India-Central Asia Relations: Framework, History, and Mutual Interests

Understanding the Framework for India-Central Asia Relations

The framework for India-Central Asia relations encompasses high-level dialogues, bilateral meetings, and collaborative efforts across various sectors. A key component of this framework is the India-Central Asia Dialogue, which was inaugurated in 2019 and has played a pivotal role in reinforcing strategic ties. This dialogue addresses critical areas such as security, trade, investment, technology, energy, and people-to-people connections.

Moreover, India’s Connect Central Asia Policy, established in 2012, aims to deepen relationships with the region through a structured and comprehensive approach.

A Brief History of India-Central Asia Relations

The history of India’s relations with Central Asia dates back to the ancient Silk Route, which facilitated trade, cultural exchanges, and shared knowledge. Following the independence of Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan, and Uzbekistan from the Soviet Union in the 1990s, India established diplomatic relations with all five nations. Over the decades, India has strengthened its economic and security ties through cultural diplomacy, educational exchanges, and technical assistance programs.

Key Mutual Interests Between India and Central Asia

• Counter-terrorism cooperation: Joint efforts to combat extremism and terrorism are crucial, especially given threats from the Af-Pak region.
• Trade and investment: Initiatives are in place to enhance bilateral trade, promote infrastructure investment, and improve banking cooperation.
• Connectivity initiatives: Utilizing the International North-South Transport Corridor (INSTC) and the Chabahar Port in Iran aims to improve logistics and lower trade costs.
• Energy partnerships: Collaborating on oil, gas, and renewable energy is vital, considering Central Asia’s abundant resources and India's increasing demand.
• Cultural ties and capacity-building: Promoting cultural exchanges, education, and technical cooperation is essential for mutual growth.

Current Issues Shaping India-Central Asia Relations

The partnership between India and Central Asia is influenced by several emerging challenges and opportunities:

• Terrorism and security threats: Both Central Asian states and India share significant concerns regarding terrorism, particularly due to instability in Afghanistan and cross-border threats from the Af-Pak region.
• Connectivity gaps: The absence of a direct land border necessitates reliance on transit through third countries, such as Iran (Chabahar Port) and Russia, which adds to costs and logistical challenges.
• Economic volatility: Global economic uncertainties, including fluctuating energy prices and supply chain disruptions, affect trade and investment decisions.
• Need for trade diversification: India aims to expand trade in national currencies with Central Asian nations to reduce reliance on external currencies and enhance bilateral trade.
• Technological collaboration and digital platforms: Both regions are exploring digital payment systems and trade facilitation platforms to streamline cross-border commerce.
• Competition from other regional powers: China's Belt and Road Initiative (BRI) has a significant presence in Central Asia, creating a competitive landscape for India's strategic and economic outreach.

Recent High-Level Meetings and Their Focus

During the fourth edition of the India-Central Asia Dialogue, External Affairs Minister S. Jaishankar engaged with his counterparts from Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan, and Uzbekistan. The discussions emphasized:

• Joint efforts to combat terrorism and reaffirming support against extremism.
• Strengthening trade and investment through cooperative frameworks, including the settlement of trade in national currencies.
• Boosting energy security and development cooperation, with a focus on new energy projects.
• Enhancing digital platforms for payments and mutual trade to lower transaction costs and increase economic resilience.
• Reaffirming support for regional peace and stability to foster economic growth and security.

Conclusion

In the ever-evolving global order, proactive diplomacy and shared development goals are the cornerstones of peace and prosperity.