INDIA Balancing Strategic Interests in South Asia: India’s Stand on the Taliban and Afghanistan’s Future

India’s policy toward Afghanistan under the Taliban regime reflects a delicate balance between economic engagement, security interests, and regional stability. This analysis explores the historical context, strategic calculations, and future scenarios shaping India's approach. The complexity of India's relationship with the Taliban stems from the Taliban's ties with Pakistan, the growing influence of China, and the geopolitical importance of Afghanistan as a strategic hub connecting South Asia with Central Asia.

Historical Context and India’s Strategic Legacy in Afghanistan

Historical Background

India has maintained deep cultural, economic, and political ties with Afghanistan for centuries. However, these ties have been strained by the Taliban’s previous rule (1996–2001) and its historic alignment with Pakistan. India supported the Northern Alliance against the Taliban in the 1990s and maintained close ties with the post-2001 governments of Hamid Karzai and Ashraf Ghani.

Period Key Developments India’s Role
1979–1989 Soviet-Afghan War Supported Soviet-backed Afghan factions
1996–2001 Taliban Regime Opposed Taliban; supported the Northern Alliance
2001–2021 US-led NATO Occupation Major investor in Afghan infrastructure and political stability
2021–Present Taliban Regime Gradual re-engagement without formal recognition

Why Afghanistan Matters to India

  1. Strategic Location – Afghanistan serves as a vital land bridge between South Asia and Central Asia.
  2. Security Threat – Taliban's ties with Pakistani intelligence (ISI) and terrorist organizations (LeT, JeM) raise the risk of terrorism in Kashmir.
  3. Economic Potential – Afghanistan holds significant natural resources (copper, lithium) and trade opportunities.
  4. Regional Stability – Political instability in Afghanistan could destabilize South Asia.
  5. Counterbalance to Pakistan and China – Engagement with the Taliban prevents Afghanistan from becoming a Pakistan-China geopolitical asset.

India’s Strategic Goals in Afghanistan

  1. Regional Security and Counterterrorism
    • India seeks to prevent the rise of terror groups like Lashkar-e-Taiba and Jaish-e-Mohammed, which have historically used Afghan territory for training and operations.
    • Intelligence-sharing agreements with the Taliban are designed to curb cross-border terrorism in Kashmir.
    • India aims to prevent Afghanistan from becoming a safe haven for terror groups aligned with Pakistan's ISI.
  2. Economic and Trade Interests
    • India views Afghanistan as a key component of its broader strategy to connect with Central Asia through the Chabahar Port and land-based trade corridors.
    • Bilateral trade with Afghanistan reached $1.2 billion in 2024, with growth projected at 8–10%
    • Major Indian companies (like ONGC, Tata, and Larsen & Toubro) have shown interest in Afghan infrastructure projects.
  3. Diplomatic and Political Engagement
    • India’s diplomatic approach reflects a non-recognition, engagement-based policy—maintaining political distance while engaging economically and strategically.
    • India’s participation in platforms like the Moscow Format and Doha Talks reinforces its political leverage over Taliban policies.
  4. Humanitarian Assistance and Soft Power
    • India has maintained a non-political humanitarian presence in Afghanistan:
      • 50,000 metric tons of wheat (2024)
      • Vaccines and medical supplies (2023–2024)
      • Educational scholarships for Afghan students in Indian universities

Key Dimensions of India's Afghanistan Policy

  1. Diplomatic Strategy
    Element Details
    Recognition No formal recognition of the Taliban government
    Engagement Platforms Participating in multilateral platforms (Moscow Format, Doha Talks)
    Back-Channel Diplomacy Engaging Taliban through Qatar and Russia
    Support for Inclusive Governance Advocating for protection of minorities (Tajiks, Hazaras, Sikhs)
  2.  Economic and Trade Engagement
    Area Details Value
    Infrastructure Projects Zaranj-Delaram Highway, Salma Dam repair $500 million
    Trade Export of pharmaceuticals, import of saffron and dry fruits $300 million annually
    Chabahar Port Investment Upgraded port connectivity with Afghanistan $2 billion
    Education and Skill Building Scholarships for Afghan students in India 500+ scholarships annually
  3. Security and Counterterrorism Strategy
    Threat India’s Response Outcome
    Taliban ties with ISI Intelligence-sharing with Taliban leadership Limited success
    Infiltration into Kashmir Increased border surveillance and intelligence Partial reduction in infiltration
    Presence of LeT and JeM Pressure on Taliban to close training camps Unclear effectiveness
  4.  Humanitarian Assistance
    Form of Aid Details Beneficiaries
    Medical Aid Vaccines and medical supplies 1 million Afghans
    Food Supplies 50,000 metric tons of wheat 5 million Afghans
    Infrastructure Repair of hospitals and schools Nationwide impact
  5. Soft Power and Cultural Ties
    Initiative Details
    Scholarships 500+ scholarships annually for Afghan students
    Bollywood Influence Continued popularity of Indian films and TV shows
    Religious Diplomacy Restoration of Hindu and Sikh temples

