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Explained | Why BIMSTEC Matters: India’s Strategic Bet On Regional Cooperation

India’s investment in BIMSTEC underscores its vision for a connected, economically integrated Bay of Bengal region, countering external influences and driving regional development.

BIMSTEC
BIMSTEC (X@BimstecInDhaka)
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By Aroonim Bhuyan

Published : March 31, 2025 at 7:04 PM IST

Updated : March 31, 2025 at 8:20 PM IST

6 Min Read

New Delhi: As the BIMSTEC Secretariat in Dhaka unveiled the agenda for the Sixth BIMSTEC Summit to be held in Bangkok on April 4, all eyes are on India’s growing role in regional cooperation.

With geopolitical realignments reshaping Asia’s strategic landscape and economic uncertainties demanding stronger regional cooperation, India has made the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC) a cornerstone of its foreign policy.

The BIMSTEC, which came into existence in 1997, comprises seven countries lying in the littoral and adjacent areas of the Bay of Bengal - Bangladesh, Bhutan, India, Myanmar, Nepal, Sri Lanka and Thailand. The bloc brings together 1.73 billion people and has a combined GDP of $5.2 trillion as of 2023.

The theme of this year’s Summit in Bangkok is ‘Prosperous, Resilient, and Open BIMSTEC’. The BIMSTEC Secretariat in Dhaka on Monday stated that “the Summit, which aims at fostering collaboration among the member states to address the shared security and developmental challenges, will provide a new impetus to the efforts underway to realise the goal of a prosperous, resilient and open BIMSTEC”.

In its statement, the Secretariat outlined what it called the Summit’s “rich agenda”:

Adoption of the Declaration of the 6th BIMSTEC Summit: It will reflect the vision of the leaders as well as their decisions and directives.

Adoption of the Bangkok Vision 2030: This is the first vision document which will be adopted by the leaders. It provides a comprehensive and practical roadmap for future cooperation amongst the BIMSTEC member states.

Signing of the Agreement on Maritime Transport Cooperation: The Agreement aims at expanding maritime transport in the Bay of Bengal to enhance the transport of cargo as well as people, enabling more trade and travel amongst the member states.

Signing of the Memoranda of Understanding (MoUs) between BIMSTEC and Indian Ocean Rim Association (IORA), and BIMSTEC and United Nations Office on Drugs and Crime (UNODC): These aim to herald a new era of developmental partnerships between BIMSTEC and these organisations.

Adoption of the Rules of Procedure for the BIMSTEC Mechanisms: These, together with the Charter, lay the foundation of the institutional framework for regional cooperation under BIMSTEC.

Adoption of the Report of Eminent Persons Group on the Future Direction of BIMSTEC: The Group held six meetings in 2024. It consulted the relevant stakeholders and finalised its Report in September 2024 after extensive deliberations. The Report contains a number of recommendations and the member states have commenced steps aimed at implementing these.

Since BIMSTEC’s inception in June 1997, five Summits have been held in Bangkok (2004), New Delhi (2008), Nay Pyi Daw (2014), Kathmandu (2018) and Colombo (2022). The Colombo Summit was held in virtual mode.

The bloc pursues regional cooperation in seven broad sectors: agriculture and food security; connectivity; environment and climate change; people-to-people contact; science, technology and innovation; security; and trade, investment and development. The cooperation also covers eight sub-sectors: blue economy, mountain economy, energy, disaster management, fisheries and livestock, poverty alleviation, health, and human resource development.

India leads the security sector. The BIMSTEC Energy Centre is also located in Bengaluru. India’s investment in BIMSTEC is driven by strategic, economic, and geopolitical imperatives that align with New Delhi’s vision for regional stability and growth.

“Our focus in BIMSTEC is on institution and capacity building, strengthening security including maritime and cyber security, climate security including disaster preparedness, food and human security and increased connectivity, which is trade, energy, transport, digital and people to people, which are our priority areas,” Jaideep Mazumdar, Secretary (East) in the Ministry of External Affairs, said during a media briefing here last week.

Strategic shift from SAARC to BIMSTEC

India’s growing engagement with BIMSTEC is partly due to the inefficacy of the South Asian Association for Regional Cooperation (SAARC). The SAARC has been virtually rendered ineffective as a bloc, largely due to non-cooperation on the part of Pakistan on issues like connectivity and counter-terrorism. After the cross-border terror attack from Pakistani soil on an army base at Uri in Jammu and Kashmir in September 2016, that year’s SAARC Summit scheduled to be held in Islamabad stood cancelled after other members of the group joined India in boycotting it. After that, no SAARC summit has been held till date.

In contrast, BIMSTEC offers a more functional alternative, free from SAARC’s political deadlocks. By prioritising BIMSTEC, India can strengthen regional cooperation without the challenges posed by Pakistan’s obstructionism in SAARC.

