Wednesday, April 9, 2025
KATHMANDU: As leaders from South and Southeast Asia converge in Bangkok for the 6th Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC) Summit, the stakes have never been higher.
With Prime Minister KP Sharma Oli, Indian Prime Minister Narendra Modi, Bangladesh’s Chief Adviser Muhammad Yunus and other regional leaders in attendance, the summit marks a significant return to physical diplomacy—the first in-person BIMSTEC gathering since Kathmandu hosted the event in 2018. The fifth summit, held virtually in 2022 under Sri Lanka’s leadership, lacked the dynamism of face-to-face negotiations. This year, leaders are seizing the moment to drive forward a shared vision for a “prosperous, resilient, and open BIMSTEC.”
The Bangkok summit unfolds against the backdrop of a devastating earthquake that struck Myanmar on March 27, 2025. India, Bangladesh, and Thailand were among the first to respond, sending aid and relief materials to the affected areas. The humanitarian crisis underscores the growing importance of regional cooperation, a core tenet of BIMSTEC’s mission. As Myanmar reels from the disaster, discussions at the summit are expected to include disaster response mechanisms alongside broader economic and security concerns.
The summit will witness the adoption of the Declaration of the 5th BIMSTEC and the signing of a landmark Maritime Transport Cooperation Agreement—both pivotal steps in strengthening regional trade and connectivity. The agreement aims to streamline maritime logistics, enhance port facilities, and bolster inter-country trade through the Bay of Bengal.
On April 4, Prime Minister Oli will deliver a speech emphasizing Nepal’s strategic interests in BIMSTEC, followed by sideline discussions with fellow leaders including Indian Prime Minister Narendra Modi. Later, he will attend the signing ceremony and a special event at the Nepali Embassy in Bangkok before returning to Kathmandu on April 5.
BIMSTEC is no longer just an economic forum—it is deeply intertwined with the Indo-Pacific’s shifting geopolitical and geoeconomic landscape. The vast expanse from Africa’s eastern shores to the western Pacific is no longer just a conduit for global trade—it’s the frontline of an intensifying rivalry between the United States and China. As strategic fault lines deepen, Asia is poised to become the defining battleground for great-power competition in the 21st century. The Bay of Bengal, a crucial maritime artery, connects some of the world’s fastest-growing economies, making BIMSTEC’s role increasingly vital.
However, regional frictions persist. While BIMSTEC finally adopted a common charter in 2022, intra-member tensions continue to cast shadows over cooperation. The Bangladesh-Myanmar relationship remains tense over the unresolved Rohingya refugee crisis, while the ousting of Bangladeshi Prime Minister Sheikh Hasina in August 2024 has cast uncertainty over India-Bangladesh ties. India continues to keep a watchful eye on Kathmandu’s shifting political landscape, even as U.S.-India trade tensions evolve into strategic realignments. In this shifting geopolitical terrain, the BIMSTEC summit is both an opportunity and a test—challenging the bloc’s ability to balance political complexities while advancing regional economic integration.
BIMSTEC has immense potential to reshape South and Southeast Asian connectivity. Yet, progress has been slow, with many agreements stuck in bureaucratic inertia. Will this summit mark a turning point for the organization, or will it be another round of diplomatic formalities with little substantive change? As Bangkok hosts this high-stakes gathering, all eyes are on whether BIMSTEC can finally move from rhetoric to real action. Here is everything you need to know about BIMSTEC:
What is BIMSTEC?
The Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC) is a regional organization formed to promote economic cooperation among countries bordering the Bay of Bengal. It was established on June 6, 1997, with the signing of the Bangkok Declaration. Originally known as BISTEC (Bangladesh-India-Sri Lanka-Thailand Economic Cooperation), it expanded to include Myanmar in December 1997, becoming BIMSTEC. This intergovernmental body bridges South Asia and Southeast Asia, comprising seven member states: Bangladesh, Bhutan, India, Nepal, and Sri Lanka from South Asia, and Myanmar and Thailand from Southeast Asia. Its mission is to promote rapid economic development, social progress, peace, stability, and mutual cooperation in the Bay of Bengal region.
How was BIMSTEC formed?