India’s Evolving Position Since 2024

Phase 1: Cautious Engagement (2021–2023)

  • India withdrew from direct involvement post-Taliban takeover.
  • Maintained back-channel communication through Qatar and Russia.
  • Focused on humanitarian assistance rather than political engagement.

Phase 2: Active Re-engagement (2024–2025)

Event Date Details Strategic Goal
Reopening of Indian Embassy April 2024 Appointed a senior diplomat to oversee operations in Kabul Political foothold without formal recognition
Moscow Format Talks October 2024 Participated alongside Russia, China, and Iran Influence Taliban’s governance structure
India-Afghanistan Economic Corridor May 2024 Facilitated trade through Chabahar Port Economic leverage over Pakistan
Technical Assistance to Taliban July 2024 Repaired Salma Dam and modernized agriculture Build goodwill and strategic influence
Trade Agreement February 2025 Import-export agreement worth $300 million annually Strengthen economic ties
Intelligence Sharing Ongoing Taliban agreed to curb terror activities against India Limit Pakistan’s strategic advantage

Reopening of the Indian Embassy in Kabul (April 2024)

  • India reopened its embassy in April 2024, signaling a shift toward formal engagement.
  • A senior Indian diplomat was posted to head the mission.
  • Purpose:
    • Facilitate humanitarian aid.
    • Provide consular services to Indian citizens.
    • Establish diplomatic back-channels with Taliban leadership.
  • However, India clarified that opening the embassy does not equal political recognition of the Taliban regime.

Participation in the Moscow Format Talks (October 2024)

  • India participated in the Moscow Format Consultations alongside:
    • Russia
    • China
    • Iran
    • Pakistan
    • Central Asian nations
  • India’s position:
    • Called for an inclusive political framework in Afghanistan.
    • Stressed the need to protect:
      • Ethnic minorities (Tajiks, Uzbeks, Hazaras)
      • Religious minorities (Hindus, Sikhs)
    • Opposed Pakistan's dominant influence over Taliban policies.

India-Afghanistan Economic Corridor Agreement (May 2024)

  • India, Iran, and Afghanistan signed a trade and transit agreement through:
    • Chabahar Port (Iran) → Afghanistan → India
    • Trade value expected to reach $2 billion annually by 2026
  • India committed to investing $500 million in:
    • Road and rail connectivity from Chabahar to Kabul
    • Upgrading the Zaranj-Delaram Highway
    • Modernizing Afghanistan’s dry fruit and saffron trade infrastructure

Taliban’s Request for Technical Assistance (July 2024)

  • Taliban formally invited India to:
    • Repair and upgrade the Salma Dam.
    • Modernize Afghanistan’s agriculture sector.
    • Provide medical assistance to Afghan hospitals.
  • India agreed to provide technical support without diplomatic recognition.

Growing Terrorism Threats and India's Intelligence Response (August 2024)

  • Indian intelligence detected:
    • Increased training of Kashmiri militants in Helmand and Khost
    • ISI-backed groups like Lashkar-e-Taiba and Jaish-e-Mohammed operating training camps in Afghanistan.
  • India raised concerns with the Taliban through back-channel diplomacy via:
    • Qatar
    • Russia

China and Pakistan's Growing Influence (September 2024)

  • China signed a mining contract worth $3 billion with the Taliban for:
    • Copper extraction in Mes Aynak.
    • Lithium mining in Kandahar.
  • Pakistan facilitated military cooperation with the Taliban by supplying:
    • Training equipment
    • Military-grade communication tools
  • India viewed these developments as strategic threats and accelerated its own engagement.

Trade Agreement Between India and the Taliban (February 2025)

  • India signed a non-political trade agreement with the Taliban-led Afghan government for:
    • Import of Afghan saffron, dry fruits, and carpets.
    • Export of pharmaceuticals and agricultural equipment.
    • Trade valued at approximately $300 million
  • Trade was routed through:
    • Chabahar Port to avoid direct engagement with Taliban-controlled banks.

