Subject: International Relations

India's engagement with Central Asian Republics (CARs) has evolved significantly, driven by shared historical ties and contemporary geopolitical imperatives. The "Connect Central Asia Policy" launched in 2012 marks India's renewed focus on this strategically crucial region.

Diplomatic Relations

• The Fourth India-Central Asia Dialogue (2025) strengthened diplomatic ties through enhanced financial cooperation and connectivity initiatives.
• High-level visits, including External Affairs Minister's visit to Uzbekistan and Kazakhstan in 2021, have resulted in multiple bilateral agreements.
• India's diplomatic outreach focuses on countering China's Belt and Road Initiative (BRI) influence in the region.

Economic Engagement

• Implementation of UPI for cross-border payments demonstrates growing financial integration.
• Focus on developing the International North-South Transport Corridor (INSTC) to enhance trade connectivity.
• Collaboration in sectors like pharmaceuticals, IT, and renewable energy creates mutual economic benefits.
• Investment in Chabahar Port provides strategic access to Central Asian markets, bypassing Pakistan.

Strategic Significance

• Counter-terrorism cooperation through bilateral and multilateral frameworks like SCO addresses regional security challenges.
• Joint military exercises like "KAZIND" with Kazakhstan strengthen defense partnerships.
• Collaboration in fighting drug trafficking and extremism ensures regional stability.
• Strategic partnership in uranium supply from Kazakhstan supports India's nuclear energy program.

Challenges and Way Forward

• Limited connectivity due to geographical barriers and lack of direct access.
• Competition from established players like Russia and China.
• Need for enhanced infrastructure development and trade facilitation.
• Potential for cooperation in emerging sectors like digital technology and green energy.

The evolving relationship between India and CARs represents a crucial pillar of India's extended neighborhood policy. With initiatives like "First Central Asia Summit (2022)" and focus on "pharmaceutical diplomacy" during COVID-19, India is strengthening its position as a reliable partner in Central Asia, contributing to regional stability and multilateral cooperation.