Concept Note
IDSA has been organising the annual South Asia Conference since 2007. Over a decade, this flagship conference has dealt with a number of important issues, such as, economic cooperation for development, changing political context in India’s neighbourhood, common challenges of terrorism in South Asia and prospects of regional cooperation, cooperative security framework for South Asia, prospects for stability and growth in South Asia, exploring regional perceptions, role of media in promoting regional understanding in South Asia, culture as a factor in regional cooperation, strengthening connectivity in South Asia, and non-traditional security challenges in South Asia. The varied themes reflect the different concerns of member countries of South Asia, which have enabled these countries to pursue respective national interests within the framework of regional cooperation.
IDSA’s South Asia Conference provides an important platform for academics, policymakers, intellectuals, semi-government and government officials from participating countries to discuss issues of mutual concern and explore avenues of cooperation. All SAARC (South Asian Association for Regional Cooperation) countries and Myanmar participate in the IDSA conference at the Track II level and discuss issues in a free and frank manner. Outside of SAARC, Myanmar has been a regular invitee as an important member of India’s extended neighbourhood and engagement with it has been very productive.
One of the most significant foreign policy initiatives of Prime Minister Narendra Modi has been the importance that has been given to improving India’s relations with its immediate neighbours. This has been conceptualised by the Modi Government as “Neighbourhood First” policy (NFP). It is quite evident in the intensity of engagement that India has had with its neighbours, not only during Prime Minister Modi’s first term in power, but also after his re-election. That the Prime Minister chose to invite leaders of the SAARC countries in May 2014 and again leaders of the BIMSTEC (Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation) countries in May 2019 to his swearing-in ceremonies, indicates his commitment to accord special status to the neighbours in his foreign policy paradigm. Prime Minister Modi has spoken of inclusive growth and development (sabka saath, sab ka vikas) not only for India but for the region as well.
The Modi Government’s “Act East Policy” may be considered a logical extension of the NFP. Both accord priority to India’s immediate geopolitical environment. Myanmar is important in this regard as it becomes the intersecting point where both the components meet. Maldives and Sri Lanka were the first two countries that Prime Minister Modi visited after being re-elected, which further demonstrated his government’s resolve to strengthen relations with India’s neighbours. Other important policy initiatives like SAGAR (Security and Growth for All in the Region) and Project Mausam may be regarded as reinforcing this policy of cooperation with the extended neighbourhood in the maritime sphere.
Broadly speaking, the “Neighbourhood First” policy includes expanding and deepening India’s contacts with the neighbouring countries and strengthening cooperation with them, primarily driven by their development and security needs. Three significant aspects of India’s approach are that it is consultative; it is not based on reciprocity from the neighbours; and it attaches great importance to getting time-bound results. One of the most important areas of focus in the NFP is to bring about greater connectivity physical, digital, people-to-people, cultural etc. among the neighbours. A number of initiatives have been taken in this respect, e.g., building energy, road, and rail connectivity, port and waterways transport, and infrastructure development. High level and frequent visits to all the neighbouring countries, in some cases after a huge gap, provided a new momentum to bilateral ties. In this process, India has successfully resolved some of the protracted issues with its neighbours.
India has expanded the scope and quantum of development cooperation and has tried to improve the pace at which projects are implemented. It has also strengthened wide-ranging ties with neighbours in fields such as agriculture, education, culture, health, human resource development, drinking water and sanitation, disaster relief and rehabilitation, capacity building, trade and investments as well as defence and security. Besides, India has tried to ensure the safety and security of maritime traffic in the region by helping to strengthen skills and logistics of neighbours like Sri Lanka and Maldives.
The people of South Asia have a shared history, culture and aspirations which should help to deepen understanding within the region so that they can move towards achieving the common goal of enhancing economic growth. While there has been progress in India’s relations with its neighbours, it is constrained by the challenge of cross-border terrorism that impacts India’s vision of a peaceful and prosperous neighbourhood. While Prime Minister Modi visited Lahore in December 2014 in the hope of improving ties with Pakistan that would benefit the entire region, there was no reciprocation from Islamabad stalling forward movement on the SAARC regional motor vehicles agreement that would have boosted intra-regional connectivity and economic cooperation. Seeing this SAARC initiative fail due to intransigence by one of the partner countries, there has been a perceptible shift in India towards emphasis on the BIMSTEC as a vehicle to help promote India’s foreign policy priorities of “Neighbourhood First” and “Act East”. Yet, India continues to strengthen its relations with SAARC member countries and has shown its commitment to SAARC with initiatives such as the South Asia Satellite, South Asian University, SAARC Disaster Management Centre, and the extension of India’s National Knowledge Network.
