International Economic System

India's Indo-pacific Policy

Introduction :

India’s Indo-Pacific policy reflects its vision of a free, open, inclusive and rules-based maritime region, promoting security, connectivity, economic prosperity and strategic partnerships across the Indian and Pacific Oceans.
India’s Indo-Pacific Policy is a strategic framework aimed at promoting peace, maritime security, connectivity, economic cooperation and a rules-based regional order across the Indian and Pacific Oceans.

Features:

  1. Free, Open and Inclusive Indo-Pacific.
  2. ASEAN Centrality.
  3. Rules-based international order.
  4. Strategic autonomy and multi-alignment.
  5. Maritime security and regional connectivity.

Core Dimensions:

1. Maritime Security

  • Strengthening naval cooperation, maritime domain awareness, anti-piracy operations and freedom of navigation.

2. SAGAR Vision

  • Promoting Security and Growth for All in the Region (SAGAR) through regional cooperation and maritime capacity building.

3. Act East Policy

  • Deepening political, economic and strategic engagement with Southeast Asia.

4. QUAD Partnership

  • Advancing cooperation with the United States, Japan and Australia in critical technologies, disaster relief and maritime security.

5. Regional Connectivity

  • Promoting projects such as IMEC, India–Myanmar–Thailand Trilateral Highway and BIMSTEC connectivity.

6. Blue Economy

  • Encouraging sustainable use of marine resources, fisheries, renewable energy and ocean governance.

7. Supply Chain Resilience

  • Building trusted and diversified supply chains through partnerships like the Supply Chain Resilience Initiative (SCRI).

8. Strategic Autonomy

  • Engaging all major powers while avoiding military alliances and preserving independent decision-making.

Recent Examples:

  1. Continued cooperation under the Quad on critical technologies and maritime security.
  2. Expansion of the Indo-Pacific Oceans Initiative (IPOI).
  3. Progress on the India–Middle East–Europe Economic Corridor (IMEC).
  4. BIMSTEC cooperation in connectivity and maritime security.
  5. Joint naval exercises such as Malabar.
  6. India’s humanitarian and disaster relief (HADR) operations in the Indian Ocean Region.

Challenges:

  1. China’s expanding maritime presence in the Indo-Pacific.
  2. South China Sea disputes.
  3. Geopolitical rivalry among major powers.
  4. Slow implementation of regional connectivity projects.
  5. Maritime piracy and non-traditional security threats.
  6. Climate change and maritime disasters.

Suggestions:

  1. Strengthen maritime infrastructure and naval capabilities.
  2. Deepen cooperation with ASEAN and Indian Ocean partners.
  3. Accelerate connectivity and supply-chain projects.
  4. Expand Blue Economy partnerships.
  5. Enhance maritime domain awareness and coastal security.
  6. Promote an inclusive, rules-based Indo-Pacific through strategic autonomy.

Conclusion:

India’s Indo-Pacific policy integrates security, connectivity, economic cooperation and strategic autonomy, positioning India as a leading maritime power committed to a free, open, inclusive and rules-based regional order while advancing regional peace and prosperity.

Introduction:


West Asia has become a region of growing strategic, economic and energy significance. India’s policy has evolved from energy-centric engagement to a multi-dimensional partnership encompassing security, connectivity, technology and diaspora welfare.
India’s West Asia Policy aims to strengthen political, economic, strategic and cultural relations with the countries of West Asia while balancing competing regional interests through strategic autonomy and multi-alignment.

Features:

  1. Strategic autonomy and multi-alignment.
  2. De-hyphenation of bilateral relations.
  3. Energy and food security.
  4. Counter-terrorism cooperation.
  5. Diaspora-centric diplomacy.

Core Dimensions:

1. Energy Security

  • Securing crude oil, LNG supplies and expanding cooperation in renewable energy and green hydrogen.

2. Strategic Partnerships

  • Deepening relations with Saudi Arabia, UAE, Israel, Qatar, Oman and Iran through comprehensive strategic partnerships.

