India’s Increasing Strategic and Economic Heft

The global influence an emerging nation is shaped by a number of factors: political economic, strategic, cultural and others. However, strategic influence and economic heft of a nation are two important pillars of its global rise. It seems India has played it cards well in last one decade or so. India has well-articulated its strategic, economic and soft power resources to make a mark in the global affairs. It has emerged as front runner claimant for permanent seat in horse shoe table of Security Council, evolved as a stabilizing force in global politics, emerged as the fifth largest global economy in 2023, developed robust infrastructure for economic growth,  well placed as global hub of soft power and digitalization,  made new forays in space and nuclear technology and harnessed her soft power by organizing such mega events like G-20 and SO summits in 2023 and by making claims that India is the mother of democracy. The cumulative effect of all these developments in last one decade has gained the impression that India has arrived on the global scene as never before.  This paper aims to trace the trajectory of two pillars of India’s rising story namely her strategic and economic heft in last one decade.

A. Consolidation of India’s Strategic Heft

India’s strategic heft has been consolidated in last one decade with number of new developments and approaches. This has been documented and recognized by many scholars (Kumar: 2023).

1. Proactive Strategic Response– In her foreign policy and diplomatic response, India is no more defensive and reactionary. It is proactive and assertive in defending her vital strategic interests.  India has been facing serious problem of cross border terrorism in Jammu and Kashmir, with Pakistan playing hide and seek game. In response to such grave events, like Pathankot and Uri terrorist episodes in 2016, India launched its first surgical strike inside in POK inside Pakistan in September, 2016. Second such occasion came in 2019 following Pulwama terror strike, when India launched second surgical strike at Balakot which is a deep inside terror training camps. This attested India’s policy of zero- tolerance to terrorism. India has drawn a red line with Pakistan that till cross-border terrorism is not contained; there will be no negotiations to normalize the relations between the two countries. India has proactively raised the issue of terrorism at various bilateral and multilateral forums. India has also taken legal and other measures to address the challenge posed by foreign based insurgents and terror groups.

India’s proactive and assertive approach is well displayed in her dealing with China. In 2017 during Doklam episode, India deployed her force to repel China’s military advances from this strategically important area. Doklam, a territory of Bhutan located at tri-junction looks over India’s strategic Siliguri corridor, only highway to connect India’s North-East with mainland. Again, when China, following expansionist policy encroached upon border areas in eastern Ladakh in April, 2020, India’s response was bold and straightforward. India quickly mobilized nearly 50,000 strong force and advance weaponry to defence her territory from foreign encroachment. A number of diplomatic and military level talks have been held between the two countries, but full solution is yet to be agreed. China, following her ‘Salami slicing’ strategy wants to place border encroachment issue in the back burner and normalize relations with India in other areas. But India has categorically conveyed to China many times that till border impasse is not resolved and ante-April, 2020 situation is not maintained at the Line of Actual Control, no normalization of bilateral relations is possible.

India has also addressed proactively the criticism regarding her human rights record, functioning of democracy, treatment of minority, freedom of expression, treatment of foreign funded NGOs, arising from the US and other European countries. The US Commission on International Religious Freedom (UCIRF), government funded agency has often alleged that protection of religious minorities is not robust in India and placed India in the category of ‘country of particular concern’. India’s has termed USCIRF report as ‘biased, political agenda’ (TOI: 2024). India has countered all such allegations as interference in her internal affairs. India has also called on those countries which harbor anti-India elements. Such elements have safe harbor in US, Canada, Australia and UK.

In brief, India of 21st century is no more defensive, but she is proactive, bold and assertive in her diplomatic approach.

2. Balancing Force and Strategic Autonomy

While the world is rife with many armed conflicts and issues, India has emerged as a balancing force in global affairs. This balancing approach requires a large measure of strategic autonomy, which has emerged as the core principle of India’s foreign policy in recent years. Amidst Russia Ukraine war since February, 2022, the US and other NATO members  imposed a number of economic and military sanctions against Russia. The prolonged war has not only led to sharp polarization between Russia and the West, but it has posed challenge to global food and energy security as both warring nations are suppliers of food grains and energy. However, India adopted a balanced approach. It called for peaceful resolution of conflict by negotiations. In order to protect her vital interests with Russia, India maintained strategic autonomy and has not criticized Russia for aggression. In spite of opposition from the Western countries, India continued to import cheap oil from Russia. But India did not fail to restrain Russia when the Indian PM Modi reminded Putin that it is not a time for war.

