Xi’s visit to India could ease diplomatic tension, but business may not benefit

NEW DELHI/BEIJING – Chinese President Xi Jinping’s much-anticipated visit to New Delhi this week — his first to India in seven years — should further the diplomatic thaw between the giant neighbors, but there are few signs as yet that their business ties will improve.

Businesses in both countries continue to face hurdles, including investments stalled by regulations, visa delays and restrictions on industrial equipment, underlining the gap between diplomatic progress and economic ties, analysts say.

While Xi is widely expected to be in Delhi this weekend for the annual summit of BRICS, a grouping of the emerging economies of Brazil, Russia, India, China and South Africa, Beijing is yet to confirm his visit. There is also no word on whether he will meet with Indian Prime Minister Narendra Modi, which would be crucial to set the future direction of bilateral ties.