Exorcise ghosts of the past to reset ties with Dhaka

Not only must New Delhi ignore peripheral noises from both sides of the border, it must leverage the mutual need for stability and show openness to create a balanced and predictable bilateral framework

- Happymon Jacob

The Bangladesh Nationalist Party (BNP)'s landslide victory, coupled with its diplomatic overtures towards India, gives New Delhi an important strategic opening to reset ties with Dhaka, shed the historical baggage of the previous decade, and recalibrate India’s broader neighbourhood policy.

Unburdening our relationship with Dhaka from the ghosts of the past is a strategic must. While the Awami League regime under former Prime Minister (PM) Sheikh Hasina was clearly tilted in favour of India, that tilt came at a huge price—the alienation of Dhaka's opposition and a bilateral relationship tainted by association with deeply unpopular rule. Given that past, engaging the new BNP-led government that has signalled a desire for stable ties is an important opening for a structural reset. PM Narendra Modi’s congratulatory message to Tarique Rahman has set the ball rolling. Dhaka invited PM Modi to attend the swearing in ceremony of Rahman, but in view of his prior appointments, Speaker OM Birla is representing India at the event. Here are six steps to reset relations with the new Bangladesh.

First, economic stability will be the new regime’s priority. The 2024 uprising and the interim administration's suboptimal performance left the economy in a fragile state, marked by sluggish growth, high unemployment, and a troubled industrial sector. To restore investor confidence and stabilise fiscal health, Bangladesh will need to deepen its economic integration with India. New Delhi must leverage this mutual need for stability and show openness to create a balanced and predictable bilateral framework.