Extraordinary And Plenipotentiary Diplomatist July 19 Edition .

SPOTLIGHT foreign investment. Moreover, India was not happy with the inclusion of China as the observer in SAARC. Thus, India sees BIMSTEC as the best alternative with immense opportunities. experience economic development by establishing connectivity to Bangladesh, Thailand and Myanmar through the Bay of Bengal. The initiative also realizes India’s new economic interests and geostrategic ambition to connect beyond immediate neighbours by connecting the Bay of Bengal to Southeast Asia. At the time when most of the neighbours of India have been part of China’s ambitious Belt and Road Initiative (BRI) for economic development and connectivity around the region, BIMSTEC can be an Indian alternative to BRI. It is signiﬁ cant when SAARC has failed to bring regional cooperation and economic integration due to India- Pakistan rivalry. From the strategic perspective, the Bay of Bengal, a funnel to the Malacca Straits, has emerged a key theatre for China in maintaining its access route to the Indian Ocean Region. China has undertaken a massive drive to ﬁ nance and develop infrastructure in South and Southeast Asia through the BRI in almost all BIMSTEC countries, except Bhutan and India. S i m i l a r l y, B I M S T E C complements India’s ‘Neighbourhood First Policy’ as it provides immense opportunities to its neighbours, who are in the grouping. For Bangladesh, the organization provides an ideal platform to position itself in Asian and global order than just a small state in the Bay of Bengal. To an island nation, Sri Lanka, it oﬀ ers connectivity to Southeast Asia that can provide an opportunity for it to emerge as the subcontinent’s hub for the wider Indian Ocean and Paciﬁ c regions. Landlocked Nepal and Bhutan can have easy access to the Bay of Bengal region to reap high economic growth rate. Myanmar and Thailand can get access to the rising consumer market of South Asia and at the same time, they can balance Beijing and develop an alternative to China’s massive inroads into Southeast Asia. BIMSTEC complements India’s ‘Neighbourhood First Policy’ as it provides immense opportunities to its neighbours, who are in the grouping. For Bangladesh, the organization provides an ideal platform to position itself in Asian and global order than just a small state in the Bay of Bengal. Opportunities With a combined GDP of USD 2.7 trillion, BIMSTEC member countries bring together one-ﬁ fth (22 percent) of the world’s population that live in the seven countries around it. The region has vast untapped natural resources, such as hydro-power, oil and gas. Despite economic challenges, all these seven countries have been able to sustain average annual rates of economic growth between 3.4 percent and 7.5 percent from 2012 to 2016. The region is strategically important as around 25 percent of the world’s trade happens via the Bay of Bengal. India has already invested in India- Myanmar-Thailand Asian Trilateral Highway, the Kaladan Multimodal Transit Transport Project and the BIMSTEC Motor Vehicle Agreement which will transform the movement of goods and vehicles through the member countries. BIMSTEC, which includes ﬁ ve countries from South Asia and two from ASEAN is a bridge between South Asia and Southeast Asia and ﬁ ts best in India’s Act East Policy. During the 20th anniversary speech in 2017, Modi said BIMSTEC connects not only South and Southeast Asia, but also the ecologies of the Great Himalayas and the Bay of Bengal. He said that “For India, it is a natural platform to fulﬁ l our key foreign policy priorities of ‘Neighbourhood First’ and ‘Act East’”. Due to its location and size, the Bay of Bengal has tremendous economic and strategic leverage for India and the member countries. It is a crucial avenue for India to project its naval capabilities at the time when China has made a rapid rise in its naval power and is seeking access to the Indian Ocean. It is economically rewarding for India as it can beneﬁ t immensely through greater regional connectivity. One-fourth of India’s total population inhabit in the four coastal states (Andhra Pradesh, Odisha, Tamil Nadu and West Bengal) along the Bay of Bengal. Similarly, around 45 million Indians are in landlocked Northeastern states who can Challenges In spite of having tremendous opportunities, the Bay of Bengal region is one of the world’s least integrated regions with abysmal levels of trade, connectivity, and cooperation. In fact, it has become less integrated today than they were ﬁ fty years ago. Despite its rising economic potential and geostrategic Extraordinary and Plenipotentiary Diplomatist • Vol 7 • Issue 7 • July 2019, Noida • 27

Extraordinary And Plenipotentiary Diplomatist July 19 Edition . | Page 27