India’s balancing Approach is equally visible in the Gaza war, which has again polarized Arab countries and the US and his close ally Israel. While India still supports the cause of an independent state of Palestine as the final solution, it has not minced in criticizing the terror attack by Hamas in Israel in October, 2023. This explains the selective voting of India in the United Nations on this issue. While Iran and Israel are at loggerheads, India maintains close ties with both. In brief, in this conflict ridden and polarized world, India’s balanced approach has elicited positive response from many quarters.

India’s balancing approach has a golden time finalization of during G-20 Summit declaration in September, 2023. There were deep differences between China and Russia on the one side and the western countries on the other about the reference of Ukraine war in the G-20 declarations. Western countries wanted to blame Russia for aggression against Ukraine by reference of Ukraine war in G-20 declaration. But Russia and China insisted that G-20 is an economic forum were contentious political issues should be avoided. Indian diplomatic skill has golden time when it succeeded in bridging the gap between the two sides and the G-20 Declaration was issued by consensus of all, which was a remote possibility as was seen during the preparatory days of the Summit.

3. Net Security Provider in the Indian Ocean

India is a major power in the Indian Ocean, due to her geographical and strategic location in this Ocean. Even the Indian Ocean derives its name from India. Indian Ocean is plays critical role in India’s security and development. It is source of strength as well as challenges. With the withdrawal of major powers like US and UK from the Indian Ocean, the rivalry between India and China has become a new normal. This is well illustrated by many scholars including C. raja. Mohan (Samudramanthan). Also, India Ocean is faced with many old and new challenges like piracy in the Somali coast, and Yemen based Houthi operations in 2023-24 threatening freedom and security of navigation; terrorism and organized crimes; environmental pollution; and natural disasters among others.

Amidst these challenges, India has emerged as a net security provider in the Indian Ocean from west to east. India deployed its naval force in the Arabian Sea to address the challenge posed by Somali pirates and took them to task on many occasions. During Gaza conflict, Yemen based Houthis rebels have posed significant threat to maritime security by targeting merchant ships in the region around the Red Sea. In December 2023, Indian Navy launched Operation Sankalp to address this challenge. During first 100 days of this Operation till 24 March, 2024, the Indian Navy has responded to 18 incidents and has played a pivotal role as the ‘First Responder’ and ‘Preferred Security Partner’ in the Indian Ocean Region. The naval ships, aircraft and Special Forces have demonstrated an unflinching resolve to ‘secure the seas’ and protect the maritime community from various non-traditional threats present in the region. Based on the threat assessment in the region, the Indian Navy is conducting maritime security operations in three areas of operations viz Gulf of Aden and adjoining areas, Arabian Sea and off the East Coast of Somalia. This Operation  involved deployment of over 5000 personnel at sea, over 450 ship days (with over 21 ships deployed) and 900 hours of flying by the maritime surveillance aircraft to address threats in the maritime domain (PIB: 2024).

          India’s Maritime strategy involves strengthening both global strategic partnerships in the in Indian Ocean Region (IOR) through various mechanisms like Security and Growth in the Region (SAGAR), Colombo Security Conclave, Indian Ocean Rim Association (IORA) and QUAD among others. Colombo Security Conclave, launched in 2011 is a forum for tripartite maritime security cooperation among India, Sri Lanka, and Maldives. Later Mauritius has also joined this initiative. Thus, India has successfully projected its image as a net security provider in the IOR.

4. Defence Technology and Exports- Over the years India has made various breakthroughs in defence technology like building its first indigenous Aircraft Carrier, deploying regional satellite navigation, first indigenous fighter jet Tejas, and ICBM Agni-V among other. Though India still continues to be the importer of advanced weaponry (largest defence importer in the globe during 2018-23) like fighter jet and submarines, drones and reconnaissance system, she has also made significant marks in defence export in last ten years. The defence exports increased 31 times since 2013-14 to reach 21000 crores in 2023-24 (The Hindu: 2024; PIB: 2024a) and 38000 crores in 2025-26. The target is to increase to Rs 30000 crores in 2030. The profile of defence exports have diversified and expanded. The major defence items being exported are Personal Protective items, Offshore Patrol Vessels, ALH Helicopter, SU Avionics, Bharati Radio, Coastal Surveillance Systems, Kavach MoD II Launcher and FCS, Spares for Radar, Electronic System and Light Engineering Mechanical Parts etc (Ministry of Defence, GOI:2024). In a first, India has recently supplied advanced Brahmos Missile to Philippines (2024), Vietnam(2025)and Indonesia (2026) and Pinaka field guns and Akash missiles to Armenia.

