INDIA’S MIXED PERFORMANCE IN THE ASIA POWER INDEX

The economic transformation of Asia is profoundly reshaping the global power distribution and consequently influencing global war and peace relations. In this context, the Lowy Institute’s 2018 Asia Power Index conjures a cogent image of the current and future balance of power in the world. It is an analytical tool that ranks 25 countries and territories according to their respective state powers across 8 measures and 114 indicators.

Source: https://power.lowyinstitute.org

 

India’s aspirations to be a global power has been evident in the Modi Government’s attempts to consolidate India’s role in the Asia-Pacific region politically as well as diplomatically. The 2018 Republic Day celebrations in New Delhi saw the coming together of ten ASEAN leaders, as a prolific symbol of India’s “Act East” policy that aims to make the North-East a gateway to India for Malaysia, Thailand, Myanmar and Singapore. However, in order to protect domestic interests vis-à-vis geo-political and security concerns in areas like Kashmir and the South China Sea, India and Bhutan are the only countries to not sign China’s One Belt One Road (OBOR) initiative. India’s “neighbourhood first” approach to foreign policy hinges upon strategically utilizing geographical advantages, shared cultural heritage and economic complementarities for the promotion of regional peace and economic integration.

The country is ranked 3rd in terms of cultural influence and future trends, 4th in terms of economic resources, military capability and diplomatic influence and 5th on the resilience parameter. India owes its cultural influence to its rich cultural heritage, sizeable diaspora and English language media.  While India’s military resources, spending and partnerships (defense consultations, arms procurement and joint training) have fared well in the assessment, a low score (ranked 10th) in terms of defense networks reflects limited military influence, particularly in terms of a poor military-industrial base, subsequent lack of arms transfers as well as limited deployment or force projection capabilities.

India also scored low in economic relationships (ranked 7th) as barring the overall GDP, India performed poorly on most economic indicators like international leverage (6th), connectivity (7th), and technology (14th) due to lack of rupee reserves and transactions, poor productivity and low R&D spending. High dependence on energy and imports of raw materials led to India being ranked 6th in geo-economic security and 11th in economic diplomacy due to paucity of free trade agreements.

Poor scores in institutional stability, or government effectiveness, public health and civil unrest has further hampered India’s performance in the Power Index. Since Asia is fast becoming a polarized hotspot for intensifying security pressures in the military, economic and diplomatic spaces, India must objectively assess its hard and soft power, and effectively integrate both, especially by addressing the crucial strategic gaps that have emerged between India and the Top 2 countries.

 

The economic and military gap between US, China and India:

 

 

The US relies heavily on its military supremacy to sustain its devolving position in Asia. Meanwhile, China is strengthening its economic relationships and strategic agenda (Belt and Road initiative). The current American stance on free trade will force the US to lose its competitive edge over China. It is predicted that by 2030, China will be the most powerful country in the Asia-Pacific region, with a GDP twice of that of the US. However, China’s stature is shaky considering its dependence on energy imports and vulnerability to military and strategic counterbalances from its neighboring countries, given its active territorial and boundary disputes in play with India, Japan, Vietnam and other regions in the South China Sea.

 

India must strategically position itself to contest Chinese economic influence and American military capabilities by using their weaknesses as opportunities for becoming a benign global power. The fact that India lags in terms of its defense networks is especially a matter of concern given the political volatility of the Asia-Pacific region. India’s performance in the Index provides a roadmap of sorts to consolidate its position in the global balance of power by improving its scores and rankings across the multiple indicators, thereby realizing its prophesied potential as a formidable Asian giant.

source https://www.indiaoutbound.org/indias-mixed-performance-in-the-asia-power-index/