Enhancing regional connectivity

BIMSTEC aligns seamlessly with India’s Act East policy, facilitating enhanced connectivity with Southeast Asian nations. Initiatives like the India-Myanmar-Thailand Trilateral Highway and the Kaladan Multi-Modal Transit Transport Project are instrumental in linking India’s northeastern states to Southeast Asian markets, thereby promoting economic development in these regions.

Economic and trade opportunities

The BIMSTEC region encompasses 1.73 billion people and a combined GDP of around $5.2 trillion, representing a significant portion of the global economy. Despite this, intra-regional trade remains low, accounting for only about 6 percent of total trade among member countries. India recognises the untapped potential for economic integration and is advocating for the operationalisation of the BIMSTEC Free Trade Area (FTA) to boost trade and investment flows within the region.

Counterbalancing external influences

China’s expansive Belt and Road Initiative (BRI) has increased its influence in South and Southeast Asia. India views a strengthened BIMSTEC as a strategic countermeasure, offering an alternative model of regional cooperation based on mutual respect and shared prosperity. By investing in BIMSTEC, India seeks to reinforce its role as a regional leader and promote a balanced power dynamic in the area.

Security collaboration

BIMSTEC provides a platform for addressing shared security concerns, including terrorism, transnational crimes, and disaster management. India has been proactive in proposing joint exercises and collaborative frameworks to enhance regional security architecture, thereby fostering trust and stability among member nations.

“We lead the security pillar of the cooperation and its focus is on establishing strong legal frameworks to combat terrorism, transnational crimes and prevent violent extremism in the region, at the same time, establishing cooperative mechanisms that will facilitate close cooperation among security and law enforcement agencies,” Mazumdar had said during the media briefing.

Energy cooperation and sustainable development

The Bay of Bengal region is rich in natural resources, presenting opportunities for collaborative energy projects. India is keen on developing initiatives in renewable energy and sustainable development within the BIMSTEC framework, aiming to ensure energy security and environmental sustainability for the region.

“Energy security and energy connectivity for the region is also our priority,” Mazumdar had said. “We host the Energy Centre in Bengaluru. The Centre coordinates the work towards creating BIMSTEC regional grid interconnection in line with the Prime Minister’s ‘One World, One Sun, One Grid’ vision.”

To sum up, India’s substantial investment in BIMSTEC reflects a strategic endeavour to enhance regional cooperation, economic integration, and collective security. By strengthening BIMSTEC, India not only advances its geopolitical interests but also contributes to a stable, prosperous, and interconnected Bay of Bengal region.

New Delhi: As the BIMSTEC Secretariat in Dhaka unveiled the agenda for the Sixth BIMSTEC Summit to be held in Bangkok on April 4, all eyes are on India’s growing role in regional cooperation.

With geopolitical realignments reshaping Asia’s strategic landscape and economic uncertainties demanding stronger regional cooperation, India has made the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC) a cornerstone of its foreign policy.

The BIMSTEC, which came into existence in 1997, comprises seven countries lying in the littoral and adjacent areas of the Bay of Bengal - Bangladesh, Bhutan, India, Myanmar, Nepal, Sri Lanka and Thailand. The bloc brings together 1.73 billion people and has a combined GDP of $5.2 trillion as of 2023.

The theme of this year’s Summit in Bangkok is ‘Prosperous, Resilient, and Open BIMSTEC’. The BIMSTEC Secretariat in Dhaka on Monday stated that “the Summit, which aims at fostering collaboration among the member states to address the shared security and developmental challenges, will provide a new impetus to the efforts underway to realise the goal of a prosperous, resilient and open BIMSTEC”.

In its statement, the Secretariat outlined what it called the Summit’s “rich agenda”:

Adoption of the Declaration of the 6th BIMSTEC Summit: It will reflect the vision of the leaders as well as their decisions and directives.

Adoption of the Bangkok Vision 2030: This is the first vision document which will be adopted by the leaders. It provides a comprehensive and practical roadmap for future cooperation amongst the BIMSTEC member states.

Signing of the Agreement on Maritime Transport Cooperation: The Agreement aims at expanding maritime transport in the Bay of Bengal to enhance the transport of cargo as well as people, enabling more trade and travel amongst the member states.

Signing of the Memoranda of Understanding (MoUs) between BIMSTEC and Indian Ocean Rim Association (IORA), and BIMSTEC and United Nations Office on Drugs and Crime (UNODC): These aim to herald a new era of developmental partnerships between BIMSTEC and these organisations.

Adoption of the Rules of Procedure for the BIMSTEC Mechanisms: These, together with the Charter, lay the foundation of the institutional framework for regional cooperation under BIMSTEC.

