Connectivity and Northeast India

Abstract

The North Eastern Region (NER) of India is the bridgehead of India’s connectivity with Southeast and East Asia. The NER is also central to India’s Act East Policy (AEP). The reality is that the NER suffers from economic isolation. The absence of adequate institutional and physical infrastructure, both national and international, coupled with political disturbances and insurgency in part have slowed down the NER’s development process. Nevertheless, given its strategic location, the NER can be developed as a base for India’s growing economic links, not only with Southeast Asia but also with Bangladesh and China. Stronger connectivity across the NER may build a stronger network of cross–border production chains, particularly with Southeast Asia and Bangladesh. The present institutional linkages are no doubt improving, but these have to be strengthened further to support the connectivity projects between India and Southeast Asia. Once connectivity projects start attracting investment, engages into the development of the region and improves the quality of life of the local people through generation of employment and reduction of poverty, it becomes a truly public good and then turns to be an economic corridor. This article analyses NER’s connectivity structure, discusses the challenges and presents a way forward to strengthen its linkages with the neighbouring countries.