India’s Economic Integration with Japan: A Services Trade Perspective

Abstract

India and Japan have strong economic linkages, which were improved over the years, particularly after signing the Comprehensive Economic Partnership Agreement (CEPA) in 2011. Not only trade, but investment has also increased between India and Japan over the years and Japan has become the fifth largest investor for India in 2021. Against this backdrop, this article aims to analyse India’s economic integration with Japan from a services trade perspective. The article finds that increased services trade between India and Japan has contributed to enhancing the economic integration between these two countries, as envisaged by their political leaders through their regular engagements over the years. JEL Classification: F14, F15