Think Tank
Russia-India: Formula for Economic Cooperation
Report_Russia-India_Сondensed version
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This is a condensed version of the report. The full version will be available on the Valdai Club’s website in February 2025.

Cooperation between Russia and India has a strong foundation, and significant efforts have been made recently to ensure that interactions between them improve in quality and gain regulatory and institutional support. Nevertheless, more work remains to be done.

The economy has become a central focus in Russian-Indian relations, and the main challenge is to maintain momentum and strive to successfully complete assigned tasks. Governments of both countries listen to the business community, and businesses, in turn, are increasing their pace of work across all areas. The complementarity between the Russian and Indian economies is evident, but new circumstances and adjusted priorities have forced us to seek new areas of synergy and growth. These areas have been identified, are understood by businesses and regulators, and it is now time to create necessary conditions for their implementation.

India is a leader of the Global South, and its economy embodies all the opportunities, characteristics, and approaches to development that are typical of large, rapidly growing countries. For these countries, their vast, progressive domestic market is the main resource, access to which they strive to “sell” at the highest possible price, receiving much-needed investments, technology, job opportunities, improved quality of life, and, most significantly, respect in return.

It is safe to say that relations between Russia and India contain important elements that set them apart from other countries, such as long-term trust and respect for each other’s interests and spiritual closeness. Nevertheless, the Russian party needs to be aware of the intense competition for the Indian market among all major players, which has been ongoing for a long time. Each of these players expects certain preferences and offers India something in exchange. Russian business is learning how to operate in the face of such intense competition, and receives support from both the Indian and Russian governments. Nevertheless, a swift breakthrough is not feasible.

A number of mutually beneficial initiatives have been prepared today by Russia and are on India’s side. Russia is ready to move as fast as India is ready to implement them. The most significant lesson that Russian entrepreneurs can learn from the Indian experience is to maintain optimism and patience. These two qualities may be the key ingredients to the successful partnership between Russia and India.