Neighborhood First Policy

India’s Neighborhood First Policy: Challenges and Opportunities

India’s neighborhood-first policy has more or less been an imperative, given the politics with South Asian neighbors during recent times. It must redefine how India approaches its ties with countries such as Nepal, Maldives, and Bangladesh. It’s rather essential to avoid the assertive policies and move toward a ‘neighborliness first’ approach by ensuring mutual respect and non-interference on all counts.

GS Paper GS Paper II
Topics for UPSC PrelimsSouth Asia, Neighborhood First policy, China’s “String of Pearls” strategy,  India-Maldives-Sri Lanka Maritime Exercise ‘Dosti, India-Myanmar-Thailand trilateral highway, Chabahar Port,  Bangladesh, Bhutan, India, Nepal (BBIN) Power Trade Agreement, Information Fusion Centre-Indian Ocean Region, BIMSTEC , International Solar Alliance,  Galwan Valley Standoff in 2020 , Sri Lanka’s Hambantota Port, China Pakistan Economic Corridor.
Topics for UPSC MainsSignificance of Neighbourhood First for India, Key Challenges India is Facing in the South Asian Region.

Origin of the Article

This editorial is based on “Is India really ‘neighborhood first’?” published in The Indian Express on November 19, 2024. The article discusses India’s need to adopt a more respectful and cooperative stance with its neighboring countries.

Relevance for UPSC Aspirants

It is essential for UPSC students to know about the India’s Neighborhood First policy. Subject falls under GS Paper 2, which would cover international relations, treaties and a broader effect of world politics on India’s interest. This will further give an insight into the intricacies of regional diplomacy and strategic security, economic integration, and cultural ties between India and South Asian countries.

Why in News?

The editorial “Is India really ‘neighborhood first’?” is crucial for UPSC aspirants because it pans and critiques India’s traditional regional diplomacy approach, which stands strained with neighbors such as Nepal, Maldives, and Bangladesh. Understanding these dynamics will be taken care of through GS Paper 2, which often comes questions on international relations, regional groupings, and India’s foreign policy. The discussion of moving to a “neighborliness first” policy falls in line with previous UPSC questions on India’s diplomatic strategies and regional challenges.

Significance of Neighbourhood First for India

The “Neighbourhood First” policy has been centrally important for India, and it falls in several important areas such as security, economic integration, energy security, cultural bonds, maritime awareness, and global power aspirations, which are vital for holistic growth and regional stability. This underlines how the neighbourhood can be crucial in fostering cooperative relationships for the nation.

Strategic Security Imperatives

Neighborhood stability is the key to India’s national security due to extensive land boundaries and a coastline. Defense against China’s “String of Pearls” strategy that seeks to encircle India with military and commercial installations is a priority. Cooperation in security initiatives like the India-Maldives-Sri Lanka maritime exercise “Dosti”. It underlines the importance of regional cooperation in matters of common waters.

Economic Integration and Growth

South Asia constitutes a huge potential for India’s growth based on its 2 billion population. Regional trade, the construction of infrastructure such as the India-Myanmar-Thailand trilateral highway, and the development of the Chabahar Port are essential links for connectivity with this region. These economic linkages are crucial to India’s goal of becoming a $5 trillion economy by 2025, thereby facilitating prosperity in the regions.

Energy Security and Resource Management

Regions should jointly manage shared resources and, in this case, water from rivers such as the Ganges and Brahmaputra. The increasing energy requirements of a region need regional approaches, as supported by Indian permission to Nepal for electricity export.

Cultural and Civilizational Bonds

Historical and cultural linkages in the region play a crucial role in developing India’s soft power. Projects such as Buddhist Circuit tourism and the South Asian University in Delhi strengthen these bonds and enhance regional understanding. These connections help counter anti-India narratives by promoting cultural diplomacy and evoking a shared sense of heritage and cooperation.

