Indian ambassador to China urges deeper economic ties, touts AIIB as model

Creating “new institutional architecture” like the Asian Infrastructure Investment Bank (AIIB) could ease “security-first” economics globally, New Delhi’s new top envoy to Beijing has suggested, as both countries work to mend ties.

Vikram Doraiswami, who took up the post in May, also called for greater access for Indian products to China and more Chinese investment in India, efforts that he said would benefit relations between the two Himalayan neighbours.

The senior diplomat said countries were now “less willing to look at preferential trading arrangements” around the world, adding that beyond tariffs, the global economy faced other barriers in certification processes, export controls, weaponisation of finance, technology and digital infrastructure.

Doraiswami also pointed to a global trend of looking increasingly at “moving away from efficiency-first economics to security-first production”, with many pursuing “competitive advantage rather than comparative advantage” for a “unilateral self-reliant system”.

The Indian ambassador made the comments on Saturday during a panel discussion at the World Peace Forum in Beijing, an event jointly organised by Tsinghua University and the state-backed Chinese People’s Institute of Foreign Affairs.

Different economies were reluctant to open up areas where they had shortcomings and often sought free trade in sectors where they were strongly positioned, Doraiswami said.