3. Balancing Regional Rivals

  • Maintaining balanced relations with Israel–Palestine, Iran–Saudi Arabia and other competing regional actors.

4. Connectivity Initiatives

  • Promoting India–Middle East–Europe Economic Corridor (IMEC), Chabahar Port and the International North-South Transport Corridor (INSTC).

5. Maritime Security

  • Ensuring freedom of navigation and maritime security in the Persian Gulf, Arabian Sea and Red Sea.

6. Trade and Investment

  • Expanding bilateral trade, investment, fintech, infrastructure and sovereign wealth fund partnerships.

7. Defence and Counter-Terrorism

  • Strengthening defence cooperation, intelligence sharing and joint efforts against terrorism and extremism.

8. Diaspora and Welfare Diplomacy

  • Protecting the interests of over nine million Indians residing in West Asia and facilitating safe evacuation during crises.

Recent Examples:

  1. Launch of the India–Middle East–Europe Economic Corridor (IMEC).
  2. Expansion of the India–UAE Comprehensive Economic Partnership Agreement (CEPA).
  3. Progress in the India–Israel–UAE–US (I2U2)
  4. Development of Chabahar Port in Iran.
  5. Operation Sindhu (2025) for evacuation of Indian nationals from the Iran–Israel conflict zone.
  6. Strengthening India–Saudi Arabia Strategic Partnership.

Challenges:

  1. Israel–Palestine conflict.
  2. Iran–Israel tensions.
  3. Maritime insecurity in the Red Sea and Gulf region.
  4. Geopolitical competition among major powers.
  5. Energy price volatility.
  6. Regional political instability.

Suggestions:

  1. Strengthen strategic autonomy through balanced engagement.
  2. Diversify energy sources and accelerate green energy partnerships.
  3. Fast-track IMEC and Chabahar connectivity projects.
  4. Expand defence and maritime security cooperation.
  5. Deepen trade, investment and technology partnerships.
  6. Promote dialogue, peace and regional stability through multilateral diplomacy.

Conclusion:

India’s West Asia policy has transformed into a comprehensive strategic partnership balancing energy security, connectivity, trade and regional stability. Strategic autonomy and multi-alignment remain central to safeguarding India’s interests amid rapidly evolving regional geopolitics.

Introduction:


The Russia–Ukraine conflict, which began in 2022, has posed a major diplomatic challenge for India. India has pursued a balanced, interest-driven and strategically autonomous approach while advocating peace and dialogue.
India’s balancing strategy refers to its policy of maintaining constructive relations with both Russia and Ukraine, safeguarding national interests while supporting diplomacy, humanitarian assistance and international law.

Features:

  1. Strategic autonomy.
  2. Multi-alignment.
  3. National interest-driven diplomacy.
  4. Dialogue and peaceful resolution.
  5. Humanitarian assistance.

Core Dimensions:

1. Strategic Autonomy

  • Maintains an independent foreign policy without aligning with either bloc.

2. Continued Engagement with Russia

  • Sustains defence, energy and strategic cooperation while expanding bilateral trade.

3. Engagement with Ukraine

  • Maintains diplomatic relations, humanitarian assistance and support for reconstruction.

4. Energy Security

  • Increased imports of discounted Russian crude oil to ensure affordable energy supplies.

5. Defence Cooperation

  • Preserves long-standing defence partnership with Russia while diversifying defence procurement.

6. Support for Peace

  • Advocates immediate cessation of hostilities, diplomacy and dialogue, emphasizing that “this is not an era of war.”

7. Humanitarian Assistance

  • Supplied medicines, relief materials and humanitarian aid to Ukraine.

8. Global Food and Fertilizer Security

  • Advocates uninterrupted supply of food grains, fertilizers and energy to developing countries.

Recent Examples:

  1. India’s abstentions on several UN resolutions related to the conflict.
  2. Continued purchase of Russian crude oil despite Western sanctions.
  3. Prime Minister Narendra Modi’s visits to Russia and Ukraine (2024).
  4. India’s humanitarian assistance to Ukraine.
  5. India’s repeated call for dialogue at the G20 and the United Nations.
  6. Expansion of India–Russia trade while strengthening ties with the US and Europe.

