Foreign Policy & Security

In recent decades, India has been slowly climbing up the international hierarchy, increasing its global influence en route to emerging as one of the system’s premier great powers. Along with China’s spectacular rise over the last four decades, India’s own remarkable rise further encapsulates the current global shift of economic power from Europe and North America to Asia. Together, these trends herald the true beginning of the Asian Century, whereby big Asia powers will gain the capability to dominate, dictate, and ultimately define the contours of international affairs. 

The visit of PM Narendra Modi to Japan for the G20 Summit in Osaka gave him an opportunity to exchange views with PM Abe of Japan for the first time in his second term. Earlier this year, Modi came back to power with a decisive mandate in the general elections which has given him and his government greater flexibility when it comes to foreign affairs. In addition, the appointment of Dr. S. Jaishankar as the Minister of External Affairs is a strong signal about the importance accorded to foreign affairs by this government.

Twelve days following the Ides of March, few had any inkling that March 27, 2019 would portend a watershed in India’s strategic trajectory. Indian Prime Minister Narendra Modi made a ten minute televised address in Hindi, emphatically declaring that India has become “a global space power” after a successful anti-satellite (ASAT) missile test had just propelled the country to the ranks of the US, Russia, and China.

Over the past decade, India has marginally increased its regional trade with its neighbors, specifically Bangladesh, Bhutan, and Nepal. Currently, India’s actual trade in South Asia accounts for $19.1 billion, which is just three percent of its total global trade at $637.4 billion and around $43 billion below the potential. It has recently been estimated that by reducing man-made trade barriers, trade within South Asia can grow three times, from $23 billion to $67 billion.