In a changing world, it is ‘small tables, big dividends’, Pg6

Key Highlights:

• On January 26, 2026, the EU's institutional leadership will be the chief guest at India's Republic Day parade.
• India aims to leverage diplomatic white spaces through coalitions to shape rules and deliver global public goods.
• India will focus on the India-EU Free Trade Agreement, aiming to strengthen access to Europe and rework value chains.
• As BRICS chair in 2026, India can steer the group towards better use of the New Development Bank and practical toolkits.
• India can leverage the Quad by turning capabilities into services accessible to Indian Ocean littoral states.
• The AI Impact Summit in Delhi in February 2026 is an opportunity for India to bridge differences in AI.

Detailed Insights:

• Bilateral diplomacy will remain demanding, requiring constant attention to the neighborhood and managing friction with major powers like the U.S. and China.
• The India-EU Free Trade Agreement is crucial for India to de-risk its economy, strengthen access to European markets, and gain insurance against potential U.S. trade pressures.
• As BRICS chair, India faces the challenge of defining the group's purpose amidst differing member interests and can steer it towards practical outcomes.
• India needs to balance its engagement with BRICS to avoid anti-West rhetoric and protect its efforts to attract western capital and technology.
• By hosting a Quad leaders’ summit, India can advance its agenda on maritime domain awareness and resilient ports, benefiting Indian Ocean littoral states.
• The G-20 faces strains due to domestic politics and agenda fights, potentially sidelining Global South priorities, highlighting the importance of smaller, functional coalitions.
• India's focus in 2026 should be on turning diplomatic white spaces into working arrangements, emphasizing standards with Europe, functionality with BRICS, and public goods with the Quad.

Key Concepts Involved:

• Diplomatic White Spaces: Gaps in global leadership where no major power takes charge, allowing countries like India to work through coalitions.
• De-risking: Reducing exposure to specific countries or markets to hedge against economic or political instability.
• Global South: Refers to countries in Asia, Africa, and Latin America, often characterized by developing economies and shared historical experiences.