The CECA investment chapter aims to promote and protect investments from both countries.  The investment benefits extend to both citizens and enterprises based in Singapore or India. Singapore investors are not required to seek foreign investment approval for the sectors that India has committed. National Treatment is accorded to investors from both countries subject to the commitments (India) and reservations (Singapore) undertaken.

The chapter covers a broad range of investment instruments and assets, such as equity and debt instruments and business licenses and permits.  Investments in the nature of both Foreign Direct Investment (FDI) and portfolio investments are covered.

Both countries cannot expropriate investments, directly or indirectly, without proper legal safeguards.  Expropriation must be premised on public purpose and compensation based on fair market value.  Land expropriation will be governed by the domestic legislation of each country. Both countries will allow the investors to freely transfer funds related to their investments, such as capital, profits, dividends and royalties.

India has also agreed to bind its new regulations governing investments in the real estate sector.