29 Dec, 2009, Tokyo, Japan

India and Japan decided to ease the visa rules within a year to spur trade and tourism as two of the Asia’s biggest economies agreed to conclude a key economic pact very soon. The issue of hassle-free visas and intensification of economic ties figured prominently in all the discussions between Prime Minister, Manmohan Singh and his Japanese counterpart Yukio Hatoyama.

Manmohan Singh said that the Japanese prime minister has pointed out some restrictive features in the visa system of India and he had promised to look into it.

India has introduced a visa on the arrival scheme for the tourists from five countries which include Japan, on the experimental basis. Hatoyama wrapped up his three-day visit to India, his first stand alone visit to an Asian country since his party’s surprise victory in the August elections, which ended a five-decade-plus run of the Liberal Democratic Party.

Both the Trade as well as investment has gone up between the two countries since Tokyo eased the sanctions imposed after India’s 1998 nuclear tests, but the two leaders stressed that bilateral trade is nowhere near potential.

With the broader strategic partnership in mind, underscored by launch of a new security dialogue, the two leaders have asked their respective negotiators to resolve the issues to conclude the Comprehensive Economic Partnership Pact (CEPA) by the next year.