Johannes Hahn Supports India-EU Free Trade Agreement
Johannes Hahn, the European Commissioner for Budget and Administration, has expressed strong support for a free trade agreement (FTA) between India and the European Union. He believes that such an agreement would be mutually beneficial, as the EU is currently India’s strongest trade partner.
Hahn stated, “We believe it is important to have strong and close relations. Trade is one of the core elements of this relationship. It is not by chance that we are the strongest trade partner for India, that’s why we think the next step should be done and it should be a comprehensive free trade agreement, which I understand will be in the interest of both India and Europe…there is always room for improvement.”
Negotiations for the India-EU FTA were formally re-launched on June 17, 2022, and are reportedly in the advanced stages. The next round of negotiations was planned from September 23-27 in New Delhi, according to Commerce Secretary Sunil Barthwal.
Hahn also highlighted the potential for Indian investors in Eurobonds, describing them as a solid and sustainable investment with attractive yields. He emphasized that investing in Eurobonds would also mean investing in European industries, which would contribute to the reinforcement of the European economy.
“It is a AAA-rated bond…it is a solid, sustainable and successful bond which generates quite attractive yields…it contributes to the reinforcement of the European economy, means European single market. The European single market is very important for Indian companies,” Hahn added.
Hahn concluded by stating that both India and the EU believe in a multipolar world and should lead the global order together. He said, “We are both very strong economic powers and if we’re cooperating even more together we can certainly influence the global situation and in that respect working closely together means also having leverage in global discussions. And I think Europe and India are best suited also to reconcile the discussion between the West and the South.”
Doubts Revealed
Johannes Hahn -: Johannes Hahn is a person who works for the European Union, which is a group of countries in Europe that work together. He helps manage the budget and administration for the EU.
European Commissioner for Budget and Administration -: This is a job title for someone who helps manage the money and rules for the European Union. Johannes Hahn has this job.
Free Trade Agreement (FTA) -: A Free Trade Agreement is a deal between countries to buy and sell things without extra taxes. It makes trading easier and cheaper.
European Union (EU) -: The European Union is a group of 27 countries in Europe that work together on things like trade, laws, and travel.
Eurobonds -: Eurobonds are a type of investment where people can lend money to European countries and get paid back with interest. It’s like giving a loan to a country.
Negotiations -: Negotiations are talks between people or groups to reach an agreement. In this case, India and the EU are talking to agree on the Free Trade Agreement.