Context:
The global order is undergoing transformation due to rising geopolitical competition, weakening multilateral institutions, and the strategic rivalry between the United States and China. In this evolving environment, India may need to reframe its foreign policy priorities to align with the vision of Viksit Bharat 2047.
Key Highlights:
- Changing Global Order
- Prime Minister Narendra Modi highlighted in the Rajya Sabha that the global geopolitical environment is rapidly evolving.
- The shift is marked by:
- Erosion of multilateral institutions
- Growing US–China rivalry
- Emergence of new geopolitical alliances and economic blocs.
- Challenges to Strategic Autonomy
- India traditionally followed strategic autonomy, allowing it to maintain independent foreign policy decisions without alignment with major powers.
- However, rising geopolitical competition has constrained India’s policy flexibility.
- Impact of U.S.–China Rivalry
- The United States seeks to prevent the emergence of another China-like economic power.
- India’s projected rise as the world’s third-largest economy may shape U.S. strategic calculations.
- This creates both opportunities and challenges for India.
- Declining Multilateral Cooperation
- The U.S. withdrawal from several UN institutions and its blocking of WTO dispute settlement mechanisms have weakened global governance.
- Increasing unilateral tariffs and trade restrictions affect India’s trade prospects.
Relevant Prelims Points:
- Multilateralism
- International cooperation involving multiple countries working together through institutions and agreements.
- Examples include United Nations (UN), World Trade Organization (WTO), IMF, and World Bank.
- Strategic Autonomy
- Policy principle enabling a country to make independent foreign policy decisions without external influence.
- Rooted in India’s Non-Aligned Movement (NAM) legacy during the Cold War.
- BRICS
- Economic cooperation grouping of Brazil, Russia, India, China, and South Africa.
- Recently expanded to include new members such as Iran, Egypt, Ethiopia, Saudi Arabia, and UAE.
- Focus areas include financial cooperation and global governance reforms.
Relevant Mains Points:
- Challenges for India in the Emerging Global Order
- Weakening Multilateral Institutions
- Reduced effectiveness of WTO dispute settlement system.
- Increasing reliance on bilateral and regional trade agreements.
- Rise of China
- China has created alternative institutions such as:
- Asian Infrastructure Investment Bank (AIIB)
- Belt and Road Initiative (BRI).
- Growing Chinese influence in UN agencies and global governance.
- China has created alternative institutions such as:
- Geopolitical Pressures
- Increasing expectations for India to align with major power blocs.
- Reframing India’s Foreign Policy
- Move beyond traditional strategic autonomy toward a development-centric foreign policy aligned with Viksit Bharat 2047.
Key priorities include:
- Economic diplomacy to support growth.
- Technological partnerships for innovation.
- Trade expansion with Asia and Africa.
- Role of Regional and Global Platforms
- India can leverage BRICS to promote economic cooperation among emerging economies.
- Potential initiatives include:
- Linking digital currencies for cross-border transactions.
- Expanding South–South cooperation.
- Managing Regional Challenges
- India could reframe relations with Pakistan through economic engagement, including:
- Water-sharing arrangements
- Trade and pipeline connectivity initiatives.
- Way Forward
- Strengthen economic and technological diplomacy.
- Diversify strategic partnerships across regions.
- Enhance domestic capabilities in technology, manufacturing, and innovation.
- Actively shape reformed multilateral institutions.
UPSC Relevance:
- GS Paper II – International Relations: Changing global order, India’s foreign policy strategy.
- GS Paper III – Economy: Trade diplomacy, economic partnerships for development.