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India and EU Seal 'Mother of All Deals' FTA

2/9/2026

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Summary

Story summary

India and the European Union finalized a Free Trade Agreement (FTA), described by Ursula von der Leyen, EU Commission President, as the 'mother of all deals'.
The agreement aims to double trade between India and the European Union and covers goods, services, and defense.
The two economies account for about a quarter of the global population and GDP, and India is pursuing a similar agreement with the Gulf Cooperation Council.

History

Historical Context

India's economic liberalization began in 1991, transitioning from a closed economy to one open to global trade. By 2000, foreign direct investment surged by 300%, fueling economic growth. The recent Free Trade Agreement with the European Union aims to double trade, reflecting India's strategy to strengthen international economic ties and potentially reshape trade dynamics with other regions, including the Gulf Cooperation Council.

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Story summary

India and the European Union finalized a Free Trade Agreement (FTA), described by Ursula von der Leyen, EU Commission President, as the 'mother of all deals'.
The agreement aims to double trade between India and the European Union and covers goods, services, and defense.
The two economies account for about a quarter of the global population and GDP, and India is pursuing a similar agreement with the Gulf Cooperation Council.

1 / 2