Asia’s economic transformation is reshaping the global distribution of power, placing India at the fourth position among 25 countries in the Asia-Pacific on an index that measures their overall power.
The South Asian giant is accorded a “major power” status and is pegged as a “giant of the future”, but it trails behind in indicators of defence networks and economic relationships, according to the key findings of the Asia Power Index of the Sydney-based Lowy Institute.
Japan is a smart power, while China, the emerging superpower, is rapidly closing in onthe US which remains the pre-eminent power in Asia.
The Lowy Index shows that global wealth and power are shifting eastwards. Three of the world’s four largest economies are in Asia, and by 2025, two-thirds of the world’s population will live in Asia, compared with just over a tenth in the West Asia’s economic transformation is changing the way the region — and indeed the world — works politically and strategically. Just as significantly, tensions between Asian powers will define war and peace in the 21st century.
New tools are needed to track and understand the geopolitical changes at play, says the institute and that its Asia Power Index is an analytical tool that aims to sharpen the debate on power dynamics in Asia. The Index breaks down power into eight distinct measures, over 114 indicators, allowing variations in power projection to be measured within and between countries. Annual editions of the Index will track how the distribution of power in Asia shifts over time.
India and Japan share major power status but are moving in opposite directions. India ranks third for its aggregate resources score and is set to become the fastest-growing economy in the region, predicted to grow 169 per cent between 2016 and 2030.
China holds a top-two position across all but one measure and ranks first in economic relationships, diplomatic influence and future trends. China’s GDP is forecast to be almost twice the size as that of the US at purchasing power parity.