The ‘Neighbourhood First’ policy that started in India from 2014 has had a bipolar impact on its diplomatic and economic relations with the South Asian neighbors.

Positive Impacts:

-Increased Engagement: It brought more interaction of both nations on many matters and encouraged improvement of relations and communication between nearby states.

-Development Cooperation: India has significantly ramped up its levels of development cooperation with neighbourhood countries through a Line of Credit (LOC) facility that supports infrastructure development and funds humanitarian interventions. This enhanced the economic relation as well as peoples’ friendly relations between adjacent countries.

Connectivity Projects: Attraction is enhanced by integration processes that enhance trade and people contact such as the Bangladesh Bhutan India Nepal (BBIN) Motor Vehicles Agreement and Kaladan Multi-Modal Transit Transport Project.
Challenges and Limitations:

This of course throws huge challenges and competition on the geopolitically crucial front in that with China, a regional actor especially emerging powers now in South Asia. Beijing has brought development options of their BRI to neighbors in contrary to those that Delhi wants.

-Internal Issues: The other issues are the domestic political issues and another unresolved regional dispute such us the issue of kashmir with Pakistan and the teesta river sharing with bangladesh hampers bilateral relations.

-Varying Success: The degree of success of the policy is different for each state. Nevertheless, some countries such as Bhutan and Nepal have had good relations in recent past, but there issues regarding some other nations like Pakistan and Bangladesh exist.

-Concerns about Hegemony: Some of the neighboring countries have perceived India to be over-powering them and has tried to control them hence they are making negative remarks.

Overall Assessment:

A major feature on Foreign Policy has been the adoption of the “Neighbourhood First” policy which has seen India take positive steps towards a better working relation with its neighbors. But they are not very effective due to political rivalry the internal issues of countries individual bilateral relations and so on.

– A policy such needs to be context-specific and adaptable to the assorted exigencies and opportunities of each bilateral relationship.
– Trust and confidence among neighbour states are essential for the long-term success of the policy.
– Collaborative addressing of regional issues is inescapable as will be finding joint compelling solutions that can result in sustainable cooperation.