India on Monday refused to join China’s Belt and Road Initiative saying it does not favour the country’s businesses. The announcement in this regard was made during the virtual meet of the SCO Council of heads of government, hosted by India.
India's refusal to join the BRI project is based on two critical objections - 1. The pet project of Xi Jinping does not offer a level playing field to the member countries, especially India. 2. A key component of the project – the China-Pakistan Economic Corridor (CPEC) – passes through Pakistan occupied Kashmir.
Until now, China President Xi Jinping’s initiative for trade and connectivity, BRI, has been backed by Kazakhstan, Kyrgyz Republic, Pakistan, Russia, Tajikistan and Uzbekistan.
The council of heads of government is SCO’s second-highest body and is responsible for handling the trade and economic agenda. This was the first time India hosted a meeting of the body since it was admitted into the eight-member grouping in 2017.
New Delhi’s trade concerns related to Beijing were a key factor behind India’s decision not to join the Regional Comprehensive Economic Partnership (RCEP), the trade deal recently signed by the 10 members of the Association of Southeast Asian Nations (ASEAN) and Australia, China, Japan, South Korea and New Zealand.