Challenges:

  1. Pressure from Western countries.
  2. Dependence on Russian defence equipment.
  3. Disruptions in food, fertilizer and energy supply chains.
  4. Geopolitical polarization.
  5. Financial and sanctions-related constraints.
  6. Balancing relations with competing major powers.

Suggestions:

  1. Continue strategic autonomy and multi-alignment.
  2. Diversify defence and energy sources.
  3. Support diplomatic initiatives for peaceful settlement.
  4. Strengthen resilient supply chains.
  5. Expand engagement with both Europe and Eurasia.
  6. Promote reformed multilateralism and respect for international law.

Conclusion:

India’s response to the Russia–Ukraine conflict reflects a pragmatic balance between principles and national interests. By combining strategic autonomy with active diplomacy, India has safeguarded its security, economic interests and global credibility while advocating a peaceful resolution to the conflict.

Following the Taliban’s return to power in August 2021, India recalibrated its Afghanistan policy by balancing security concerns, humanitarian assistance and regional connectivity while maintaining strategic autonomy and avoiding formal recognition of the Taliban regime.

India’s Afghanistan policy under Taliban 2.0 seeks to protect national security, regional stability, humanitarian interests and connectivity, while engaging pragmatically with the de facto authorities without granting diplomatic recognition.

Features:

  1. Pragmatic engagement without formal recognition.
  2. Security-centric approach.
  3. Humanitarian assistance.
  4. Regional connectivity.
  5. Strategic autonomy.

 Core Dimensions:

1. Pragmatic Diplomatic Engagement

  • Maintains working-level contacts with Taliban authorities while withholding formal diplomatic recognition.

2. Humanitarian Assistance

  • Provides food grains, medicines, vaccines and humanitarian relief to the Afghan people.

3. Counter-Terrorism

  • Seeks assurances that Afghan territory is not used by terrorist organizations targeting India.

4. Protection of India’s Security Interests

  • Monitors activities of terrorist groups such as LeT, JeM, ISKP and Al-Qaeda.

5. Connectivity and Trade

  • Continues support for Chabahar Port and the International North-South Transport Corridor (INSTC) to maintain regional connectivity.

6. Development Partnership

  • Preserves India’s goodwill through earlier infrastructure, education and capacity-building projects.

7. Regional Diplomacy

  • Coordinates with regional and global stakeholders through the Moscow Format, SCO and UN.

8. Strategic Balancing

  • Prevents Afghanistan from becoming a sphere of influence for hostile regional actors while maintaining strategic autonomy.

Recent Examples:

  1. India reopened its technical mission in Kabul (2022).
  2. Continued humanitarian assistance including wheat, medicines and vaccines.
  3. Regular engagement with Taliban officials on humanitarian and security issues.
  4. Continued support for the Chabahar Port connectivity project.
  5. Participation in regional consultations on Afghanistan under the Moscow Format.
  6. India’s emphasis on an inclusive Afghan government and preventing terrorism.

Challenges:

  1. Terrorism and extremist groups.
  2. Lack of international recognition of the Taliban.
  3. Humanitarian and economic crisis.
  4. Pakistan’s strategic influence.
  5. Uncertain political stability.
  6. Protection of India’s long-term investments.

Suggestions:

  1. Continue calibrated engagement without premature recognition.
  2. Expand humanitarian and development assistance.
  3. Strengthen regional counter-terrorism cooperation.
  4. Preserve connectivity through Chabahar and INSTC.
  5. Support an inclusive political process.
  6. Work through the UN and regional platforms for long-term stability.

Conclusion:

India’s Afghanistan policy under Taliban 2.0 reflects a pragmatic blend of strategic autonomy, humanitarian commitment and security concerns. Sustained engagement, regional cooperation and support for an inclusive and peaceful Afghanistan remain central to India’s long-term interests.

Announced during the G20 Summit (2023), the India–Middle East–Europe Economic Corridor (IMEC) is a landmark connectivity initiative linking India, West Asia and Europe, strengthening India’s geo-economic and strategic influence.