5. Increasing Bilateral and Multilateral Strategic Engagements- In last one-decade India’s bilateral and multilateral strategic engagement have also witnessed a swing, enabling her to play larger role in global affairs.  India has consolidated her strategic position in her northern, eastern and western parts of the world. India joined Quad in 2017 along with Japan, Australia and the US; which aims to ensure open and free Indo-Pacific. India’s Act East policy is a text book example of success. India joined SCO in 2017 to play larger role in Central Asia. The first ever SCO summit in India was held in July, 2023. Under her Look West Policy, India has developed close strategic ties with Israel, UAE, and Saudi Arab since 2016.  Indian PM Modi made historic visit to Israel in 2017, the first by any Prime Minister (Mishra: 2019) and second historic visit in 2026. India has displayed her Arctic ambition through her new Arctic policy in 2022 focusing on research, economic resources and connectivity. Indian Diaspora has earned laurels for India by their hard work and innovation in other countries. They contribute $11 billion remittances in 2022, which is highest in the world. The hosting of G-20 in September, 2023 was the high point of India’s global engagement, diplomatic outreach and soft power. India’s bilateral relations with major powers like the US, France, Australia Japan, South Korea have improved during this period. India has emerged a key player in global climate change and trade negotiations representing the cause of Global South. India has emerged as undisputed leader of Global South with push to make African Union as member of G-20. India MP Modi has received 35 international honours from different countries till the July, 2026.

B. Emergence of Economic Heft

1. Atmanirbhar Bharat: A Self-Reliant Economy– The first phase of economic reforms was launched in 1991, pushing growth and integration of Indian economy with global economy. During the last one decade, the focus has been from ‘Made in India’ to ‘Make in India’ which aims at making India self-reliant in producing core goods and services. The government has launched Production Linked Incentive (PIL) Scheme in 2016 to attract foreign investors and develop production base in India. The scheme covers some 14 key sectors like EV batteries, Chip manufacturing, mobiles, auto components, Pharmaceuticals etc. It aims to create national manufacturing champions and to create 60 lakh new jobs and an additional production of 30 lakh crore during next 5 years (Invest India: 2024). Besides, India has developed robust digital public infrastructure and connectivity infrastructure though many initiatives like Bharatmala, Golden Quadrilateral, and East and West Dedicated Freight Corridors, support of Starts up for innovation among others. These measures are likely to attract foreign investment, boost trade, create more jobs and help India to realize the goal of $5 trillion economy.

2. Supply Chain Security- In the wake of Covid-19 pandemic, the weakness of global supply chain was revealed. China as manufacturing hub of the world has raised doubt about making strategic use of supply chains during conflict. Hence India along with other partners like Japan, US and Australia have come forward to take collective measures to ensure robustness of global supply chains. The stability of global sup-ply chain is priority areas for many global forums like Quad and G-20. India has signed agreements with Australia and Argentina to ensure the mining supply of lithium, which is the critical mineral for modern electronic industry. India has reformulated its mining policy in 2023 to ensure the production and supply of key minerals for her the growth of her modern economic sectors.

3. Pursuing High Technology Areas- India has made proactive moves in frontier areas of science and technology, which provide base for growth and global power both. India last one decade, India has launched number of high technology missions: Green Hydrogen Mission, 2022, National Semiconductor Mission, 2022, Deep Ocean Mission, 2021, National Quantum Computer mission, 2023 and AI Mission in 2024, among others. These missions will take India in the forefront of high technology areas. Besides, India has strengthened bilateral cooperation with leading countries like US, Japan, France and South Korea, Israel in recent years. India and the US have jointly launched Initiative on Critical and Emerging Technologies (iCET) in January, 2023 to cooperate in the development of technology in six areas:  AI, Defense technology and  industrial cooperation, Innovation Ecosystems, Semiconductor ecosystem development, human spaceflight, and 5G and 6G technologies (Carnegie India: 2024). During Modi’s February 2025 visit to the US, the iCET has been expanded in to ambitious scheme called TRUST (Transforming the Relationship Utilizing Strategic Technology). India’s forays into frontier areas of critical and emerging technology will provide technological sinews for her economic growth and strategic heft.

India has launched dedicated missions for the promotion of Semiconductors (2021) Quantum Technology (2023), AI (2024), and National mission on Critical Minerals (2025). India has been promoting the safe use of AI for the development as well as its global regulation. For this purpose, India also organized AI Impact Summit in February, 2026.

