Key Outcomes of the 21st ASEAN-India Summit 2024

What’s in today’s article?

• Why in News?
• What is ASEAN?
• India’s relationship with ASEAN
• Key highlights of the 21st ASEAN - India Summit
• Joint Statement on Advancing Digital Transformation: Key Highlights

Why in News?

The 21st ASEAN-India Summit, held on 10 October 2024 in Vientiane, Lao PDR, marked a decade of India’s Act East Policy. PM Modi participated for the 11th time, joining ASEAN leaders to assess the ASEAN-India Comprehensive Strategic Partnership and to shape future cooperation.

What is ASEAN?

• About
  • The Association of Southeast Asian Nations (ASEAN) is a regional grouping that aims to promote economic and security cooperation among its ten members: 
    • Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam.
      • Timor-Leste joined the ASEAN in 2022 as an Observer. ASEAN has agreed in principle to accept Timor-Leste as its 11th member.
  • ASEAN countries have a total population of 662 million people and a combined gross domestic product (GDP) of $3.2 trillion as of 2022.
  • ASEAN has an anthem, a flag and biannual summits (twice a year) with a rotating chairmanship.
• Establishment: 
  • It was established on 8 August 1967 in Bangkok, Thailand, with the signing of the ASEAN Declaration (Bangkok Declaration) by the founding fathers of ASEAN: Indonesia, Malaysia, Philippines, Singapore and Thailand. 
• Aim
  • The motto of ASEAN is “One Vision, One Identity, One Community”.
• Secretariat
  • ASEAN Secretariat is located in Jakarta, Indonesia.

India’s relationship with ASEAN

• ASEAN and Act East Policy
  • ASEAN is central to India’s Act East policy, which focuses on the extended neighbourhood in the Asia-Pacific region.
• India among the dialogue partners
  • India is part of the ASEAN Plus Six grouping, which includes China, Japan, South Korea, New Zealand and Australia as well.
• Trade and Investment
  • In 2010, India-ASEAN FTA in goods were signed. FTA in services were signed in 2014. 
  • India and ASEAN are important trading partners, with ASEAN accounting for 11% of India's global trade. 
  • In 2023-24, bilateral trade between the two sides was $122.67 billion.
    • India has a trade deficit with ASEAN, exporting $41.21 billion worth of merchandise to ASEAN states in 2023-24, while importing $79.67 billion.
• Institutional cooperation
  • India – ASEAN summit-level partnership in 2002;
    • The year 2022 marked 30 years of ASEAN-India relations and it was designated as ASEAN-India Friendship Year.
  • Ties were elevated to a strategic partnership in 2012 and Comprehensive Strategic Partnership in 2022.
  • India and ASEAN have strengthened defence cooperation by the ASEAN Defense Ministers’ Meeting Plus (ADMM+).
  • The first ASEAN-India Maritime Exercise (AIME)was held in 2023.
• Promoting Tourism and People-to-People Ties
  • 2025 designated as ASEAN-India Year of Tourism to boost socio-economic development.
  • Implementation of ASEAN-India Tourism Cooperation Work Plan 2023-2027.

Key highlights of the 21st ASEAN - India Summit

• PM Modi’s Address: Focus on ASEAN Unity and Economic Growth
  • PM Modi reiterated India’s unwavering support for ASEAN Unity, ASEAN Centrality, and the ASEAN Outlook on the Indo-Pacific. 
  • Calling the 21st century the "Asian century," he stressed the importance of India-ASEAN ties in shaping Asia's future. 
  • Key achievements in the last decade include:
    • Doubling of India-ASEAN trade to over USD 130 billion
    • Direct flight connectivity with seven ASEAN nations
    • Fin-tech collaboration and restoration of shared cultural heritage
    • Scholarships for ASEAN youth at Nalanda University
  • PM also highlighted the need for a timely review of the ASEAN-India Free Trade Agreement (AITIGA) to unlock greater economic potential.
• 10-Point Plan for Enhanced Connectivity and Resilience
  • In line with the Chair’s theme of "Enhancing Connectivity and Resilience," PM Modi unveiled a 10-point plan, including:
    • Celebrating 2025 as ASEAN-India Year of Tourism with USD 5 million for joint activities
    • Marking a decade of the Act East Policy with people-centric activities like Youth Summits and Start-up Festivals
    • Organizing the ASEAN-India Women Scientists Conclave
    • Doubling scholarships at Nalanda University and adding new ones at Indian agricultural universities
    • Reviewing the ASEAN-India Trade in Goods Agreement (AITIGA) by 2025
    • Allocating USD 5 million to enhance Disaster Resilience
    • Initiating a Health Ministers’ track to build health resilience
    • Establishing an ASEAN-India Cyber Policy Dialogue
    • Hosting a workshop on Green Hydrogen
    • Launching the ‘Plant a Tree for Mother’ campaign to promote climate resilience
• Future Plan of Action (2026-2030) 
  • Leaders agreed on the creation of a new ASEAN-India Plan of Action (2026-2030) to further the partnership. 
• Two joint statements were adopted
  • Joint Statement on Strengthening ASEAN-India Comprehensive Strategic Partnership for Peace, Stability, and Prosperity in the Indo-Pacific
  • Joint Statement on Advancing Digital Transformation, recognizing India’s role in digital public infrastructure

Joint Statement on Advancing Digital Transformation: Key Highlights

• Strengthening ASEAN-India Partnership
  • The ASEAN member states and India reaffirmed their commitment to deepening the ASEAN-India Comprehensive Strategic Partnership, with a focus on advancing digital transformation and inclusive growth.
• Importance of Digital Public Infrastructure (DPI)
  • India’s contributions to ASEAN Digital Masterplan 2025 and Centers of Excellence in Software Development were appreciated.
• Financial Technology (FinTech) Collaboration
  • The partnership seeks to expand collaboration on FinTech innovations, especially through cross-border payment systems and digital financial solutions.
• Cybersecurity Cooperation
  • Both parties supported the establishment of the ASEAN-India Cyber Policy Dialogue to bolster the resilience and security of digital infrastructure.
• Artificial Intelligence (AI) Collaboration
  • The Joint Statement called for collaboration in AI to develop skills, infrastructure, risk management frameworks, and responsible policies. 
  • Focus areas include upskilling and reskilling the workforce and promoting trustworthy AI systems.
• Capacity Building and Knowledge Sharing
  • Capacity building and knowledge-sharing initiatives will be fostered through regular exchanges, workshops, and training programs under the ASEAN-India Digital Ministers’ Meeting to support digital transformation efforts.
• Sustainable Financing and Investment
  • India and ASEAN agreed to explore innovative financing mechanisms, including public-private partnerships and international funding to support digital initiatives. 
  • The ASEAN-India Fund for Digital Future will initially fund these activities.

Q.1. What was the key focus of PM Modi’s address at the 21st ASEAN-India Summit? 

PM Modi emphasized ASEAN unity, economic growth, and enhancing digital collaboration, with a 10-point plan focused on connectivity, resilience, and future cooperation.

Q.2. How does the ASEAN-India partnership contribute to digital transformation? 

The partnership supports collaboration in financial technology, cybersecurity, and AI, along with capacity building and knowledge sharing, aiming for inclusive digital growth in both regions.

Source: PM Modi unveils 10-point plan to strengthen India-ASEAN relations |MEA | Ministry of External Affairs