India’s ambition to become a US$30 trillion economy by 2047 is a milestone celebrated as the Viksit Bharat vision, and it cannot be realized through economic growth alone. Foreign Policy and National Security are not just minor or secondary issues but foundational and primary elements that will shape whether this vision is truly achievable. As Vice-President Jagdeep Dhankhar aptly noted, “Economic development cannot take place if we have war-like situations.” This observation puts emphasis on the tight link between national security and sustained economic growth.
India’s current geopolitical challenges are layered and complex. There are persistent cross-border terrorism incidents, such as Operation Sindoor in 2025, which pinpointed India’s Internal Stability. Border clashes with China in recent years, including the Galwan Valley confrontation in 2020, have exposed gaps in military preparedness. Defence Expenditure currently hovers around 1.9% of GDP, a figure insufficient to witness the scale and increase in emerging threats. According to the Stockholm International Peace Research Institute (SIPRI), India remains the largest arms importer globally, underscoring the urgent need to modernize and indigenize defence capabilities. How credible can an aspiring leader be if their security backbone remains dependent on foreign suppliers?
Still, the foreign policy priorities stretch beyond the limits of military preparedness. India’s economic diplomacy is increasingly connected with Technology partnership and trade collaboration with countries such as the US, European member states, and France. They all collaborate on initiatives like the US-India Trade and Technology Council and India-EU Trade and Technology Council, which reflect an understanding that technology is a new currency in the realm of power. Free trade agreements (FTAs) with the UK, Australia, and the UAE aim to mitigate the over-reliance on China-centric values, a vulnerability that the COVID-19 pandemic starkly highlighted.
India’s immediate neighbourhood further complicates the strategic decisions. Smaller South Asian countries, which are now more assertive in their nationalism and sovereignty claims, often perceive India’s influence warily. Concurrently, China’s growing footprint through infrastructure investments and arms sales in Pakistan, Bangladesh, Sri Lanka, and especially Nepal challenges India’s traditional regional leadership. The Union Budget 2025–26 earmarked ₹43.2 billion in aid to immediate neighbours. India is making it clear it wants to maintain influence- but how well it works depends on careful diplomatic balancing.
In the Indo-Pacific, India’s Act East Policy and its role in the Quad show it wants to be a key security player. By modernising its navy and increasing maritime awareness through efforts like the Information Fusion Centre- Indian Ocean Region, India is trying to keep China’s growing assertiveness in check. But these moves also come with risks, getting caught up in big power rivalries, which could further stretch India’s strategic and diplomatic agendas.
India’s ‘Link West’ policy further shows a clear and pragmatic shift. Its strengthening ties with Gulf states, Israel, and infrastructural projects in Iran reflect a move away from a narrow and old Pakistan-centric view of West Asia. These partnerships diversify India’s energy and trade routes but require careful diplomacy amid regional volatility.
On the global stage, at the 17th BRICS Summit, PM Narendra Modi urged greater focus on the Global South in policymaking, highlighting the double standards they face in development and resource distribution. He called for better representation in global institutions, warning they lack credibility without the Global South, likening them to “a mobile phone with a SIM but no network.” PM Modi stressed the failure of these bodies during crises and demanded reforms of the UN Security Council, WTO, and Multilateral Development Banks, saying, “21st Century software cannot run on 20th Century typewriters.
Initiatives like Vaccine Maitri and the International Solar Alliance demonstrate India’s commitment, yet also uniting the very diverse Global South remains an ongoing challenge. If shared histories of colonialism, economic disparity, and climate vulnerability are not enough to build lasting unity, then what deeper, perhaps more urgent, common cause will it take to truly bind these nations together in a collective front?
Three Policy Priorities for Alignment
- Sustain and Strategically Increase Defence Investment
India must acknowledge that its current defence spending does not adequately address the evolving threats. Incremental increases should be coupled with focused modernisation and indigenization to reduce import-related dependence on developed nations. This is essential to deter aggression and maintain internal stability, which are preconditions for economic development. - Deepen Technology and Economic Diplomacy with Risk Assessment
India should expand technology cooperation and diversify trade, balancing economic gains with geopolitical interests. FTAs and digital partnerships need careful structuring to mitigate risks of overdependence and geopolitical backlash. - Pursue Nuanced Regional Engagement and Multilateralism
India must adjust its neighbourhood diplomacy to respect the sovereignty concerns of smaller states while also safeguarding national interests. Strengthening multilateral forums like BIMSTEC and IORA can promote regional stability. Globally, India’s role in pushing for reforms should continue to focus on practical coalition-building to address divisions within the Global South.
Why This Matters to India’s Citizens
For India’s policymakers, business leaders, and citizens, understanding the intersection of foreign policy and development is critical. Economic statistics alone cannot show the vulnerabilities that external instability imposes on investment, supply chains, and trade. A secure and diplomatically stable environment is a prerequisite for sustained growth, job creation, and technological advancement.
Failure to align foreign policy with development goals risks undermining India’s aspirations. Without addressing security deficits and diplomatic challenges, India may face disruptions that could slow down progress or force reactive and costly responses.
A Call to Action
India’s journey to Viksit Bharat by 2047 calls for a foreign policy that is realistic, strategic, and closely linked to economic planning. It demands hard choices, realistic defence spending increases, cautious expansion of strategic partnerships, and nuanced regional diplomacy. Above all, it requires institutional coordination nationally and a long-term vision that transcends electoral cycles.
Only by aligning its development ambitions within a resilient and pragmatic foreign policy framework can India hope to navigate the complexities of a multipolar world. This alignment is not an optional enhancement but an indispensable foundation for the nation’s future.
The clock to 2047 is ticking — and it will not wait for us to get our act together.
