Minister Piyush Goyal.
The agreement also contains provisions for mutual recognition in professional services such as nursing, chartered accountants and architects, according to an Indian government release.