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India cleared three proposals from Hong Kong in Feb, scrutiny on Chinese investment remains

The Indian government has cleared three proposals from Hong Kong on February 5, much before the first phase of disengagement began at the Pangong lake. The inter-ministerial committee (IMC) led by the home ministry cleared the proposal on January 22.

After the Galwan incident of last year, India had increased scrutiny on the Chinese investment into the country. WION has learnt the policy remains intact. India had lost 20 of its soldiers during the aggressive actions of the Chinese PLA. China has accepted the loss of 4 of its soldiers.

The three proposals include two from Japanese companies and NRI investors, not something that is “hardcore” proposals from mainland China. WION has seen the proposals, one of them is the restructuring of a company.

The Japanese proposal is an FDI proposal of Nippon Paint (India) private limited. The transaction involves an increase in shareholding into three Indian entities. The second proposal of a citizen watches company, listed in the Japanese stock exchange into Citizen watches India and the third by an NRI based in Hong Kong into a sports company based in Hyderabad.

Earlier this month, on February 11, Indian Defence minister Rajnath Singh announced the details of the first phase of disengagement at Pangong Lake. Under the plan, Chinese forces will go east of Finger 8 on the north bank of the lake. The disengagement got over last week and on Saturday, the 10th round of talks concluded between the Indian and Chinese sides. The talks focused on disengagement in other areas, like Gogra, Hot Springs, and Depsang planes.