After the surgical strike on the economy by the demonetisation of Rs 500 and Rs 1000, Prime Minister Narendra Modi has successfully deployed foreign policy as a tool to create global confidence in India’s economy.
“There’s been a very overt attempt to use foreign policy as a tool for domestic economic growth,” said Harsh Pant, a professor of international relations at King’s College London. “There is a significant shift in the way India is engaging the world.”
“Modi’s success in spurring foreign investor interest has given him room to pivot and step up his foreign policy focus on Pakistan and China,” said Sasha Riser-Kositsky, an Asia analyst with political risk firm Eurasia Group.
Modi, has traveled the world meeting the company chiefs who could invest in India, and forged closer defense ties with the U.S., Russia and Japan. He skipped non-aligned movement summit — the first Indian leader to do so, since a caretaker prime minister didn’t attend in 1979.
As part of his bid to use the foreign policy to aid growth of the country, Modi has instructed diplomats not to send back endless political reports and asked them to focus on promoting Indian businesses, said Lalit Mansingh, a former ambassador to the U.S.
“They realize the benefits of India being with China, the risks of escalating with China,” Sameer Patil, a fellow at Mumbai-based Gateway House said. “He’s calculated his policies accordingly.”
By Premji