BIMSTEC was originally known as BIST-EC (Bangladesh-India-Sri Lanka-Thailand Economic Cooperation) when it was established in 1997 by the Governments of Bangladesh, India, Sri Lanka, and Thailand. Myanmar joined in December 1997, and Nepal and Bhutan became members in February 2004. The organization was renamed BIMSTEC during the First Summit in Bangkok on July 31, 2004.
What is the main objective of BIMSTEC?
The primary aim of BIMSTEC is to promote economic cooperation and technical collaboration among the member countries, focusing on various sectors such as trade, technology, energy, transport, tourism, and fisheries. Over time, its scope expanded to include agriculture, public health, poverty alleviation, counter-terrorism, and more.
Which countries are part of BIMSTEC?
BIMSTEC currently comprises seven member states: Bangladesh, India, Myanmar, Sri Lanka, Thailand, Nepal and Bhutan.
When did Myanmar, Nepal, and Bhutan join BIMSTEC?
Myanmar joined BIMSTEC on December 22, 1997. Nepal and Bhutan became members during the 6th Ministerial Meeting held in Thailand in July 2004.
What are BIMSTEC’s main areas of cooperation?
BIMSTEC has identified seven core sectors for cooperation:
How has BIMSTEC evolved over time?
BIMSTEC has gradually evolved, starting with a focus on six sectors in 1997. In 2008, its cooperation expanded to include additional areas such as agriculture, public health, poverty alleviation, counter-terrorism, and climate change. In 2021, the organization reorganized its sectors and sub-sectors to further enhance cooperation and collaboration among its member states.
What is the BIMSTEC Secretariat?
The BIMSTEC Secretariat, established in Dhaka, Bangladesh, in 2014, serves as the institutional framework that supports and strengthens the organization’s operations and initiatives. It was created following a decision made at the Third BIMSTEC Summit to provide a more structured and efficient coordination mechanism.
How does BIMSTEC cooperate among its members?
Cooperation within BIMSTEC is sector-driven. Initially focused on trade, technology, energy, transport, tourism, and fisheries, BIMSTEC has expanded its cooperation over time to include several other areas, such as agriculture, public health, counter-terrorism, climate change, and people-to-people contact. Each member state leads specific sectors and sub-sectors, promoting coordinated efforts to address regional challenges.
What sectors does BIMSTEC focus on?
BIMSTEC’s cooperation covers various sectors, including: Trade, Technology, Energy, Transport, Tourism, Fisheries, Agriculture, Public health, Poverty alleviation, Counter-terrorism, Environment, Culture, People-to-people contact and Climate change
Where is the BIMSTEC Secretariat located?
The BIMSTEC Secretariat is located in Dhaka, Bangladesh.
What is the significance of the Bangkok Declaration?
The Bangkok Declaration, signed on June 6, 1997, by representatives from Bangladesh, India, Sri Lanka, and Thailand, marked the founding of the organization. It laid the foundation for cooperation aimed at fostering economic development and enhancing regional ties in the Bay of Bengal area.
How does Nepal contribute to BIMSTEC?
Nepal plays a pivotal role in the People-to-People Contact sector, which includes cultural exchange, tourism, poverty alleviation, and fostering communication forums. Nepal has hosted key events, such as the BIMSTEC Tourism Fair 2023 in Lumbini, which celebrated the 25th anniversary of BIMSTEC. Nepal’s leadership in this sector highlights its commitment to connecting people across the Bay of Bengal region through cultural and social initiatives.
What has been Nepal’s involvement in BIMSTEC Summits?
Nepal has played an active role in BIMSTEC’s policy-making processes. Notably, Nepal hosted the Fourth BIMSTEC Summit in 2018 under the theme “Towards a Peaceful, Prosperous, and Sustainable Bay of Bengal Region.” The summit resulted in the signing of the BIMSTEC Grid Interconnection MoU, fostering energy cooperation. Nepal also led discussions at various Ministerial and Senior Officials’ Meetings, advancing the implementation of regional policies.
Is BIMSTEC a replacement for SAARC?
Not officially, but many see it as an alternative. While SAARC has been stalled due to India-Pakistan tensions, BIMSTEC functions without Pakistan and has made slow but steady progress in regional cooperation.
Why is BIMSTEC Important for Nepal?
The Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC) is vital for Nepal due to its role in enhancing regional connectivity, trade, and economic integration. As a landlocked country, Nepal seeks access to the sea for international trade, and BIMSTEC provides a platform to engage with coastal nations like India, Bangladesh, Myanmar, and Thailand. Through transport and energy projects, such as the BIMSTEC Master Plan for Transport Connectivity and power grid interconnectivity, Nepal can improve infrastructure and reduce trade costs.
BIMSTEC also strengthens Nepal’s foreign policy by offering an alternative regional forum beyond SAARC, where political disputes have stalled progress. By participating in BIMSTEC, Nepal diversifies its diplomatic and economic partnerships while fostering closer ties with South and Southeast Asia. Additionally, security cooperation within BIMSTEC addresses transnational crimes, drug trafficking, and disaster response, contributing to regional stability.
BIMSTEC presents immense opportunities for trade, investment, and economic growth. However, slow institutional progress remains a challenge. For Nepal, continued engagement in BIMSTEC is crucial for long-term economic development, connectivity, and geopolitical leverage.
How does India’s economic rise impact BIMSTEC?
With India’s GDP surpassing $4 trillion, it has the economic leverage to drive regional development. BIMSTEC’s second-largest economy, Thailand, has a GDP of about $500 billion—showing India’s significant weight in shaping regional economic policies.
Why Is BIMSTEC Important for India?
BIMSTEC has become a vital pillar of India’s regional strategy, providing an effective platform for engagement as SAARC remains stalled due to tensions with Pakistan. Unlike SAARC, which includes Pakistan and has been largely dysfunctional, BIMSTEC allows India to collaborate more efficiently with its South Asian and Southeast Asian neighbors. It serves as a bridge between the two regions, reinforcing India’s diplomatic and economic ties.
The organization also aligns closely with India’s key foreign policy priorities. It strengthens the Neighborhood First policy by fostering closer relations with neighboring countries and supports the Act East initiative by enhancing connectivity with Southeast Asia. Additionally, BIMSTEC plays a crucial role in the economic development of India’s northeastern states by linking them to the Bay of Bengal through Bangladesh and Myanmar, creating new trade and infrastructure opportunities.
Beyond economic cooperation, BIMSTEC also serves as a strategic counter to China’s expanding influence in the region. With Beijing deepening its presence through the Belt and Road Initiative (BRI), India views BIMSTEC as a means to enhance regional partnerships on its own terms, ensuring greater economic and strategic stability in the Bay of Bengal.
What Are the Major Challenges BIMSTEC Faces?
While BIMSTEC holds significant promise as a platform for regional cooperation, it faces several persistent challenges. One of the biggest obstacles is the absence of strong institutional frameworks. Unlike ASEAN, which has well-developed mechanisms for economic and political collaboration, BIMSTEC lacks the structures needed to ensure efficient decision-making and policy implementation. This has slowed the progress of key initiatives and weakened the organization’s overall impact.
Political tensions among member states further complicate regional cooperation. The ongoing disputes between Bangladesh and Myanmar, for instance, have created diplomatic hurdles, making it difficult to foster trust and unity. Myanmar’s internal instability, including conflicts and governance issues, has also hampered its ability to act as a crucial link between South and Southeast Asia, a role that is vital to BIMSTEC’s connectivity ambitions.
Economic integration remains another major challenge. While BIMSTEC has made progress in trade discussions, it has yet to develop the level of economic cohesion seen in ASEAN. Differences in economic policies, trade barriers, and infrastructure gaps continue to slow down efforts at deeper regional integration.
What are the institutional mechanisms within BIMSTEC?
BIMSTEC operates through several institutional bodies:
What is the BIMSTEC Charter, and why does it matter?
The Charter of the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC) formally came into force on May 20, 2024, marking a historic step in the evolution of the regional bloc. Signed by the leaders of its seven-member states during the Fifth Summit in Colombo, Sri Lanka, on March 30, 2022, the document provides a legal framework that had been missing since BIMSTEC’s inception in 1997. More than just procedural formality, the Charter transforms BIMSTEC into a more structured and rule-based organization, paving the way for external partnerships, observer status, and the potential expansion of membership.
Why did it take so long for BIMSTEC to adopt a formal charter?