The India–Middle East–Europe Economic Corridor (IMEC) is a multimodal connectivity corridor integrating ports, railways, energy pipelines and digital infrastructure to facilitate trade, investment and strategic cooperation between India, the Middle East and Europe.

Features:

  1. Multimodal connectivity corridor.
  2. India–Middle East–Europe partnership.
  3. Trade and supply chain resilience.
  4. Energy and digital connectivity.
  5. Sustainable and transparent infrastructure.

Core Dimensions:

1. Trade and Economic Integration

  • Reduces logistics costs and enhances trade between India, the Middle East and Europe.

 

2. Strategic Connectivity

  • Provides an alternative connectivity architecture linking the Indian Ocean, Gulf and Mediterranean regions.

3. Counterbalance to BRI

  • Offers a transparent and sustainable alternative to China’s Belt and Road Initiative (BRI).

4. Energy Security

  • Facilitates cooperation in green hydrogen, electricity transmission and clean energy corridors.

5. Supply Chain Resilience

  • Diversifies global supply chains and reduces dependence on single-country manufacturing hubs.

6. Strengthening India–West Asia–Europe Relations

  • Deepens strategic partnerships with the UAE, Saudi Arabia, Israel, Jordan, Greece and the European Union.

7. Indo-Pacific and European Linkage

  • Connects India’s Indo-Pacific strategy with its growing engagement in Europe.

8. Geo-economic Statecraft

  • Enhances India’s role as a global logistics, manufacturing and connectivity hub.

Recent Examples:

  1. Launch of IMEC at the G20 New Delhi Summit (2023).
  2. Expansion of the India–UAE Comprehensive Economic Partnership Agreement (CEPA).
  3. Growing cooperation with the European Union under the India–EU Trade and Technology Council.
  4. Progress in India–Saudi Arabia Strategic Partnership.
  5. Development of Green Hydrogen partnerships with Gulf countries.
  6. Continued emphasis on IMEC despite regional geopolitical challenges.

Challenges:

  1. Israel–Hamas conflict and wider West Asian instability.
  2. Financing and implementation challenges.
  3. Geopolitical competition with China’s BRI.
  4. Coordination among multiple participating countries.
  5. Security of maritime and land transport routes.
  6. Delays in infrastructure development.

Suggestions:

  1. Accelerate implementation through coordinated financing.
  2. Strengthen maritime and transport infrastructure.
  3. Expand digital and energy connectivity.
  4. Enhance strategic coordination among partner countries.
  5. Integrate IMEC with India’s Sagarmala and logistics initiatives.
  6. Promote public-private partnerships and resilient supply chains.

Conclusion:

IMEC represents a geo-economic transformation of India’s foreign policy, integrating connectivity, trade, technology and strategic partnerships. It strengthens India’s role as a bridge between the Indo-Pacific, West Asia and Europe, reinforcing strategic autonomy and multipolar cooperation.

The India–UK Comprehensive Economic and Trade Agreement (CETA), which entered into force on 15 July 2026, marks a major milestone in bilateral relations by strengthening trade, investment, technology and economic cooperation.

The India–UK Trade Deal (CETA) is a comprehensive trade agreement aimed at reducing trade barriers, improving market access, promoting investment, facilitating services trade and strengthening the strategic economic partnership between India and the United Kingdom.

Features:

  1. Comprehensive Economic and Trade Agreement (CETA).
  2. Trade liberalization and tariff reduction.
  3. Greater market access for goods and services.
  4. Investment and innovation partnership.
  5. Digital trade and sustainable development.

Core Dimensions:

1. Trade Liberalisation

  • Provides zero-duty access for about 99% of India’s exports to the UK, covering nearly the entire trade value.

2. Services and Professional Mobility

  • Expands opportunities in IT, IT-enabled services, education, professional and business services, while facilitating mobility of professionals.

3. Investment Promotion

  • Encourages bilateral investment through greater regulatory certainty and improved business confidence.

4. Manufacturing and Exports

  • Enhances competitiveness of Indian sectors such as textiles, leather, footwear, gems and jewellery, engineering goods and pharmaceuticals.

