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PM Modi’s foreign policy is defined by its dynamism and action, exemplified through the implementation of the Act East Policy. Initially introduced in 1992 as the Look East Policy, it focused mainly on economic ties with Southeast Asia.
Recognising the changing global dynamics, PM Modi reinvigorated this approach in 2014, transforming it into the Act East Policy (AEP) with an emphasis on stronger action and tangible outcomes. This shift marked a strategic approach to deepen diplomatic engagement, strengthen trade partnerships, enhance security cooperation, and promote cultural exchanges with Southeast Asia and the broader Indo-Pacific region. The AEP established India as an active stakeholder in regional affairs.
Sustained engagements
PM Modi has made several visits to neighbouring countries to fortify these ties. His trips to Singapore (2015, 2018, 2024) have bolstered economic and fintech collaboration, while his visits to Indonesia (2018, 2022, 2023) expanded maritime security cooperation. In 2017, PM Modi’s visit to the Philippines was the first by an Indian Prime Minister in 36 years, emphasising India’s role in ASEAN security and trade.
His historic visit to Brunei in 2024 was the first-ever by an Indian PM, symbolizing India’s growing diplomatic outreach. Additionally, inviting all ASEAN leaders as Chief Guests for India’s Republic Day to celebrate 25 years of ASEAN-India Dialogue Partnership was a significant diplomatic gesture. PM Modi has also visited Myanmar, Malaysia, Thailand, Laos, and Vietnam, advancing India’s strategic and economic interests in the region.
Major boost to economic partnerships and trade
Under PM Modi’s leadership, India’s trade with ASEAN nearly doubled, growing from USD 71 billion in 2016-17 to over USD 130 billion by 2024. India is now ASEAN’s 7th largest trading partner, while ASEAN is India’s 4th largest. To enhance economic connectivity, the Modi government has pushed for infrastructure projects like the India–Myanmar–Thailand Trilateral Highway. Improved flight connectivity has facilitated business, tourism, and cultural exchanges. Additionally, the Agartala-Akhaura railway project has enhanced connectivity between North Eastern States and Bangladesh, boosting trade.
Strategic partnership
The strategic and defence dimensions of the AEP have also been crucial. India has actively engaged in maritime security cooperation, particularly with the Philippines and Vietnam. A major milestone was the sale of BrahMos missiles to the Philippines, marking India’s entry as a defence supplier in the region. India has signed military logistics agreements with Vietnam, expanding its presence in the Indo-Pacific security framework. The Indo-Pacific Oceans Initiative (IPOI), launched in 2019, aims to ensure maritime stability and freedom of navigation. The first-ever joint maritime exercise between India and ASEAN in 2023 was aimed at countering security challenges in the South China Sea and the broader Indo-Pacific.
Strong cultural and people-to-people ties
Cultural and people-to-people ties have also been vital in strengthening India’s relationship with Southeast Asia. The Act East Policy has revitalised India’s shared Buddhist heritage with countries like Myanmar, Thailand, Laos, Vietnam, and Indonesia. Scholarships for over 300 ASEAN students at Nalanda University and educational and cultural exchanges have strengthened these ties. The growing influence of International Yoga Day in Southeast Asia further highlights the role of cultural diplomacy.
Collaboration in other spheres
Additionally, Singapore was the first country to establish fintech connectivity with India, fostering digital and economic collaboration across ASEAN. India also extended medical assistance to ASEAN countries during the COVID-19 pandemic.
India has emerged as a first responder in various crises:
Sri Lanka (2022-23): Providing $4 billion in assistance and playing a key role in securing a $2.9 billion IMF bailout.
Nepal Earthquake (2015): Launching Operation Maitri for relief efforts.
Afghanistan (2018): Sending 1.7 lakh tonnes of wheat and 2,000 tonnes of Chana Dal to combat drought.
Impact of Act East policy
The Act East Policy has positioned India as a significant player in Southeast Asia over the past decade. While the Look East Policy primarily focused on trade, the AEP has evolved into a multidimensional strategy encompassing diplomacy, defence, connectivity and culture. PM Modi’s engagements, high-profile summits, and strategic partnerships have strengthened India’s presence in the Indo-Pacific, making India a leader in regional affairs.
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