4. Mega Connectivity Projects- India has reiterated at many levels the importance of connectivity in the economic development. Besides domestic push to connectivity infrastructure, India is also participating in many regional and global connectivity projects.  Some of these projects are: Chabahar Port project with Iran and Afghanistan singed in 2016 to enable India access to Afghanistan and Central Asia, India-Myanmar-Thailand Trilateral high way linking India with larger South-East Asia with land route; Kaladan Multimodal Project linking Mainland India with its North East in Mizoram through Sittwe Port and Kaladan river in Myanmar; India-Myanmar-Thailand Trilateral Highway; Chennai- Vladivostok Maritime Highway linking India’s Chennai with far east of Russia and further to proposed Arctic Sea route; International North-South Transport Corridor (INSTC) linking Moscow with Mumbai through Iran, Caspian sea and Central Asia; and IMEEC or India Middle East- Europe economic Corridor. The IMEEC proposed during G-20 Summit in 2023, which proposes alternative to Red Sea route as it pass though UAE, Saudi Arab, and Israel’s Haifa port and enter Greece. This is flagship connectivity project to boost trade and investment in India. This project is termed as new discourse in connectivity (Suri et al: 2024).

Conclusion

 There are a number of factors which contributed India’s global rise in last one decade. However, the strategic and economic factors played a lead role in this journey in last one decade. Strategically, India has become more proactive, assertive and engaging in her diplomatic approach. It has emerged as a balancing force in global conflicts. In last one decade, it has displayed it ability and desire to play the role of net security provider in the Indian Ocean Region. India has expanded and diversified her interest and reach in east Asia, Central Asia, Africa, Middle East, Europe and America. India’s economic and technologic growth has also matched with India’s rising global profile. Though the target of $5 trillion economy is yet to be realized, the goal of Atmanirbhar Bharat, India has pushed economic and technological frontiers in all direction. The G-20 summit was a milestone in displaying India’s strategic, economic, technological and soft power potential. Moreover, India is not looking back. Thus, India’s strategic and economic heft indicates that India is poised to make her stamp on the global arena as never before.

REFRENCES

Carnegie India (2024) India-US Emerging Technology Group. Carnegie India. Available At: https://carnegieindia.org/specialprojects/indiausemergingtechnologiesworkinggroup?lang=en

Invest India (2024) Production Linked Incentive (PIL) Scheme in India. Invest India. Available At: https://www.investindia.gov.in/production-linked-incentives-schemes-india

Kumar Sandeep (2023) India’s Geopolitical Rise in Context: Regional Implications. Atlantic Council, 22 may 2023. Available At: https://www.atlanticcouncil.org/blogs/southasiasource/indias-geopolitical-rise-in-context-regional-implications/

Ministry of Defence, GOI (2024) Defence Exports. Available At:  https://www.ddpmod.gov.in/defence-exports

Mishra, Jitendra Nath (2019) Looking West: India’s relations with West Asia. MEA, GOI. Available At: https://fsi.mea.gov.in/distinguished-lectures-detail.htm?865

PIB (2024) INDIAN NAVY’S ONGOING MARITIME SECURITY OPERATIONS (‘OP SANKALP’) 14 DEC 23 TO 23 MAR 24. PIB 24 March, 2024. Available At:https://pib.gov.in/PressReleaseIframePage.aspx?PRID=2016201#:~:text=Today%2C%2023%20Mar%202024%2C%20marks,in%20the%20Indian%20Ocean%20Region.

PIB (2024a) Defence exports touch record Rs 21,083 crore in FY 2023-24. PIB 01 April, 2024. Available At: https://pib.gov.in/PressReleaseIframePage.aspx?PRID=2016818

Suri, Navdeep et al (2024) India-Middle East-Europe Economic Corridor: Towards a New Discourse in Global Connectivity. ORF Special Reports, 09 April, 2024. Available At: https://www.orfonline.org/research/india-middle-east-europe-economic-corridor-towards-a-new-discourse-in-global-connectivity

The Hindu (2024) India’s defence exports crossed all-time high of 21,000 crore: Rajnath. The Hindu 02 April, 2024. TOI (2024) ‘Biased, political agenda’: MEA slams USCIRF report on religious freedom in India. TOI, 02 may, 2024. Available At: https://timesofindia.indiatimes.com/india/biased-political-agenda-mea-slams-uscirf-report-on-religious-freedom-in-india/articleshow/109787663.cms

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