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India’s hits & misses in 2025

Financial Express Mumbai

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January 06, 2026

PRAGMATISM LARGELY DEFINED INDIA'S OUTREACH IN THE NEIGHBOURHOOD IN 2025

- HARSH V PANT ADITYA G SIVAMURTHY Vice-President and Associate Fellow, Neighbourhood Studies, ORF

THE DEATH OF student activist Sharif Osman Hadi has once again plunged Bangladesh into chaos. Violent mobs rallied on the streets, threatening the safety of Indian missions and officials, and accusing Delhi of being complicit in the assassination. The latest development demonstrates a growing concern in India's neighbourhood, but it also overshadows India's fair share of success and limitations throughout the year. In 2025, India walked the talk on its "Neighbourhood First" policy, particularly through its pragmatic engagement, connectivity initiatives, and development assistance. However, it has had mixed success in leveraging its influence. This year, Delhi's policy of isolating Pakistan also witnessed a setback.

Pragmatism largely defined India's outreach in the neighbourhood. Of Prime Minister Narendra Modi's nearly 20 international visits, three were in the region (Bhutan, Maldives, and Sri Lanka). PM Modi visited Bhutan, despite the terror attacks in Delhi a day before his visit. India also continued engaging with the government of the day, even when certain leaders or parties had been critical of India or detrimental to India's interests. With the Maldives, the focus was on implementing the economic and maritime security partnership vision launched in October 2024. In Sri Lanka, despite the ruling party's anti-Indian past, India sustained its momentum and connectivity initiatives.

In May, Union External Affairs Minister S Jaishankar held a telephone conversation with his Afghan counterpart, making it the first ministerial-level interaction since the regime change in 2021. Since October 2025, three cabinet ministers from the Taliban visited India, and Delhi upgraded its technical mission in Kabul to an embassy. India was also quick to engage with the interim government in Nepal.

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