Nepal's claim on Lipulekh neither justified nor based on historical facts: MEA (The Economic Times)
India firmly dismissed Nepal’s objection to the resumption of border trade with China through the Lipulekh pass, stressing that Kathmandu’s territorial claims are neither justified nor backed by historical facts, and that such trade has been ongoing since 1954, except for recent disruptions during COVID-19. The issue stems from Nepal’s 2020 political map that claimed Kalapani, Limpiyadhura, and Lipulekh as its own, a move India had rejected at the time and continues to view as an “artificial enlargement” of territory. While reiterating its consistent stance, India also signalled it remains open to dialogue and diplomacy with Nepal to address boundary matters, even as it deepens practical trade cooperation with China.
‘Obvious need for dependable sources’: Jaishankar invites Russian companies to expand presence in India amid US sanctions (Financial Express)
India’s External Affairs Minister S Jaishankar, during his Moscow visit, called on Russian companies to partner more actively with India’s fast-growing $4 trillion economy that is expanding at about 7%, stressing that modernization, urbanization, and initiatives like Make in India have created vast opportunities in infrastructure, consumption, and industries such as fertilizers, chemicals, and machinery. He acknowledged that while India and Russia enjoy one of the steadiest political ties among major powers, their economic cooperation has lagged behind, with a limited trade basket and a growing deficit, making diversification and balanced trade an urgent necessity. Emphasising that a lasting strategic partnership requires a strong economic base, Jaishankar and Russian Deputy PM Manturov urged businesses to move beyond trade into investments, joint ventures, and broader collaborations, especially as India faces looming US tariff pressures from August 28.
India, Russia-led EAEU agree on FTA terms (Financial Express)
India and the Russia-led Eurasian Economic Union (EAEU), which represents a $2.5 trillion single market of 183 million people, signed Terms of Reference in Moscow to formally begin Free Trade Agreement negotiations, a move expected to significantly deepen economic engagement as India’s imports from Russia—especially crude oil—have surged to make it its third-biggest supplier. Trade between India and the EAEU hit $69 billion in 2024, with imports from Russia at $63.8 billion far outweighing exports of $4.8 billion, and the FTA is being positioned as a way to diversify markets, expand Indian exports, and especially open opportunities in agriculture, engineering, and energy. The commerce ministry stressed that the pact would not only boost MSMEs and enhance India’s competitiveness but also create a stronger long-term institutional framework, as both sides pledged early conclusion of the deal to unlock untapped trade and investment potential.
