India has registered a lone dissent at the World Trade Organization against the proposed Investment Facilitation for Development (IFD) agreement, opposing its inclusion as an Annex 4 pact in the WTO rulebook.
New Delhi argued that incorporating the IFD framework risks eroding the WTO’s functional boundaries and undermining its foundational principles. It also maintained that the proposal is not strictly a trade issue and therefore cannot be adopted without full consensus among members.
The IFD aims to create global benchmarks to improve investment climates, including mechanisms for pre-investment review or appeals through independent bodies. While over 128 of the WTO’s 166 members support the initiative, India has cautioned that it could weaken policy autonomy for developing nations, particularly those lacking institutional capacity.
Leading India’s delegation at the 14th WTO Ministerial Conference in Cameroon, Commerce and Industry Minister Piyush Goyal said India drew “inspiration from Mahatma Gandhi ji’s philosophy of truth prevailing over conformity” in standing firm on the issue.
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He added that discussions on WTO reforms must first establish legal safeguards and guardrails for plurilateral agreements before integrating them into the framework, while reiterating India’s openness to constructive engagement.