The idea of a BIMSTEC Charter had been in discussion for years, but the Fourth Summit in Kathmandu in 2018 finally set the wheels in motion, calling for its swift implementation. Before that, in 2017, member states had already agreed on broader institutional reforms, including legal cooperation in criminal matters, the establishment of a Technology Transfer Facility in Colombo, and enhanced collaboration between diplomatic academies. Yet, institutional inertia and differing national priorities meant that it took years for all member states to ratify the agreement and bring it into effect.
What role did Nepal play in the process?
Nepal was a driving force behind the BIMSTEC Charter, advocating for its adoption and playing a crucial role in its drafting. As one of the founding members, Nepal had long pushed for a more institutionalized regional mechanism. The final step in its own ratification process came on April 2, 2024, when the House of Representatives approved the Charter following an internal review. It was a moment of significance—not just for Nepal, but for BIMSTEC as a whole—bringing three decades of efforts to a formal conclusion.
How did the Charter officially take effect?
Under Article 25(4) of the BIMSTEC Charter, the treaty becomes legally binding on the 30th day after the seventh instrument of ratification is submitted to the BIMSTEC Secretary-General. Nepal’s approval was a key piece of that final puzzle, clearing the way for the Charter’s enforcement.
Why did Nepal’s federal parliament need to approve the Charter?
Nepal’s constitution requires that international treaties undergo a formal ratification process. Article 279(1) of the Constitution stipulates that any treaty Nepal is a party to must be approved according to federal law, and Nepal’s Treaty Act of 2027 further mandates parliamentary approval before any such agreement can take effect domestically. Following a cabinet meeting on September 15, 2023, Nepal moved forward with submitting the Charter to its federal parliament, ensuring that all constitutional and legal protocols were met.
What does the Charter’s implementation mean for BIMSTEC’s future?
The enforcement of the Charter is a defining moment for BIMSTEC, shifting it from a loose regional grouping to a more structured organization with legal clarity. The new framework enables BIMSTEC to engage with external partners, admit observers, and potentially expand its membership—steps that could enhance its influence in the Indo-Pacific. In an era of shifting geopolitical alignments, BIMSTEC now has the institutional backing to be more than just a diplomatic platform—it can become a more effective driver of regional cooperation.
What agreements and MoUs have been signed within BIMSTEC? BIMSTEC has signed various landmark agreements and MoUs to enhance regional cooperation:
What are the key challenges and opportunities for Nepal in BIMSTEC?
For Nepal, BIMSTEC presents numerous opportunities, especially in the sectors of trade, tourism, and cultural cooperation. The regional integration of these sectors can facilitate economic growth, tourism expansion, and better cultural ties. However, challenges such as infrastructure connectivity, disaster management, and climate resilience require continuous cooperation and policy alignment with other BIMSTEC countries. Nepal’s leadership in the People-to-People Contact sector offers a unique platform to foster regional unity and mutual understanding.
How does BIMSTEC address environmental and climate challenges?
BIMSTEC, through its Environment and Climate Change sector, focuses on regional cooperation to tackle environmental issues such as natural disasters, climate change, and the sustainable management of resources. Bhutan, as the lead country for this sector, emphasizes the integration of the Mountain Economy and solutions to mitigate the effects of environmental degradation in the Bay of Bengal region. Nepal’s expertise in mountainous terrain is key to this collaboration.
What is the BIMSTEC Foreign Ministers’ Retreat?
The BIMSTEC Foreign Ministers’ Retreat is a platform for the Foreign Ministers of BIMSTEC Member States to meet and discuss various aspects of regional cooperation, mutual understanding, and collective efforts towards fostering deeper ties among member nations. It serves as a venue to review progress, discuss organizational reforms, and address regional and global issues of mutual interest in a cordial and informal setting.
When and where was the first BIMSTEC Foreign Ministers’ Retreat held?
The first BIMSTEC Foreign Ministers’ Retreat was organized by Thailand, the current chair of BIMSTEC, on 17 July 2023 in Bangkok, Thailand.
Who attended the first BIMSTEC Foreign Ministers’ Retreat?
The first retreat in 2023 was attended by various BIMSTEC representatives, including the former Foreign Minister of Nepal, Mr. N.P. Saud. The second BIMSTEC Foreign Ministers’ Retreat was hosted by India on 11-12 July 2024 in New Delhi. The second retreat focused on reviewing the progress made in agreed areas of cooperation within BIMSTEC. It also discussed organizational reforms and regional and global issues of mutual interest among the member states.
