Chinese companies can't bid for government projects: Yogi govt

-Efforts to curb Chinese investment

Lucknow Dt.4 September 2020 Friday

The government of Yogi Adityanath in Uttar Pradesh has announced a tough decision, saying no Chinese company director can fill tenders for government projects.

Yogi had formally informed all the ministries of his government of the ban and had clearly instructed all the ministers to be vigilant in this regard. A state government spokesman said the move was part of a drive to reduce investment by Chinese companies.

The Yogi government had decided that foreign companies would be required to register with a corporation appointed by the state government before investing capital in government projects. Prior to registration, permission from the Centre's Defense Department and the Foreign Department must also be sought.

In view of our tensions with China, the state government had earlier canceled tenders of some Chinese companies. In addition to some projects in Uttar Pradesh, Chinese companies had submitted tenders for capital investment in several projects, including the central government's railways. A few days ago, Transport Minister Nitin Gadkari also blocked China's entry into a major road project.

The Galwan ravine incident created an anti-China atmosphere across the country and the Indian government also took some drastic measures to stifle China's nose. Such drastic measures also included bans on a number of Chinese apps. China, on the one hand, talked of resolving differences through negotiations and, on the other, sent troops to India's borders. China also tried to infiltrate the Indian border.

Now India is taking tough economic measures against China to increase political pressure on it.