Taliban's Promise to Control Terrorism (January 2025)

  • Taliban leadership assured India of:
    • No terrorist activity from Afghan soil against India.
    • Cracking down on LeT and JeM training camps.
    • Improved border security along the Afghanistan-Pakistan border.
  • India maintained a "wait-and-see" policy on the Taliban’s commitments.

Growing Chinese and Pakistani Influence (March 2025)

  • China and Pakistan increased their investments in Afghanistan:
    • China invested in mining projects (copper and lithium).
    • Pakistan facilitated new transport corridors through Afghanistan.
  • India’s strategic response:
    • Increased infrastructure aid to Afghanistan to counterbalance growing Chinese influence.
    • Strengthened diplomatic engagement with Central Asian partners.

Strategic Use of Soft Power

  • India expanded its soft power influence by:
    • Sponsoring scholarships for Afghan students at Indian universities.
    • Funding reconstruction of historical sites like:
      • Buddhist monasteries in Bamiyan.
      • Mosques damaged during the Taliban's first rule (1996–2001).
    • Broadcasting Bollywood films and TV shows in Afghanistan.

Strategic Outcomes and Future Scenarios

Scenario Likelihood Impact on India
Taliban stabilizes Afghanistan Moderate Increased trade and economic access
Taliban-controlled terrorism spills into Kashmir High Increased military engagement along LoC
Pakistan dominates Taliban's policies Moderate Security threats for India
China monopolizes Afghan resources High Diminished Indian influence in Afghan economy
International isolation of Taliban Low Limited impact on India due to strategic autonomy

Geopolitical Analysis

  1. India vs. Pakistan
    • Pakistan has historically used the Taliban as a proxy to secure strategic depth against India.
    • India’s re-engagement with the Taliban aims to weaken Pakistan’s influence over Kabul.
    • Taliban’s growing economic dependence on China complicates India’s strategy.
  2. India vs. China
    • China has aggressively pursued mining contracts and infrastructure projects in Afghanistan.
    • Chinese companies have secured long-term contracts for:
      • Copper extraction in Mes Aynak
      • Lithium mining in Kandahar
    • India is countering this by increasing trade and infrastructure investment through Chabahar Port.
  3. India’s Position in Multilateral Platforms
    Platform India’s Role Goal
    Moscow Format Participating with Russia, China, and Iran Influence Taliban’s political framework
    Doha Talks Engaging Taliban leadership through Qatar Establish direct diplomatic channels
    UN Human Rights Council Advocating for minority and women’s rights in Afghanistan Enhance soft power and diplomatic leverage

Challenges and Risks

Challenge Potential Impact India's Strategy
Terrorism Resurgence Increased infiltration in Kashmir Enhanced intelligence and border security
Taliban’s Internal Instability Political vacuum and increased terror activity Back-channel diplomacy with Russia and Qatar
Pakistan-China Axis Strategic encirclement of India Economic leverage through trade with Afghanistan
Economic Collapse in Afghanistan Humanitarian crisis and refugee flow Continued humanitarian aid and infrastructure projects

Future Scenarios

Scenario Likelihood Impact on India
Taliban stabilizes Afghanistan Moderate Increased trade and economic access
Taliban-controlled terrorism spills into Kashmir High Increased military engagement along LoC
Pakistan dominates Taliban's policies Moderate Security threats for India
China monopolizes Afghan resources High Diminished Indian influence in Afghan economy
International isolation of Taliban Low Limited impact on India due to strategic autonomy

Strategic Recommendations

  1. Diversify Economic Engagement – Expand trade and transit routes beyond Chabahar Port.
  2. Enhance Security Cooperation – Establish direct intelligence-sharing channels with Taliban.
  3. Expand Diplomatic Engagement – Leverage Moscow and Doha platforms for political influence.
  4. Counter China’s Economic Influence – Offer competitive infrastructure and resource contracts.
  5. Engage Central Asia – Strengthen connectivity with Kazakhstan, Turkmenistan, and Uzbekistan.

A Delicate Balance

India’s Afghanistan policy reflects a careful blend of economic pragmatism, security imperatives, and diplomatic flexibility. India’s ability to navigate the evolving Afghan landscape while balancing threats from Pakistan and China will define its success in securing long-term strategic influence in South Asia.