Maritime Domain Awareness and Control

India’s strategic location along key Indian Ocean trade routes makes regional maritime cooperation a necessity. The Information Fusion Centre-Indian Ocean Region (IFC-IOR) promotes maritime domain awareness. Coastal security cooperation combats maritime crimes, as proved with operational collaboration -most recently, they together successfully intercepted large drug shipments, thereby boosting regional security.

Global Power Aspirations

Regional influence is important to the claim of India as a leader of the Global South. Leadership in organizations such as BIMSTEC and successful regional cooperation support India’s case for permanent membership in the UNSC. The policy of the Neighbourhood establishes India as a responsible power, capable of managing regional affairs, supporting global initiatives such as the International Solar Alliance.

Key Challenges India is Facing in the South Asian Region

Challenges abound in terms of maintaining and strengthening India’s relationships in South Asia, from territorial disputes and rising Chinese economic influence to diminishing political capital, security challenges, economic integration barriers, resource management issues, and cultural politics. Encouraging regional cooperation and stability critically requires resolving these issues.

Territorial Disputes

This includes the Kashmir conflict with Pakistan and other border disputes with China, which continue to hamper peace and cooperation in the region. Such disputes lead mostly to armed confrontations as well as diplomatic standoffs and tend to draw away from cooperative efforts on regional development, as the case of Galwan Valley witnessed in 2020.

Rising Chinese Economic Influence and Debt Diplomacy

China’s Belt and Road Initiative has drastically increased its economic footprint in South Asia, challenging India to be the primary development partner. Examples include Sri Lanka’s Hambantota Port leased to China and Pakistan’s China Pakistan Economic Corridor. This economic penetration threatens India’s influence and requires strategic responses.

Diminishing Political Capital and Trust Deficit

Political changes in neighboring countries have brought the waning influence of India to the spotlight. For example, the new government of the Maldives demands the removal of Indian military presence. Nepal under K P Oli has pro-china tilt and Bangladesh’s new leadership signals shifting away from India friendly regimes. These changes are indicative of rebuilding trust and influence.

Security Challenges and Strategic Vulnerabilities

The China-Pakistan military nexus poses sophisticated security threats, with Pakistan acquiring advanced Chinese military technology. Increased piracy incidents and cross-border terrorism, such as the Reasi terrorism attack, highlight evolving security challenges. Addressing these threats is crucial for India’s regional stability and security.

Economic Integration Barriers

The ineffectiveness of SAARC, mainly because of the tensions between India and Pakistan, is hindering regional economic integration. Compared to other regions, intraregional trade is still low. Delays in cross-border infrastructure projects, such as the India-Nepal Pancheshwar Multipurpose Project, demonstrate the challenges to attain regional connectivity and economic cooperation.

Resource and Environmental Challenges

Water sharing and Chinese dam building pose a threat to Indian water security, while climate change impacts like sea-level rise threaten countries like Maldives and Bangladesh. In the face of regional competition for Myanmar’s gas fields, such coordinated strategies of environmental and resource management become necessary.

Cultural and Identity Politics

Rising religious nationalism complicates India’s secular diplomatic stance. Treatment of minorities in neighboring countries and the Rohingya refugee crisis strain resources and test regional relationships. Domestic policies like the Citizenship Amendment Act impact India’s relationships, particularly with countries like Bangladesh, highlighting the need for sensitive cultural diplomacy.

Measures to Strengthen Neighbourhood First Policy

To strengthen its “Neighbourhood First” policy, India could undertake several initiatives such as enhanced economic integration, improved infrastructures, increased digital and technology cooperation, increased cultural exchange and interaction, security cooperation, management of resources, handling environmental resources, skill building, and cooperation among local governments.

Economic Integration and Trade Facilitation

Initiation of a Comprehensive Economic Partnership Agreement with the South Asian neighbors and creation of SEZs can bolster cross-border trade. Development of integrated check posts and launching a regional e-commerce platform will facilitate trade and economic integration and drive regional growth and development.