5. Technology and Innovation

  • Promotes cooperation in digital trade, innovation, fintech, research and emerging technologies.

6. Supply Chain Resilience

  • Diversifies supply chains and reduces dependence on traditional markets through stronger India–UK economic integration.

7. Strategic Economic Partnership

  • Strengthens cooperation in trade, green economy, clean energy and advanced manufacturing.

8. Social Security Cooperation

  • The accompanying Double Contributions Convention (DCC) prevents professionals on temporary assignments from paying social security contributions in both countries simultaneously, improving labour mobility.

Recent Examples:

  1. CETA entered into force on 15 July 2026.
  2. Zero-duty access for most Indian exports to the UK.
  3. Operationalisation of the Double Contributions Convention (DCC).
  4. Expansion of opportunities for Indian IT and professional services.
  5. Enhanced market access for Indian textiles, leather, gems and jewellery.
  6. Implementation of tariff-rate quotas for automobiles under the agreement.

Challenges:

  1. Addressing non-tariff barriers.
  2. Meeting stringent UK quality and sustainability standards.
  3. Concerns over the UK’s Carbon Border Adjustment policies and regulatory standards.
  4. Ensuring balanced benefits for sensitive sectors.
  5. Effective implementation of rules of origin.
  6. Global trade uncertainty and protectionism.

Suggestions:

  1. Maximize utilization of preferential market access.
  2. Improve export competitiveness through quality standards.
  3. Expand technology and innovation partnerships.
  4. Strengthen MSME participation in exports.
  5. Enhance investment facilitation and ease of doing business.
  6. Deepen cooperation in green technologies and digital trade.

Conclusion:

The India–UK Trade Deal (2026) represents a new phase in India’s economic diplomacy by combining trade liberalization with investment, technology and strategic cooperation. It strengthens India’s integration into global value chains while supporting growth, innovation and resilient economic partnerships.

India’s maritime strategy has gained strategic importance with the rise of the Indo-Pacific as the centre of global geopolitics. It seeks to secure maritime interests, regional stability and a rules-based order across the Indian and Pacific Oceans.

India’s Maritime Strategy refers to the comprehensive use of naval power, maritime diplomacy, connectivity and economic cooperation to safeguard national interests and promote peace and prosperity in the Indo-Pacific.

Features:              

  1. Maritime security and strategic autonomy.
  2. Free, Open and Inclusive Indo-Pacific.
  3. Rules-based maritime order.
  4. SAGAR vision.
  5. Cooperative maritime partnerships.

Core Dimensions:

1. SAGAR Vision

  • Promotes Security and Growth for All in the Region (SAGAR) through maritime cooperation and regional capacity building.

2. Naval Modernisation

  • Strengthens naval capabilities through aircraft carriers, submarines, maritime surveillance and indigenous shipbuilding.

3. Maritime Domain Awareness (MDA)

  • Enhances surveillance through the Information Fusion Centre–Indian Ocean Region (IFC-IOR) and coastal radar networks.

4. Indo-Pacific Partnerships

  • Strengthens cooperation through the Quad, ASEAN, IORA, BIMSTEC and IPOI.

5. Freedom of Navigation

  • Supports UNCLOS and freedom of navigation, overflight and peaceful resolution of maritime disputes.

6. Maritime Connectivity

  • Promotes Sagarmala, IMEC, Chabahar Port, INSTC and port-led development.

7. Blue Economy

  • Encourages sustainable fisheries, offshore energy, marine biotechnology and ocean resource management.

8. Humanitarian Assistance and Disaster Relief (HADR)

  • Plays a leading role in disaster response, evacuation operations and humanitarian assistance across the Indian Ocean Region.

Recent Examples:

  1. Expansion of the Indo-Pacific Oceans Initiative (IPOI).
  2. Malabar Naval Exercise with Quad partners.
  3. Operationalisation of the Information Fusion Centre–Indian Ocean Region (IFC-IOR).
  4. Launch of the India–Middle East–Europe Economic Corridor (IMEC).
  5. Maritime cooperation under Quad and IORA.
  6. Humanitarian and disaster relief operations in the Indian Ocean Region.

