- India is reframing its Bilateral Investment Treaty (BIT) framework to balance foreign investor protection with national regulatory sovereignty. - The modern framework addresses issues related to Investor-State Dispute Settlement (ISDS), requiring exhausted local remedies before international arbitration. - The new framework aims to boost Foreign Direct Investment (FDI) while mitigating risks of arbitrary international arbitration claims against state policy actions. - **Bilateral Investment Treaty BIT Model BIT:** An international agreement between two countries establishing terms and conditions for private investment by nationals and companies of one state in the other state, aimed at protecting and promoting foreign investments. **Introduction** An analysis of India's new Bilateral Investment Treaty (BIT) framework, explaining its implications for foreign direct investment (FDI), investor-state dispute settlement (ISDS), and national sovereignty. **Core Issue and Detailed Points** - India is reframing its Bilateral Investment Treaty (BIT) framework to balance foreign investor protection with national regulatory sovereignty. - The modern framework addresses issues related to Investor-State Dispute Settlement (ISDS), requiring exhausted local remedies before international arbitration. - The new framework aims to boost Foreign Direct Investment (FDI) while mitigating risks of arbitrary international arbitration claims against state policy actions. **Key Statutory Bodies, Acts & Concepts** - **Bilateral Investment Treaty BIT Model BIT:** An international agreement between two countries establishing terms and conditions for private investment by nationals and companies of one state in the other state, aimed at protecting and promoting foreign investments.