The sentiment of according primacy to the neighbours has been there in India’s foreign policy thinking right from the start and attempts were made by various leaders to cement ties with the countries in the region through unilateral concessions from time to time. However, it is in the last few years that vigorous implementation of a comprehensive strategy in this regard has become apparent. During 2014-2018, India completed 7 projects in Afghanistan under the US$2 billion committed for reconstruction. Notable among them is the new Parliament building, the Afghan-India Friendship Dam, and the restoration of the Stor Palace. India announced an additional US$ 1 billion assistance under the ‘New Development Partnership’ in 2017.
The ratification of the Land Boundary Agreement with Bangladesh by India, an issue which was unresolved since 1974, was an important step in improving relations between the two countries. India completed 29 projects in Bangladesh between 2014-2018. It has extended the third Line of Credit to Bangladesh of US$4.5 billion with the total amounting to US$8 billion. Cooperation in transit and connectivity with Bangladesh and the BBIN (Bangladesh-Bhutan-India-Nepal) grouping testify to India’s endeavours to concretise its neighbourhood policy. India has responded promptly in times of disasters.
During 2014-2018, India completed 62 projects in Bhutan. The Mangdechhu hydropower plant has recently been inaugurated and there is progress on other power projects with Bhutan. India has also announced a grant assistance of INR 4500 Crore towards Bhutan’s 12th Five Year Plan, and a transitional Trade Support Facility of INR 400 Crore between 2018-2023. Bhutan and India also observed 50 years of diplomatic relations in 2018.
India completed 3 projects in Maldives between 2014-2018. A US$ 800 million Line of Credit Agreement has been signed in March 2019, for assisting Maldives to achieve sustainable social and economic development. An MoU on Indian Grant Assistance of US$5.5 million for the implementation of High Impact Community Development Projects has also been signed. The Government of India (GoI) also agreed to a cash grant of US $6.9 million for implementation of socio-economic projects. It helped to alleviate the water crisis in Maldives in 2014, under Operation Neer. The 50th anniversary of India’s establishment of diplomatic relations with Maldives was celebrated in 2015 and Maldives today is pursuing a policy of ‘India First’.
In an attempt to assuage any prevalent feelings of neglect, during his first tenure, Prime Minister Modi visited Nepal. It was after a gap of 17 years that an Indian Prime Minister visited the country. 7 projects have been completed in Nepal during 2014-2018. The trauma centre in Kathmandu, the Raxaul-Amlekhgunj petroleum pipeline and construction of Integrated Check Posts on the India-Nepal border highlight Indian development initiatives. Under four Lines of Credit with a total value of over US$ 1.65 billion extended by GoI, infrastructure projects, including those to do with post-earthquake reconstruction are being implemented. Under Operation Maitri India provided disaster relief and undertook rehabilitation efforts in Nepal after the earthquake in April 2015.
The Kaladan Multimodal Transport Project and the trilateral highway between India, Myanmar and Thailand are important connectivity initiatives with Myanmar. The Indian Government also responded promptly to Myanmar’s request for assistance following cyclone-Komen in 2015.
In order to give a fresh impetus to India’s approach towards its immediate neighbours, Prime Minister Modi visited Sri Lanka during his first tenure. This assumes significance as it was after a gap of 28 years that an Indian Prime Minister visited the country. India completed 13 projects in Sri Lanka between 2014-2018. The housing project for resettlement of Internally Displaced Persons in Sri Lanka is a major development project undertaken by India. Sri Lanka is a recipient of development credit given by the GoI, with total commitment of around US$ 2.63 billion. India gave prompt assistance following devastating floods in May 2014 and in June 2017.
This year’s South Asia conference puts the spotlight on India’s “Neighbourhood First” policy being pursued by the government since 2014, not with the purpose of projecting India’s achievements, but with the purpose of ascertaining how the policy is impacting India’s neighbourhood. In this respect, any assessment would be incomplete unless we understand the perceptions and reactions of India’s neighbours themselves to such a proactive policy from the Indian side. The conference is therefore intended to have a very candid and in-depth dialogue aimed at analysing India’s “Neighbourhood Policy” taking fully into account the perspectives of the neighbouring countries.
The key questions that need to be answered in this regard are:
- How is India's NFP being perceived in the neighbourhood?
- How efficiently and effectively is the policy being implemented?
- To what extent are India's policies benefitting the neighbouring countries?
- Are there any additional areas of cooperation which the neighbouring countries would like to be emphasised in India's NFP?
- What suggestions neighbouring countries may offer to make this policy more effective?