Adoption of the Report of Eminent Persons Group on the Future Direction of BIMSTEC: The Group held six meetings in 2024. It consulted the relevant stakeholders and finalised its Report in September 2024 after extensive deliberations. The Report contains a number of recommendations and the member states have commenced steps aimed at implementing these.

Since BIMSTEC’s inception in June 1997, five Summits have been held in Bangkok (2004), New Delhi (2008), Nay Pyi Daw (2014), Kathmandu (2018) and Colombo (2022). The Colombo Summit was held in virtual mode.

The bloc pursues regional cooperation in seven broad sectors: agriculture and food security; connectivity; environment and climate change; people-to-people contact; science, technology and innovation; security; and trade, investment and development. The cooperation also covers eight sub-sectors: blue economy, mountain economy, energy, disaster management, fisheries and livestock, poverty alleviation, health, and human resource development.

India leads the security sector. The BIMSTEC Energy Centre is also located in Bengaluru. India’s investment in BIMSTEC is driven by strategic, economic, and geopolitical imperatives that align with New Delhi’s vision for regional stability and growth.

“Our focus in BIMSTEC is on institution and capacity building, strengthening security including maritime and cyber security, climate security including disaster preparedness, food and human security and increased connectivity, which is trade, energy, transport, digital and people to people, which are our priority areas,” Jaideep Mazumdar, Secretary (East) in the Ministry of External Affairs, said during a media briefing here last week.

Strategic shift from SAARC to BIMSTEC

India’s growing engagement with BIMSTEC is partly due to the inefficacy of the South Asian Association for Regional Cooperation (SAARC). The SAARC has been virtually rendered ineffective as a bloc, largely due to non-cooperation on the part of Pakistan on issues like connectivity and counter-terrorism. After the cross-border terror attack from Pakistani soil on an army base at Uri in Jammu and Kashmir in September 2016, that year’s SAARC Summit scheduled to be held in Islamabad stood cancelled after other members of the group joined India in boycotting it. After that, no SAARC summit has been held till date.

In contrast, BIMSTEC offers a more functional alternative, free from SAARC’s political deadlocks. By prioritising BIMSTEC, India can strengthen regional cooperation without the challenges posed by Pakistan’s obstructionism in SAARC.

Enhancing regional connectivity

BIMSTEC aligns seamlessly with India’s Act East policy, facilitating enhanced connectivity with Southeast Asian nations. Initiatives like the India-Myanmar-Thailand Trilateral Highway and the Kaladan Multi-Modal Transit Transport Project are instrumental in linking India’s northeastern states to Southeast Asian markets, thereby promoting economic development in these regions.

Economic and trade opportunities

The BIMSTEC region encompasses 1.73 billion people and a combined GDP of around $5.2 trillion, representing a significant portion of the global economy. Despite this, intra-regional trade remains low, accounting for only about 6 percent of total trade among member countries. India recognises the untapped potential for economic integration and is advocating for the operationalisation of the BIMSTEC Free Trade Area (FTA) to boost trade and investment flows within the region.

Counterbalancing external influences

China’s expansive Belt and Road Initiative (BRI) has increased its influence in South and Southeast Asia. India views a strengthened BIMSTEC as a strategic countermeasure, offering an alternative model of regional cooperation based on mutual respect and shared prosperity. By investing in BIMSTEC, India seeks to reinforce its role as a regional leader and promote a balanced power dynamic in the area.

Security collaboration

BIMSTEC provides a platform for addressing shared security concerns, including terrorism, transnational crimes, and disaster management. India has been proactive in proposing joint exercises and collaborative frameworks to enhance regional security architecture, thereby fostering trust and stability among member nations.

“We lead the security pillar of the cooperation and its focus is on establishing strong legal frameworks to combat terrorism, transnational crimes and prevent violent extremism in the region, at the same time, establishing cooperative mechanisms that will facilitate close cooperation among security and law enforcement agencies,” Mazumdar had said during the media briefing.

Energy cooperation and sustainable development

The Bay of Bengal region is rich in natural resources, presenting opportunities for collaborative energy projects. India is keen on developing initiatives in renewable energy and sustainable development within the BIMSTEC framework, aiming to ensure energy security and environmental sustainability for the region.

“Energy security and energy connectivity for the region is also our priority,” Mazumdar had said. “We host the Energy Centre in Bengaluru. The Centre coordinates the work towards creating BIMSTEC regional grid interconnection in line with the Prime Minister’s ‘One World, One Sun, One Grid’ vision.”

To sum up, India’s substantial investment in BIMSTEC reflects a strategic endeavour to enhance regional cooperation, economic integration, and collective security. By strengthening BIMSTEC, India not only advances its geopolitical interests but also contributes to a stable, prosperous, and interconnected Bay of Bengal region.

Last Updated : March 31, 2025 at 8:20 PM IST
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