On April 3-4, 2025, leaders from seven nations gathered in Bangkok, Thailand, for the 6th BIMSTEC Summit, spotlighting an organization that’s quietly shaping regional cooperation around the Bay of Bengal. The Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation, or BIMSTEC, brings together Bangladesh, Bhutan, India, Myanmar, Nepal, Sri Lanka, and Thailand—countries that collectively house 1.73 billion people and boast a combined GDP of $5.2 trillion (2023 figures). But what exactly is BIMSTEC, and why is it gaining traction in a world dominated by larger blocs like the UN or ASEAN? Here’s everything you need to know.
The Basics: What is BIMSTEC?
BIMSTEC is a regional organization founded on June 6, 1997, through the Bangkok Declaration. It started as BIST-EC (Bangladesh, India, Sri Lanka, and Thailand Economic Cooperation) before evolving into its current form with the addition of Myanmar (1997), Nepal, and Bhutan (2004). Headquartered in Dhaka, Bangladesh, since its permanent secretariat opened in 2014, BIMSTEC aims to foster technical and economic collaboration among nations bordering or near the Bay of Bengal—a vital waterway connecting South Asia and Southeast Asia.
Unlike broader organizations like the South Asian Association for Regional Cooperation (SAARC) or the Association of Southeast Asian Nations (ASEAN), BIMSTEC is sector-driven. It focuses on seven key areas—trade, connectivity, security, agriculture, environment, science, and people-to-people contact—each led by a member state. India, for instance, spearheads security, while Thailand drives connectivity. This targeted approach sets BIMSTEC apart, aiming for practical outcomes over grand declarations.
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Why Was BIMSTEC Created?
The Bay of Bengal region was once a thriving hub of trade and culture, linking ancient empires and colonial powers. But post-independence fragmentation in the 20th century eroded this unity. BIMSTEC emerged to revive that connectivity, tapping into the region’s economic potential—25% of global traded goods pass through the Bay annually—and addressing shared challenges like poverty, climate change, and security threats.
For its members, BIMSTEC offers a platform to boost growth without the baggage of larger, more politically charged groupings. Take India: with SAARC stalled since 2014 due to tensions with Pakistan, BIMSTEC provides an alternative to engage its neighbors. For landlocked Nepal and Bhutan, it’s a gateway to maritime trade. Thailand and Myanmar, meanwhile, see it as a bridge to South Asia’s markets, balancing their ASEAN focus.
How Does It Work?
BIMSTEC operates through a rotating chairmanship (currently Thailand, 2022-2025, with Bangladesh next) and holds summits every two years—though only six have occurred since 1997, reflecting its slow pace. The Bangkok Summit in 2025, attended by leaders like India’s Narendra Modi and Bangladesh’s Muhammad Yunus, underscored efforts to accelerate progress. A key outcome was the adoption of the Bangkok Vision 2030, a roadmap for regional integration, alongside talks on a long-pending free trade agreement (FTA).
The organization’s seven cooperation sectors were streamlined from 14 in 2022 to make it more manageable:
- Trade, Investment, and Development (Bangladesh)
- Environment and Climate (Bhutan)
- Security (India)
- Agriculture and Food Security (Myanmar)
- People-to-People Contact (Nepal)
- Science, Technology, and Innovation (Sri Lanka)
- Connectivity (Thailand)
India, contributing 32% of the secretariat’s budget, plays a pivotal role, with Ambassador Indra Mani Pandey as Secretary-General since 2023. Recent initiatives—like a proposed BIMSTEC Chamber of Commerce and annual business summits—signal a push for economic momentum.
Why It Matters Now
BIMSTEC’s relevance has surged amid shifting global dynamics. For India, it aligns with its “Neighbourhood First” and “Act East” policies, countering China’s Belt and Road Initiative (BRI) influence in countries like Myanmar and Sri Lanka. The Bay of Bengal is also a geopolitical hotspot: China’s maritime ambitions clash with India’s Security and Growth for All in the Region (SAGAR) vision, making BIMSTEC a strategic counterweight.
Economically, the stakes are high. The region’s $5.2 trillion GDP and 22% of the world’s population offer untapped potential. Projects like the India-Myanmar-Thailand Trilateral Highway and the Kaladan Multimodal Project promise better connectivity, while coastal shipping agreements could slash trade costs. Yet, the FTA, under negotiation since 2004, remains elusive, hampered by differing economic priorities.
The Challenges Ahead
BIMSTEC isn’t without hurdles. Its track record is spotty—summits are inconsistent, and progress is slow compared to ASEAN or the EU. Bilateral tensions, like the Rohingya crisis between Myanmar and Bangladesh, complicate cooperation. Smaller members like Nepal and Bhutan worry about India’s dominance, while Thailand and Myanmar juggle ASEAN commitments. Funding and capacity also lag: the secretariat’s modest staff (seven directors) struggles to coordinate ambitious plans.
Critics argue BIMSTEC risks being a “rebound” for India after SAARC’s decline, rather than a standalone force. China’s shadow looms large—its investments dwarf BIMSTEC’s modest $1 million grants, like India’s 2024 contribution for capacity building.
The Big Picture
As of April 4, 2025, BIMSTEC stands at a crossroads. The Bangkok Summit’s 21-point action plan, proposed by Modi, aims to boost trade, IT, security, and youth ties. But success hinges on execution. If it delivers, BIMSTEC could bridge South and Southeast Asia, harnessing the Bay of Bengal’s economic and strategic might. If not, it risks fading into obscurity, overshadowed by bigger players.
For now, BIMSTEC is a work in progress—a regional experiment with global implications. Whether it becomes a powerhouse or a footnote depends on its members’ resolve to turn promises into action.