2 January 2025, NIICE Commentary 9821
Md. Saifullah Akon

Bangladesh’s position at the strategic junction of South and Southeast Asia makes it a pivotal actor in the increasingly contested Indo-Pacific region. Although classified as a small state in terms of resources and capabilities, Bangladesh faces a range of complex challenges due to the involvement of global powers like China, Japan, and the United States in the region. These major actors are motivated by their own strategic interests, leading to intense geopolitical competition that often impacts smaller states caught in the crossfire. Bangladesh, however, has shown resilience and adaptability, crafting strategies aimed at maximizing national interests, preserving sovereignty, and fostering development amidst shifting dynamics.

On the other hand, the Indo-Pacific has emerged as a global focal point for economic growth, strategic competition, and maritime security. Within this context, Bangladesh’s position as a coastal nation along the Bay of Bengal (BoB) underscores its geostrategic importance. This body of water not only facilitates trade routes that connect South Asia with East Asia but also offers access to key markets and maritime resources. Bangladesh’s geographic placement makes it an attractive partner for regional connectivity and economic initiatives aimed at fostering trade and investment. Moreover, Bangladesh’s development trajectory, characterized by impressive economic growth and a burgeoning middle class, has drawn the interest of regional and global players. As an emerging economy, Bangladesh presents itself as a market for trade and investment while seeking to deepen connectivity with its neighbors and beyond. However, this very importance subjects Bangladesh to external pressures, as global powers seek to draw it into their spheres of influence, often with conflicting agendas that must be carefully managed to preserve Bangladesh’s autonomy.

Engagement of Major Powers and Bangladesh’s Challenges

Bangladesh’s strategic significance has made it a target of interest for the major powers, each of whom views the country as a key player in their Indo-Pacific strategies. The growing engagement of China, Japan, and the United States presents a blend of opportunities and challenges, as Dhaka attempts to navigate the intricate web of regional alliances and rivalries. China’s growing influence in the Indo-Pacific is underscored by its extensive economic presence and strategic initiatives, particularly through the Belt and Road Initiative (BRI). Beijing’s push to deepen infrastructure ties in South Asia is evident in its offers of development assistance and investment packages. While these initiatives can spur economic growth, they often lead to apprehensions about debt dependency, geopolitical entanglement, and the potential loss of strategic autonomy. Bangladesh, therefore, faces the delicate task of balancing the benefits of Chinese investment with concerns about Beijing’s influence over its domestic and foreign policy decisions. On the other hand, Japan offers a different but no less significant engagement model through its emphasis on infrastructure development, economic partnerships, and shared values such as regional stability and the rule of law. Japan’s long-standing role as one of Bangladesh’s key development partners has been crucial in expanding connectivity projects that align with broader Indo-Pacific frameworks. Tokyo’s vision for a Free and Open Indo-Pacific (FOIP) aligns with regional stability and supports infrastructure development, including initiatives such as the Bay of Bengal Industrial Growth Belt (BIG-B). Yet, Japan’s growing presence in the region, including its alignment with U.S. policies on security and regional order, may sometimes create friction with Bangladesh’s desire to maintain balanced relations across rival blocs.

The United States, driven by its Indo-Pacific strategy, seeks to strengthen security partnerships, promote democratic governance, and counter China’s influence in the region. Bangladesh’s engagement with the U.S. offers development assistance, security cooperation, and trade potential. However, the close ties between Washington’s Indo-Pacific strategy and its security agenda can create challenges for Dhaka, which must balance relations with both the U.S. and China. Navigating tensions and maintaining a neutral stance while benefiting from U.S. engagement requires a nuanced foreign policy approach. Bangladesh’s engagement with its immediate neighbor, India, further complicates the landscape. While historical and cultural ties provide opportunities for cooperation, Bangladesh remains vigilant about the implications of India’s influence on regional connectivity and its own strategic positioning. This underscores the broader challenge facing Dhaka—balancing relations with multiple powers, each with its own competing interests while retaining control over its own destiny.

Bangladesh’s Coping Strategies in the Indo-Pacific

Despite its status as a small state, Bangladesh has demonstrated remarkable skill in managing its engagements with major powers and addressing the challenges that arise. The nation’s coping strategies are built around diplomatic balancing, economic partnerships, and security cooperation designed to foster growth, maintain sovereignty, and contribute to regional stability.

  1. Diplomatic Balancing Act

Bangladesh’s foreign policy emphasizes maintaining positive relations with all major powers through a policy of “Friendship to all, malice towards none.” This approach has enabled Dhaka to engage constructively with China, Japan, the United States, and other key actors while retaining flexibility in its international dealings. By actively participating in regional forums such as the Indian Ocean Rim Association (IORA), the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC), and ASEAN-led initiatives, Bangladesh has sought to project itself as a responsible and cooperative player that supports regional stability and economic integration. The policy of diplomatic balancing is not without its difficulties. Bangladesh must constantly assess its engagements to ensure that no single power dominates its decision-making processes. By cultivating diversified relationships and leveraging multilateral platforms, Bangladesh strives to retain strategic autonomy while benefiting from diverse partnerships.

  1. Economic Diversification and Connectivity Efforts

Bangladesh has placed significant emphasis on economic diversification and fostering regional connectivity as part of its Indo-Pacific strategy. In recognition of the risks associated with overdependence on any single partner or sector, Bangladesh has actively sought to broaden its trade and investment relationships. By engaging with diverse economic partners and participating in initiatives aimed at regional integration, Dhaka seeks to enhance its economic resilience and create new opportunities for growth. Infrastructure development, facilitated by partnerships with Japan, regional connectivity projects from Matarbari to Northeast India, and economic agreements with Southeast Asian states, serves as a key element of Bangladesh’s strategy. While maintaining constructive ties with China, Dhaka is also forging economic partnerships with other powers to reduce dependency and build a more resilient economy.

  1. Security Partnerships and Maritime Focus

As a littoral state, Bangladesh faces significant maritime security challenges, including illegal trafficking, piracy, and resource management issues. Dhaka’s focus on maritime security has driven it to strengthen its naval capabilities and engage in regional security initiatives. Joint exercises, dialogue mechanisms, and cooperation with partners such as India, Japan, and the United States demonstrate Bangladesh’s commitment to regional stability. Bangladesh’s involvement in United Nations peacekeeping missions further highlights its dedication to international security and rules-based order. At the same time, Dhaka has been careful not to align itself too closely with any single security alliance, preferring instead to focus on cooperative measures that benefit regional stability without entangling itself in power rivalries.

Conclusion

Bangladesh’s journey through the complex and often contested waters of the Indo-Pacific demonstrates the challenges and opportunities faced by small states in a rapidly evolving geopolitical environment. By maintaining a balanced foreign policy, pursuing economic diversification, and enhancing security capabilities, Bangladesh has managed to navigate major power rivalries while safeguarding its interests. The nation’s coping strategies offer a model of pragmatic engagement that seeks to maximize opportunities and minimize risks in an increasingly competitive Indo-Pacific landscape. While significant challenges lie ahead, Bangladesh’s ability to adapt, engage, and cooperate with regional and global players will be crucial to its continued success. By demonstrating resilience and strategic foresight, Bangladesh is showing that even small states can exert meaningful influence and protect their sovereignty in an era of big challenges and shifting dynamics.

Md. Saifullah Akon is an Assistant Professor at the Department of Japanese Studies, University of Dhaka, Bangladesh.