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PM Modi's visit to Brunei and Singapore: What is India's Act East Policy?

India's Act East Policy focuses on building ties with Asean countries to promote peace, economic collaboration, and cultural ties while also acting as a counterweight to China's growing influence

Asia
Image: Bloomberg
Vasudha Mukherjee New Delhi
5 min read Last Updated : Sep 05 2024 | 4:56 PM IST
Prime Minister Narendra Modi has begun the second leg of his bilateral trip with a visit to Singapore after concluding a significant visit to Brunei on Wednesday. Modi's visits to these two nations are part of India's broader diplomatic initiative, the Act East Policy, which aims to foster stronger relationships in the Asia-Pacific region.

Brunei, a small but strategically located island nation in the South China Sea, plays a crucial role in India’s Act East Policy. This visit marked the first time an Indian Prime Minister visited Brunei, signalling India's deepening engagement with the Asia-Pacific region. The visit also coincided with the 40th anniversary of diplomatic relations between the two nations. This landmark visit is not only a significant milestone in India's foreign policy but also a crucial step in the country’s Act East Policy and its Indo-Pacific vision.

What is India’s Act East Policy?

Launched in November 2014 at the 12th Asean-India Summit in Myanmar, India's Act East Policy is an extension of the Look East Policy, with an upgraded focus on deepening ties with countries in the Indo-Pacific region.

Look East Policy: India's Look East Policy was drafted in 1992 by the Narasimha Rao government as part of India's strategic foreign policy aimed at engaging with Southeast Asia, known for its abundant resources, to boost its position as a regional power.

The Act East Policy revolves around the Association of Southeast Asian Nations (Asean) as its central focus and seeks to develop political, economic, and cultural connectivity between India and the region. The policy promotes bilateral and multilateral engagement, with an emphasis on improved regional connectivity, trade, and strategic cooperation.

Key features of the Act East Policy

Indo-Pacific focus: The policy centres on the Indo-Pacific region, with Asean at its core, aiming to build a robust strategic presence.

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Enhanced connectivity: One of the major goals is to strengthen connectivity between India’s Northeastern states and neighbouring countries, fostering closer socio-economic ties.

Institutional dialogue: The policy creates a platform for consistent institutional dialogue and cooperation with partner countries in the region.

Three pillars: The Act East Policy focuses on three main areas of cooperation – political and security matters, socio-cultural exchange, and economic partnerships.

India’s presence in the Malacca Strait, one of the world’s busiest shipping lanes, has also allowed it to influence maritime activities in the Indo-Pacific region.

What countries fall under the Act East Policy?

The central pillar of the policy is Asean countries, which include Indonesia, Vietnam, Malaysia, Thailand, and Myanmar.

India has also forged partnerships with Japan, South Korea, and Australia under this policy. Additionally, Prime Minister Modi is visiting Brunei and Singapore to further strengthen ties in the Asia-Pacific region.

Important initiatives under the Act East Policy

India’s Act East Policy is designed to improve connectivity in its broadest sense—political, economic, and cultural—with the extended Indo-Pacific neighbourhood. The policy has led to numerous development projects aimed at strengthening infrastructure and fostering closer ties with regional neighbours.

Some of the major projects include:

India-Myanmar-Thailand Trilateral Highway Project: This project connects India's Northeast with Myanmar and Thailand, enhancing trade and travel between the regions.

Kaladan Multi-modal Transit Transport Project: This initiative focuses on boosting connectivity between India and Myanmar, especially aiding the development of India’s landlocked Northeastern states.

Rhi-Tiddim Road Project: This infrastructure project further strengthens connectivity between India and Myanmar.

Border Haats: These border trade centres foster closer economic relations between India and its neighbours, including Bangladesh and Myanmar.

The policy has also paved the way for initiatives such as the Agartala-Akhaura Rail Link between India and Bangladesh and the Mahabahu-Brahmaputra Inland Waterway Programme, designed to improve intermodal transport links and inland waterways in the region.

Act East Policy counters China's growing influence in Southeast Asia

The Act East Policy has gained significance as a response to China’s growing influence in Southeast Asia and the Indian Ocean region. Through this policy, India aims to maintain freedom of navigation and uphold the rule of law in the Indo-Pacific. The policy also aligns with India’s involvement in the Quad (Quadrilateral Security Dialogue), further boosting regional security and cooperation.

The policy is especially important in positioning India as a counterweight to China amid rising tensions in the South China Sea, as outlined in a report by The Indian Express. The root of the conflicts in the region is China’s aggressive expansionist claims over islands like the Paracels, Spratlys, and Scarborough Shoal, which are also contested by Vietnam, the Philippines, and Malaysia. Given the strategic importance of the South China Sea as a major shipping route and a resource-rich area, its control has immense economic and geopolitical consequences.

By increasing its engagement with Southeast Asian nations through defence, diplomacy, and economic ties, India positions itself as an alternative to China, offering a more balanced and collaborative approach.

India's Neighbourhood First Policy

In addition to the Act East Policy, India’s Neighbourhood First Policy also plays a vital role in the region. This policy focuses on development cooperation with neighbouring countries, particularly in socio-economic areas such as trade, infrastructure, and connectivity.

The policy works through various tools like Lines of Credit (LOC), grant assistance, and capacity-building programmes like the Indian Technical and Economic Cooperation Programme (ITEC).

Prime Minister's visit to Brunei and Singapore

During his visit, Modi engaged in discussions with Sultan Haji Hassanal Bolkiah, Brunei’s long-reigning monarch, to further strengthen commercial, cultural, and defence ties. Brunei, a small but resource-rich nation in Southeast Asia, is known for its vast oil and gas reserves. With a population of approximately 450,000, the country plays a vital role in India’s regional outreach.

By working closely with countries like Brunei, India is shaping a more interconnected, stable, and prosperous Indo-Pacific region, offering a counterbalance to China’s growing presence in the area.

 

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Topics :ASEANDecodedExplainedAct EastAct East PolicyIndia’s Look East to Act East PolicyNeighboursIndo-Pacific cooperationIndo-Pacific regionIndo-PacificAsean tradeIndia-Asean tradeSoutheast AsiaBS Web Reports

First Published: Sep 05 2024 | 4:55 PM IST

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