PM’s Development Initiative for North East Region
Why in News?
The Prime Minister at the “Rising Northeast: The Investor Summit” declared that the Northeast Region (NER) of India is no longer a “frontier” but a “frontrunner” in India’s growth journey.
Highlighting its strategic importance and economic potential, he emphasized the region’s evolving role as a gateway for trade with Southeast Asia.
Note: The Ministry of Development of North Eastern Region (DoNER) is organizing the Rising Northeast Summit to unlock the investment and trade potential of the NER of India.
The initiative aims to project NER as a dynamic economic corridor with strategic connectivity to ASEAN and BBN (Bangladesh, Bhutan, Nepal) countries.
Rising North East Investors Summit 2025 drew an unprecedented Rs 4.3 lakh crore in investment interest, setting the stage for the NER to become India’s next economic powerhouse.
How is the Northeast Emerging as a ‘Frontrunner’ for India’s Growth?
Bio-economy and Natural Resources:
The NER, referred to as ‘Ashta-Lakshmis’, highlights the region’s vast potential in renewable energy, agro-based industries, eco-tourism, and strategic manufacturing.
The region’s biodiversity is being leveraged for green growth. Assam is a major hub for tea production, while Arunachal Pradesh leads in bamboo-based industries.
The region holds 40% of India’s hydropower potential (~62,000 MW), yet only 6.9% is harnessed. Solar potential is estimated at 57,360 MW with only 17% installed capacity.
Tourism and Human Capital Strengths:
The Northeast's natural beauty and vibrant culture make it a perfect destination for eco-friendly and sustainable tourism.
Key attractions include Meghalaya’s living root bridges, Sikkim’s eco-tourism, Kaziranga National Park, and Kamakhya Temple in Assam, and Manipur’s Loktak Lake.
These sites boost local livelihoods and promote eco-friendly travel.
Additionally, high literacy rates among NER (~80%) and a high proportion of English-speaking populations contribute to the region’s workforce readiness.
States like Manipur and Mizoram are national leaders in sports like football, boxing, and weightlifting.
Gateway to Southeast Asia: The Northeast is central to India's Act East Policy, serving as a bridge to ASEAN and Indo-Pacific markets.
Projects like the India-Myanmar-Thailand Trilateral Highway and the Kaladan Multi-Modal Transit Transport Project are enhancing regional connectivity.
Development of ports like Sittwe in Myanmar and Chittagong in Bangladesh will connect Northeast India to key Indian Ocean shipping routes, boosting
India-ASEAN trade from USD 125 billion to USD 200 billion over the next decade.
Critical to National Security: NER shares 5,484 km of borders with five countries (Myanmar, Bangladesh, Nepal, Bhutan, Tibet/China) plays a frontline role in national security.
The Siliguri Corridor (Chicken’s Neck), is a vital strategic and economic lifeline, connecting Northeast India to the rest of the country and serving as a key transit hub for trade with Bhutan, Bangladesh, and Nepal.
Infrastructure Push: The central government has significantly increased funding with 10% of the Ministry of Road Transport and Highways’ budget allocated to the Northeast.
The North East Special Infrastructure Development Scheme (NESIDS), launched in 2018, has a USD 1 billion allocation for roads, water, and power.
Projects like the Sela Tunnel in Arunachal Pradesh are improving all-weather connectivity to remote areas. New initiatives like the upcoming Semiconductor
Plant in Assam mark a shift toward high-tech industrial investment.