Challenges:

  1. China’s expanding naval presence in the Indian Ocean.
  2. South China Sea disputes.
  3. Maritime piracy and terrorism.
  4. Illegal, Unreported and Unregulated (IUU) fishing.
  5. Climate change and maritime disasters.
  6. Competition over critical sea lanes and maritime infrastructure.

Suggestions:

  1. Strengthen indigenous naval capabilities under Atmanirbhar Bharat.
  2. Expand maritime partnerships with Indo-Pacific countries.
  3. Accelerate Blue Economy initiatives.
  4. Enhance Maritime Domain Awareness and coastal security.
  5. Fast-track port connectivity and logistics infrastructure.
  6. Promote a rules-based maritime order through UNCLOS and multilateral cooperation.

Conclusion:

India’s maritime strategy has evolved into a cornerstone of its Indo-Pacific vision by integrating security, connectivity, economic cooperation and strategic partnerships. A strong maritime posture is essential for safeguarding national interests and ensuring a stable, free and inclusive Indo-Pacific.

Economic diplomacy has become a central pillar of India’s foreign policy in the twenty-first century, integrating trade, investment, technology and connectivity to advance national interests, strategic autonomy and global influence.

Economic diplomacy refers to the use of trade, investment, finance, technology, development partnerships and economic institutions to promote a country’s foreign policy objectives and national development.

Features:

  1. National interest-driven.
  2. Trade and investment promotion.
  3. Strategic economic partnerships.
  4. Technology and innovation.
  5. Development-oriented diplomacy.

Core Dimensions:

1. Trade Liberalisation

  • Expanding market access through FTAs and Comprehensive Economic Partnership Agreements (CEPAs).

2. Investment Promotion

  • Attracting Foreign Direct Investment (FDI) through initiatives such as Make in India and Atmanirbhar Bharat.

3. Technology Diplomacy

  • Promoting cooperation in AI, semiconductors, digital public infrastructure, quantum computing and cybersecurity.

4. Energy Diplomacy

  • Ensuring energy security through diversified oil, gas, renewable energy and green hydrogen partnerships.

5. Connectivity Diplomacy

  • Developing strategic connectivity projects such as IMEC, INSTC, Chabahar Port and BIMSTEC corridors.

6. Development Partnerships

  • Extending Lines of Credit, capacity building and technical assistance to the Global South.

7. Supply Chain Resilience

  • Promoting trusted and diversified global value chains through partnerships with major economies.

8. Multilateral Economic Leadership

  • Advancing reforms in the WTO, IMF, World Bank and G20 while advocating reformed multilateralism.

Recent Examples:

  1. India–UK Comprehensive Economic and Trade Agreement (CETA) (2026).
  2. India–UAE Comprehensive Economic Partnership Agreement (CEPA).
  3. India–Australia Economic Cooperation and Trade Agreement (ECTA).
  4. India–Middle East–Europe Economic Corridor (IMEC).
  5. Trade and Technology Council (TTC) with the European Union.
  6. Initiative on Critical and Emerging Technology (iCET) with the United States.

Challenges:

  1. Rising global protectionism and tariff wars.
  2. Supply chain disruptions.
  3. Geopolitical conflicts affecting trade.
  4. Technology restrictions and export controls.
  5. Climate-related trade regulations such as CBAM.
  6. Persistent trade deficits with major partners.

Suggestions:

  1. Expand high-quality FTAs with major economies.
  2. Strengthen technology and innovation partnerships.
  3. Diversify export markets and supply chains.
  4. Promote Digital Public Infrastructure as a global public good.
  5. Accelerate logistics and connectivity projects.
  6. Strengthen India’s leadership in global economic governance.

Conclusion:

Economic diplomacy has transformed India’s foreign policy from political engagement to geo-economic statecraft, enabling India to enhance strategic autonomy, economic resilience and global influence while emerging as a leading voice of the Global South.

Scroll to Top