India’s bilateral trade with Cambodia, Laos, Myanmar and Vietnam has grown exponentially from $460 million in 2000 to almost $12 billion in 2014.
Till recently, they were considered the poor cousins of ASEAN’s more prosperous members, but the four countries – Cambodia, Laos, Myanmar and Vietnam – known by the acronym CLMV have emerged as the new cynosure of investors’ eyes –both for their economic potential as well as for their strategic value.
Recognising these advantages, Prime Minister Narendra Modi has reached out to this hitherto neglected sub-group within ASEAN. On a recent visit to Hanoi, Modi promised a $500-million line of credit for buying defence equipment from India. This follows a $100-million line of defence credit to Vietnam that it will use to buy patrol-cum-interceptor boats from Larsen & Toubro. New Delhi has not yet taken a decision on selling Brahmos missiles to Hanoi. Login/Sign up to read more