In a significant development for India-Malaysia relations, Prime Minister Narendra Modi and his Malaysian counterpart, Prime Minister Anwar Ibrahim, announced the elevation of bilateral ties to a Comprehensive Strategic Partnership. This milestone follows extensive talks between the two leaders, marking Ibrahim’s first official visit to India as Prime Minister.
The upgraded partnership reflects the growing cooperation between the two nations across various sectors, with several key agreements signed during the visit. Notably, the agreements cover areas such as employment, the repatriation of workers, and digital technology cooperation. The leaders emphasized the importance of these areas in strengthening the bilateral relationship. One of the highlights of the talks was the record-high bilateral trade between India and Malaysia, which reached $19.5 billion. Both leaders expressed satisfaction with this achievement, acknowledging trade as a vital component of the Enhanced Strategic Partnership between the two countries. They urged industries on both sides to further expand trade in a sustainable manner for mutual benefit, with particular appreciation for the high-level CEOs Forum that convened its ninth meeting in New Delhi on August 19, 2024.
“We have decided that the India-Malaysia partnership will be elevated to a Comprehensive Strategic Partnership,” Prime Minister Modi announced in his media statement, highlighting the vast potential for further economic cooperation between the two nations. A strong stance against terrorism was also a focal point of the discussions. Both Prime Ministers condemned terrorism in all its forms and called upon states to reject and combat terrorism. They emphasized that no country should harbour terrorists and agreed to work together to bring perpetrators of terrorism to justice swiftly, in line with domestic laws and international conventions. Additionally, the leaders recognized the links between terrorism and transnational organized crime, agreeing to enhance cooperation, including the sharing of information and best practices to counter these threats.
“We have unanimous views in combating terrorism and extremism,” PM Modi stated, underscoring the shared commitment of India and Malaysia to fight these global challenges. In a related statement, Ibrahim, speaking at a think tank event, reaffirmed Malaysia’s stance on not condoning terrorism, specifically in the context of the potential extradition of controversial preacher Zakir Naik, stating, “If evidence is submitted, we will not condone terrorism.” Regional issues, including the situation in the South China Sea, were also on the agenda. Prime Minister Modi reiterated India’s commitment to freedom of navigation and overflight as per international laws, advocating for the peaceful resolution of disputes in the region—a stance echoed by Malaysia, a claimant state in the South China Sea.
In addition to security and regional issues, the two leaders discussed the importance of minority rights protection, particularly in Bangladesh, reflecting a broad dialogue on regional stability and human rights. The visit also paved the way for future collaborations, including linking India’s payment system UPI with Malaysia’s PayNet and exploring new possibilities in the defense sector. PM Modi described Malaysia as an “important partner” in the ASEAN and Indo-Pacific regions, stressing the need to complete the review of the free trade agreement between India and ASEAN promptly.
The relationship between India and Malaysia has seen significant developments over the years, with Malaysia being India’s third-largest trading partner within ASEAN, and India being Malaysia’s largest trading partner in Southeast Asia. Malaysia has also emerged as a significant investor in India, with around 70 Malaysian companies operating in various sectors such as infrastructure, telecommunications, and oil and gas. The strengthening of ties marks a new chapter in India-Malaysia relations, with both nations committed to deepening cooperation and addressing common challenges on the global stage.
