The ‘Rising Northeast

The Investor Summit 2025’ organized by the Ministry of Development of North-Eastern Region (DoNER) in New Delhi is a major event aimed at showcasing the immense investment and trade potential of Northeast India.

Key Highlights of the Summit

• Inauguration: The summit was inaugurated by the Prime Minister of India, who outlined the EAST Vision — Empower, Act, Strengthen, and Transform as the guiding principles for the region's development.

• Summit Agenda: The event is packed with ministerial sessions, Business-to-Government (B2G) and Business-to-Business (B2B) meetings, and an exhibition zone, designed to foster business collaboration and investment partnerships.

• Focus Sectors: The summit focuses on sectors that hold immense potential for development:

  • Agriculture, Food Processing & Allied Sectors

  • Textiles, Handloom & Handicrafts

  • Entertainment and Sports

  • Education & Skill Development

  • Healthcare

  • IT & ITES

  • Tourism & Hospitality

  • Infrastructure and Logistics

  • Energy

• Objective: The event serves as a platform for policy discussions, promoting business collaborations and exploring investment opportunities that can accelerate the Northeast’s development.

About Northeast India

The Northeast Region of India comprises eight states:

• Arunachal Pradesh

• Assam

• Manipur

• Meghalaya

• Mizoram

• Nagaland

• Sikkim

• Tripura

• Geographical Area: The region covers 7.97% of India’s total land area.

• Population: Around 3.78% of India's population lives in the Northeast.

• Terrain: Over 54% of the population resides in hilly areas.

• International Borders: The region shares a 5,484 km border with neighboring countries:

  • Bangladesh: 1,880 km

  • Myanmar: 1,643 km

  • China: 1,346 km

  • Bhutan: 516 km

  • Nepal: 99 km

• Strategic Positioning: Positioned as a gateway to ASEAN and East Asia, the region is integral to India's Act East Policy, aimed at improving ties with Southeast Asia.

Challenges Hindering Development

Despite its potential, the Northeast faces several challenges that hinder its development:

1. Geographical & Connectivity Issues:

   • Rugged terrain and heavy monsoons make infrastructure development difficult.

   • Limited road and rail networks restrict trade and mobility within the region and with neighboring countries.

2. Political & Ethnic Conflicts:

   • Historical insurgency and ethnic tensions have disrupted stability in the region.

   • Various separatist movements, such as the Naga and Mizo movements, and the ULFA and NDFB in Assam, have created governance challenges.

3. Economic Underdevelopment:

   • The region contributes only about 2.8% to India's GDP, with Assam being the largest contributor.

   • Over-reliance on agriculture, limited industrialization, and lack of diversified economic activities slow down growth.

4. Environmental Challenges:

   • Deforestation, floods, and landslides impact agriculture and infrastructure.

   • Climate change is threatening biodiversity and traditional livelihoods.

5. Policy & Governance Gaps:

   • Delayed implementation of policies, such as the Inner Line Permit (ILP) in Meghalaya, and poor coordination between the central and state governments have created hurdles for timely development.

Policy Shifts and Transformations

In response to these challenges, there has been a significant strategic shift in how the government approaches the Northeast:

1. From Insurgency to Integration:

   • Historically, the Northeast was viewed through a security lens. However, recent years have seen a shift towards development and integration.

   • The Look East Policy (initiated by the Narasimha Rao government) later evolved into the Act East Policy under Prime Minister Narendra Modi in 2014.

2. Era of Infrastructure and Integration:

   • The region has become central to India’s economic and geopolitical vision.

   • Several government initiatives like NESIDS (North East Special Infrastructure Development Scheme) and PM-DevINE (Prime Minister’s Development Initiative for North East) are working to improve roads, water supply, and power infrastructure.

3. Key Infrastructure Projects:

   • India-Myanmar-Thailand Trilateral Highway

   • Kaladan Multi-Modal Transit Transport Project

   • Revival of Stilwell Road

   • The Sittwe Port (Myanmar) and Chittagong Port (Bangladesh) are critical for boosting maritime trade in the region.

4. Government Support:

   • Investment in the region has been accelerated with $1 billion for infrastructure projects under NESIDS and over $5 billion allocated by the Ministry of Road Transport and Highways for road development.

Conclusion

The ‘Rising Northeast’ Investor Summit symbolizes the transformation of the region from one that was historically marginalized into a dynamic investment hub. With continued political engagement, enhanced connectivity, and commitment to infrastructure development, the Northeast is well on its way to becoming India’s gateway to Southeast Asia.By leveraging its strategic geographical position, rich natural resources, and untapped sectors, the region holds immense promise for both domestic and international investors. The Rising Northeast Summit is an important step in positioning the region as an investment hotspot in India.