78. Brexit: Opportunities for India-Britain in the Indo-Pacific

India and Britain are one of the world’s oldest and largest democracies. Both the countries have had a shared history. India’s strategic position in the Indo-pacific, and it's economic importance are essential in shaping this relationship. Britain and India's relationship lies on a range of strategic partnership based on shared values and interests, especially a rules-based system, free trade and freedom of navigation. Both the countries are part of various multilateral organizations like the Commonwealth of Nations, the Asian Development Bank, and the World Trade Organization. The term Indo-Pacific was first officially mentioned by Britain in a bilateral joint statement at the Multilateral Commonwealth Summit in April 2018. Both Britain and India wishes for an open and prosperous Indo-Pacific region. Today, India is increasingly playing an active role in the geopolitics of Indo-Pacific. Britain’s increased activity in the region has encouraged the idea of a Quad+2, a coalition of maritime democracies, that includes Britain and France.

India is the fourth largest investor in Britain and is an important economic partner to the country. Both the countries are also increasingly working together to combat terrorism, radicalization and online extremism. There is also talks of a possible post-Brexit bilateral trade deal worth 1bn pounds between the two nations. China’s presence in the region only strengthens this relationship. Both the nations have officially refused to endorse China’s BRI. Britain has been the largest G20 investor in India over many years. UK investment contributes around 8% of India’s FDI. Moreover, a Fast Track Mechanism for Indian investments into the Britain has been initiated by the British government to provide additional support to Indian businesses. The Green Growth Equity Fund (GGEF) is a joint initiative by the Governments of India and the UK under India’s flagship National Investment and Infrastructure Fund which will provide financing to the Indian renewable energy sector. With a commitment of £120 million from each side, the GGEF is expected to raise up to £500 million from institutional investors.

Greater cooperation between the two navies should be encouraged. The Royal Navy and the Indian Navy are ‘brothers’ with a shared history. This similarity allows them to work together during joint patrols and in issues like countering piracy and. Multilateral cooperation between countries like India, Britain, Japan, Indonesia, Singapore is much needed. Issues like maritime security and cooperation should be part of a growing partnership between these nations. The Konkan Exercise is an important annual bilateral maritime exercise between the Indian Navy and the Royal Navy. The exercise enhances maritime interaction by familiarizing each other with its planning processes by combining maritime operations. This cooperation between the two navies is a symbol of commitment in ensuring a positive environment for maritime security.

There is room for cooperation between the two across a range of sectors, including defense. Talks about a joint India-France-British maritime cooperation can bear fruits. There is a need for greater cooperation in terms of Track 1.5 dialogues and summits. Cooperation in the fields of connectivity is another area. India and the United Kingdom should work together on the issues of Blue Economy that can foster a sustainable environment in the Indian Ocean Region.

Source: Economic Times