Modi Has A Penchant For A Pro-Active Foreign Policy

BANGALORE: Prime Minister Narendra Modi's penchant for a pro-active foreign policy has been on display from day one. His positive initiatives of inviting SAARC leaders at the swearing-in ceremony and selecting Bhutan for his first bilateral visit followed by another important neighbour Nepal have sent encouraging signals to the world community about India's desire for constructive engagement in international affairs, especially according highest priority to peace, stability and development in the sub-continent.

Modi seems to have realized that India's GDP growth and employment potential will depend on deepening and widening the scope of liberalization and globalization. He has already stressed upon the need for enhancing bilateral trade among the SAARC countries. Currently, trade within SAARC countries is just five percent of the bloc's worldwide trade.

Modi is also keen to get more leverage for India by taking BRICS to the next level. He joined leaders of the five emerging markets - Brazil, Russia, India, China and South Africa - at the BRICS summit in Brazil July 15-17, 2014, where they launched a $100 billion development bank and a currency reserve pool as a first concrete step toward reshaping the Western-dominated international financial system.

The bank, aimed at funding infrastructure projects in developing nations, will be based in Shanghai and India will preside over its operations for the first five years, followed by Brazil and then Russia.

The BRICS summit also set up a $100 billion currency reserves pool to help countries forestall short-term liquidity pressures. The long-awaited bank will be called the New Development Bank. This development has been widely welcomed towards a multi-polar world with emerging economies becoming more dependent on one another especially regarding trade, money, and finance.

READ MORE: Lottery To Decide Who Will Attend Modi's Public Reception In U.S. and Modi's Teachers' Day Speech To Be Streamed Live On DD Web