India’s Central Asia Pivot: Development Diplomacy in a Shifting Geopolitical Landscape

Why Central Asia Matters Now
The region’s strategic calculus is transforming:
Iran’s SCO-BRICS accession creates alternative connectivity corridors
Taliban’s engagement with China, Iran, and India reshapes Afghanistan’s role
China’s BRI dominance faces resistance over debt sustainability concerns
Russia’s waning influence opens space for new developmental partners

Evolution of India’s Engagement
Phase 1: Post-Soviet Foundations (1991-2012)
Energy imports and security cooperation drove early ties
Strategic pacts with Kazakhstan (2009), Uzbekistan (2011), Tajikistan (2012)
Phase 2: ‘Connect Central Asia’ Policy (2012)
12-point framework emphasizing collective engagement
Goals: Enhance political, economic, and cultural connectivity
Phase 3: Institutionalization (2015-Present)
Modi’s 2015 tour: 22 agreements across 5 CARs
SCO membership (2017) and India-Central Asia Dialogue (2019)
$1 billion LoC for infrastructure/IT/agriculture projects

The Development-Centric Reset
2025 Dialogue Highlights:
Digital Partnerships: Offer of Aadhaar/DigiLocker tech transfers
Healthcare: Technical support for Universal Health Coverage models
Institutional Hubs: Global South Centre of Excellence (DAKSHIN) for knowledge sharing
Business Council Focus: Digital economy, fintech, pharma, and streamlined transit
Connectivity: India’s Enduring Challenge

Obstacles:
Pakistan’s blockade of land routes
Taliban-controlled Afghanistan’s unpredictability

Workarounds in Progress:
INSTC Expansion: Accelerating Iran-Russia corridor (40% faster than Suez)
Chabahar Port: Gateway to Afghanistan’s ring road (Handling capacity: 13M tons by 2027)
Digital Bridges: Proposed digital corridors to bypass physical barriers
Energy & Trade: Untapped Potential
Current Trade: Stagnant at $2 billion (despite uranium imports from Kazakstan/Uzbekistan)
New Opportunities:
Rare earth minerals collaboration
Local currency payment mechanisms
Tourism/education partnerships