Infrastructure and Connectivity Enhancement

Developing multi-modal transport corridors, such as the India-Myanmar-Thailand Trilateral Highway, will enhance connectivity. Installation of cross-border energy grids and modernization of border infrastructure will boost trade and cooperation, contributing to regional development and integration.

Digital and Technology Cooperation

Creating a South Asian Digital Hub and extending India Stack technologies to neighboring countries will facilitate digital transactions and cooperation. Setting up a regional cyber security coordination center and launching dedicated satellites for regional connectivity will strengthen digital and technological ties.

Cultural and Educational Exchange

Increasing ICCR scholarships and establishing more South Asian Universities will enhance educational exchanges. The Regional Cultural Circuit and jointly launching media initiatives will foster cultural understanding and cooperation, strengthen regional bonds, and enhance soft power.

Security Cooperation Framework

Establishing a Regional Counter-Terrorism Coordination Center and creating joint border management teams will enhance security cooperation. Developing a shared maritime domain awareness platform will improve regional security and combat threats like piracy and terrorism.

Environmental and Resource Management

A regional climate action task force will be established and shared early warning systems will be implemented in order to help curb the environmental challenges. A regional carbon trading market will promote clean development, enabling sustainable regional growth and resource management.

Skill Development and Employment

Launching of a Regional Skill Development Initiative and establishment of cross-border industrial training institutes will boost employability. The creation of regional labor market information systems and mutual recognition of professional qualifications will enhance skill development and employment opportunities.

Local Government Cooperation

Establishing Sister City partnerships and creation of Joint Development Councils for border districts will foster local government cooperation. Developing integral planning for the cities and mechanisms for regular interaction among local officials will enhance cross-border collaboration and development.

Green Border Initiative

Cross-border renewable energy corridors and establishment of Green Buffer Zones are to be encouraged for sustainable development. Shared facilities for waste management and climate-resilient agriculture projects will support environmental conservation and regional cooperation.

PESTEL Analysis

Political: India’s strained relationships with South Asian neighbors, coupled with territorial disputes and China’s growing influence, necessitate a recalibrated strategy emphasizing mutual respect and non-interference.

Economic: South Asia’s vast economic potential is hindered by political tensions and poor infrastructure. Initiatives like Chabahar Port and cross-border trade agreements are crucial for economic integration.

Social: Cultural and historical ties are assets for strengthening relationships. However, India’s perceived interference in neighbors’ domestic affairs has created a trust deficit that must be addressed.

Technological: Building a South Asian Digital Hub and promoting regional technological collaboration could improve cybersecurity, create jobs, and position India as a technological leader in the region.

Environmental: Shared vulnerabilities like climate change and water disputes require coordinated efforts. Renewable energy projects and green initiatives could symbolize commitment to sustainability and regional stability.

Legal: Robust multilateral agreements and updated bilateral treaties are essential to institutionalize cooperation in areas like counter-terrorism, resource sharing, and environmental management.

Conclusion

The next road for India into South Asia requires a fundamental shift in approach to neighbors. A genuine commitment to mutual development, non-interference, and common concern is what is required. By treating economic integration as well as the addressing of security-related matters and cultural exchange as a priority, India can regain its hegemonic position as a regional leader, and usher in an era of peace, prosperity, and shared progress in South Asia.

UPSC Civil Services Examination, Previous Year Questions (PYQs)
Mains
Q. The China-Pakistan Economic Corridor (CPEC) is perceived as a threat to India’s sovereignty. Discuss the strategic dimensions and implications of CPEC on India-China-Pakistan relations. (UPSC Mains 2020, GS Paper II)

Q. The “Neighborhood First” policy has been a cornerstone of India’s regional diplomacy. Evaluate its relevance in the current geopolitical context of South Asia, focusing on challenges such as China’s “String of Pearls” strategy, infrastructure projects like the China-Pakistan Economic Corridor (CPEC), and the implications of Sri Lanka’s Hambantota Port lease. Suggest measures to revitalize India’s engagement with smaller South Asian nations.