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News » India News » Act East in action: Modi’s diplomacy boosts India’s strategic, trade and cultural ties with ASEAN

India News

Act East in action: Modi’s diplomacy boosts India’s strategic, trade and cultural ties with ASEAN

NM Desk
Last updated: 4 April, 2025 3:37 PM
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Act East in action: Modi’s diplomacy boosts India’s strategic, trade and cultural ties with ASEAN

New Delhi: PM Modi’s foreign policy is marked by dynamism and action, which is symbolised perfectly through the implementation of the Act East Policy.

Contents
Major boost to economic partnerships and tradeStrategic partnershipStrong cultural and people to people tiesCollaboration in other spheresWhen India emerged as the first responderImpact of Act East Policy

Introduced in 1992, the Look East policy focused largely on economic ties with the Southeast Asia region. With the changing dynamics of the world, PM Modi in 2014, introduced a new vigour in India’s foreign policy. He transformed the Look East Policy with a more dynamic Act East Policy (AEP), emphasizing stronger action and outcomes.

This shift was not just symbolic but marked a significant strategic approach that emphasized deeper diplomatic engagement, stronger trade partnerships, enhanced security cooperation, and cultural exchanges with Southeast Asia and the broader Indo-Pacific region. The Act East Policy placed India as an active stakeholder in regional affairs.
Sustained Engagements

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PM Modi himself has undertaken multiple visits to these countries in our extended neighbourhood to strengthen ties further. Notable visits include his multiple trips to Singapore (2015, 2018, 2024), which have strengthened economic and fintech collaboration, and his three visits to Indonesia (2018, 2022, 2023), where India expanded its maritime security cooperation.

In 2017, PM Modi became the first Prime Minister to visit the Philippines in 36 years, reinforcing India’s role in ASEAN security and trade. His historic visit to Brunei in 2024 marked the first-ever trip by an Indian PM to the country, symbolizing India’s growing diplomatic outreach. Also, it was a historic moment when PM Modi invited all ASEAN leaders to India’s Republic Day as Chief Guests to mark 25 years of ASEAN-India Dialogue Partnership. Additionally, he has also undertaken visits to Myanmar, Malaysia, Thailand, Laot and Vietnam, pushing forward India’s strategic and economic agenda 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. Today, India is ASEAN’s 7th largest trading partner, while ASEAN is India’s 4th largest trading partner.

To enhance economic connectivity, the Modi government has pushed for infrastructure projects such India–Myanmar–Thailand Trilateral Highway to boost India-ASEAN trade & movement. Direct flight connectivity has also improved significantly, with India now directly connected to several ASEAN countries, facilitating business, tourism, and cultural exchanges.

Apart from ASEAN, PM Modi’s push for infra project like Agartala-Akhaura railway project which is the first railway project between the North Eastern States and Bangladesh has provided additional connectivity between India and Bangladesh & encouraged trade between the two nations.

Strategic partnership

The strategic and defense dimension of the Act East Policy has been another crucial area of focus. India has actively engaged in maritime security cooperation, particularly with countries such as the Philippines and Vietnam. One of the biggest milestones under AEP has been the sale of BrahMos missiles to the Philippines, marking India’s entry as a serious defense supplier in the region. Additionally, 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, was a major step toward ensuring maritime stability and freedom of navigation in the region. Further reinforcing India’s strategic presence, India and ASEAN held their first-ever joint maritime exercise in 20232, a move aimed at countering security challenges in the South China Sea and the broader Indo-Pacific.

Strong cultural and people to people ties

Beyond trade and security, cultural and people-to-people ties have played an essential role in strengthening India’s relationship with Southeast Asia. PM Modi’s Act East Policy has revitalized India’s shared Buddhist heritage with Myanmar, Thailand, Laos, Vietnam, and Indonesia, fostering deeper spiritual and historical connections.

Over 300 ASEAN students have received scholarships to Nalanda University3, and the Modi government has facilitated educational and cultural exchanges to strengthen ties. The growing influence of International Yoga Day in Southeast Asia further highlights how cultural diplomacy has become an integral part of India’s engagement under AEP.

Collaboration in other spheres

Additionally, Singapore became the first country to establish fintech connectivity with India, paving the way for digital and economic collaboration across the ASEAN region.

India extended medical assistance, including medicines and supplies, to ASEAN countries during the COVID-19 pandemic.

When India emerged as the first responder

1. Sri Lanka (2022-23): India provided $4 billion in assistance, playing a key role in securing Sri Lanka’s $2.9 billion IMF bailout.
2. Nepal Earthquake (2015): India swiftly launched Operation Maitri, deploying military and rescue teams for relief efforts
3. Afghanistan (2018): India sent 1.7 lakh tonnes of wheat and 2,000 tonnes of Chana Dal to help combat severe drought.

Impact of Act East Policy

Over the past 10 years, the Act East Policy has positioned India as an active and influential player in Southeast Asia. While the Look East Policy primarily focused on trade, AEP has expanded into a multidimensional strategy that includes diplomacy, defense, connectivity, and culture. PM Modi’s frequent engagements, high-profile summits, and strategic partnerships have strengthened India’s presence in the Indo-Pacific, making India not just a participant but a leader in regional affairs.

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TAGGED:act east policy modiact east policy pm modimodi act east policypm modi act east policypm modi ASEAN
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