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Northeast India: Modi Government's 'Ashtalakshmi' Vision for Prosperity and Development

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Tuesday, 16 June 2026 at 03:35 pm

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Northeast India: Modi Government's 'Ashtalakshmi' Vision for Prosperity and Development

BNN Summary

Union Minister Pabitra Margherita affirmed that the Narendra Modi-led government views Northeast India as 'Ashtalakshmi,' symbolizing eight forms of wealth and prosperity. This perspective underscores a significant policy shift aimed at transforming the region from a historical periphery into a vibrant engine of national growth. Extensive initiatives in infrastructure, economic development, peace, and cultural promotion are driving this monumental change, integrating the eight states into India's mainstream development narrative.

In-Depth Analysis

Kohima, Nagaland – Union Minister Pabitra Margherita declared on Tuesday that the Narendra Modi-led government regards Northeast India as the nation's 'Ashtalakshmi,' a powerful metaphor signifying eight forms of wealth and prosperity. This declaration, made in Kohima, underscores a profound shift in the central government's approach towards the region, aiming to integrate the eight Northeastern states – Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, and Tripura – as pivotal drivers of India's overall growth and development.

For decades, Northeast India was often perceived as a geographically isolated periphery, struggling with inadequate infrastructure, limited economic opportunities, and persistent insurgency. However, under the Modi government, this narrative has been consciously altered, with a concerted effort to reposition the region as a 'growth engine' and an indispensable component of the 'Viksit Bharat 2047' vision. Minister Margherita highlighted this transformation, emphasizing the sustained engagement, enhanced connectivity, and higher central investment that have effectively brought the national capital closer to the Northeast.

A cornerstone of this strategic reorientation is the 'Act East Policy,' which evolved from the earlier 'Look East Policy' in 2014. This policy explicitly positions Northeast India as India's crucial land gateway to ASEAN and Southeast Asian countries, leveraging its unique geostrategic location. The policy aims to foster deeper economic cooperation, cultural exchanges, and strategic partnerships with East and Southeast Asia. Flagship connectivity projects under the 'Act East Policy' include the ambitious India-Myanmar-Thailand Trilateral Highway and the Kaladan Multi-Modal Transit Transport Project. While these projects hold immense potential for transforming the Northeast into a vibrant trade corridor, their operationalization has faced challenges, notably due to Myanmar's political instability.

The government's commitment to the Northeast is evident in the dramatic increase in budgetary allocations and infrastructure development. Gross budgetary support to the region has surged by 208% compared to the period from 2004–05 to 2013–14, with a 381% rise in the 10% Gross Budgetary Support (GBS) allocation between 2014–24. Region-specific initiatives, such as PM-DevINE (Prime Minister's Development Initiative for North Eastern Region) with an outlay of ₹6,600 crore, specifically target critical gaps in infrastructure and livelihood generation.

Infrastructure development has been a key focus, with significant improvements across all modes of transport. The national highway network in the region has expanded, and over 46,000 kilometers of rural roads have been constructed, connecting previously isolated communities. Railway investment has seen a nearly fivefold increase compared to the pre-2014 period, with projects worth approximately ₹77,000 crore currently underway. All state capitals in the Northeast, including Arunachal Pradesh (2015), Tripura (2016), Mizoram (2016), and Manipur (2023), are now connected to the Broad Gauge network, deeply integrating the region with the rest of India. Air connectivity has also seen remarkable growth, with the number of operational airports increasing from nine to seventeen since 2014, boosted by the regional air connectivity scheme UDAN. Mega infrastructure projects like the Bogibeel and Dhola-Sadiya bridges, Metri Setu, and the Sela Tunnel have drastically reduced travel times and unlocked new economic opportunities. Furthermore, the expansion of national waterways and the development of multimodal logistics hubs, such as the Jogighopa Inland Waterways Terminal, are strengthening trade connectivity with neighboring countries like Bangladesh and Bhutan. Digital connectivity has also vastly improved, extending internet access to even remote areas.

Economically, the Northeast is attracting substantial national and international investments. The region has received investment proposals worth ₹4.3 lakh crore, signaling its emergence as a promising economic powerhouse. A notable example is the ₹27,000 crore semiconductor project in Assam, which is projected to create over 26,000 direct and indirect employment opportunities. The focus sectors for investment and growth include organic agriculture, with Sikkim leading as India's first fully organic state and initiatives like the Mission Organic Value Chain Development for the North Eastern Region (MOVCDNER) benefiting over 1.89 lakh farmers. Other key areas include tea production, petroleum, energy, sports, eco-tourism, handicrafts, bio-economy, and bamboo.

Beyond economic development, the government has made significant strides in peace and security. A decisive counter-insurgency strategy has led to a 70% reduction in violent incidents and an 89% decrease in civilian casualties between 2014 and 2024. Over the last 11 years, 12 peace accords have been signed with key militant groups, resulting in more than 10,000 rebels laying down arms and joining mainstream society. Historic agreements like the Bodo Peace Accord, the Bru-Reang resettlement pact, and the recent 2024 agreement with the NLFT and ATTF in Tripura have not only restored peace but also fostered trust and reintegration. Consequently, the Armed Forces Special Powers Act (AFSPA) has been significantly reduced in most parts of the Northeast.

Cultural preservation and promotion have also been integral to the government's strategy. Efforts include granting Assamese the status of a classical language and securing UNESCO World Heritage Site inscription for the Charaideo Maidams. Prime Minister Modi's personal participation in regional cultural events has further underscored the importance of celebrating the Northeast's rich heritage.

This comprehensive approach, marked by a shift from 'Look East' to 'Act East, Act Fast,' and a view of the Northeast as 'Ashtalakshmi,' is transforming the region into a vibrant hub of development, connectivity, and prosperity, making it an integral part of India's growth story.

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