India Foreign Exchange

South Asia's Balance of Payments Challenge: The Changing Dynamics of External Balances in South Asia

South Asia remains one of the least integrated regions in the world despite geographical proximity and complementary economic structures. Greater regional trade, improved transport connectivity, cross-border electricity markets, digital payment systems and investment partnerships could substantially reduce external vulnerabilities. 

India's Employment Debate: A Future With Plenty of Work, But Fewer Jobs

Between 2004 and 2023, India produced roughly five million graduates every year, but graduate employment increased by only around 2.8 million annually. Even fewer obtained salaried employment. Millions are either unemployed or working below their qualifications or in the waiting room for the elusive government job. 

How Sri Lanka Missed the Opportunity to Become a 200-billion dollar economy

Policy instability during the 2015-2024 likely pushed back Sri Lanka’s path towards becoming South Asia’s first High-Income Country. The 2022 financial crisis would never have happened as stable growth during the first half of 2015–2024 would have built enough buffer to weather impact of the Covid pandemic 

More on Economy, Trade and Development

A positive shift in India-China relations can be a global changer

In such a scenario, closer engagement with Beijing, does not mean that New Delhi needs to abandon its call for open sea lanes and unhindered movement through the South China Seas, or its support to QUAD, or participate in the naval exercises in the Pacific, or disown His Holiness the Dalai Lama, or break trade and other contacts with Taiwan, to name a few. Each is critical to crafting India's foreign and security policy towards China, the ASEAN, and the Indo-Pacific. 

India poised for a larger role in Trump's foreign policy, Indo Pacific Strategy

Trump's strategic motivations would likely involve promoting a pro-American government in Dhaka, with Modi playing a role in shaping Bangladesh’s political future. This could open up avenues for joint Indo-US ventures in Bangladesh, possibly even enabling American companies to facilitate energy projects connecting Nepal’s hydropower resources through India to Bangladesh.

Why China has high stakes in a Buddhist archaeological site in Afghanistan

China has sought to grab this crucial mining opportunity due to the absence of major power competition in Afghanistan. Beijing's previous efforts were foiled but currently it is the only major power willing to make a bet on the Taliban government. In 2023, the official mining deal was signed between Afghan Deputy PM for Economic Affairs Abdul Ghani Baradar and Chinese Ambassador Zhao Xing. Both view this project as the start of a new era of economic and trade cooperation between the two countries. 

After India-China thaw, Beijing draws Nepal in strategic embrace

Oli is scheduled to China after November 15. The primary discussion will likely be on speeding up the BRI as well as economic cooperation between the two nations. Beijing will do its best to draw Nepal deeper into its strategic sphere and further a joint approach in dealing with India to further China’s national interests. 

Indian and China: Two different paths to economic progress

It is not possible for India to follow the China model of governance of less political freedom and more economic freedom. Yet, the present government may be well advised to implement pending reforms like land, labor, and judicial at the earliest.

Tonga's 'debt trap' illustrative of China's strategic stakes in South Pacific

The debt problem facing Tonga sheds light on the intricate nature of economic reliance and the broader geopolitical landscape in the South Pacific. Concerns regarding geopolitical control in a strategically significant region and the sustainability of debt have been highlighted by China's growing influence, not just in the region but beyond stretching to South Asia

US could play a larger role in shaping Bangladesh's future trajectory

This visit was strategically important for both the US and Bangladesh. For the US, it was an opportunity to solidify its presence in South Asia at a time when the region is becoming increasingly important in the broader context of US-China competition. Bangladesh, situated at the crossroads of South and Southeast Asia, plays a crucial role in the Indo-Pacific region.

Indian states have growing stake in a Free and Open Indo Pacific

India’s ties with South Korea, Japan and Taiwan which have grown in recent years have become even more important in the context of the current geopolitical and economic situation in the Indo-Pacific. India would also want to be one of the beneficiaries of the China+1 strategy being followed by many companies in East Asia. 

Pakistan needs to play a larger role in the geopolitics of the Indian Ocean

The evolving Indo-Pacific strategy, led by the United States, has added a new layer of complexity to the geopolitics of the Indian Ocean. As the U.S. and its allies seek to counter China's influence in the region, India has emerged as a key partner in this strategic framework. However, this realignment has implications for regional stability, particularly for Pakistan

The Quad remains relevant in upholding Indo Pacific security

Quad does create an overarching arc of stability in the region, checking the expansion capacity of Beijing, which will in turn boost India’s regional ambitions that are mutually aligned with the Quad’s objectives.

Modi visits to Brunei, Singapore show India's commitment to Indo Pacific engagement

Modi marked a new chapter in his strategic geopolitical moves over the past few months since the start of his third term with visits to the region and to Ukraine. All these marked a new frontier for India’s power projection while sending a clear message to allies and adversaries that New Delhi has its own bargaining chips in pursuance of its strategic neutrality while ensuring the best returns for its national security and international interests.

With increased militarisation, is a PLA demobilisation possible in Ladakh?

Vacating the Kailash Range without linking it to PLA withdrawal from Depsang-Demchok was a strategic blunder, proving how easily China cons our negotiators. Our political hierarchy wouldn't know how poorly this decision was viewed by our units/soldiers

How China-inspired democratic model empowering Sri Lanka's local communities

Sri Lanka’s TEPES and PEC share many similarities with China’s whole-process democracy. Both nations are working closely to exchange experiences and collaborate on the implementation of these systems in Sri Lanka.  

‘Axis of Upheaval’: China, Russia-led coalition threatens West-led global order

First, Russia is engaged in a war that marks Putin's point of no return in his effort to undermine NATO and the West—particularly the U.S.—pursuing a long-term confrontation. To better position Moscow for this conflict, Putin has effectively doubled down on relations with like-minded partners - China, Iran, and North Korea.

US sanctions three Chinese companies for aiding Pakistan’s ballistic missiles programme

China-based  Hubei Huachangda Intelligent Equipment Company, Universal Enterprise Limited, and Xi’an Longde Technology Development Company Limited (also known as Lontek) are sanctioned for having “knowingly transferred equipment and technology” to Pakistan, which is not a member of the Missile Technology Control Regime (MTCR) group, Miller said.