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Charting the Future of IORA under India’s Chairship
Context:
India will assume chairmanship of IORA from November 2025 and aims to enhance its governance, resilience, and funding mechanisms.
About IORA
- The Indian Ocean Rim Association (IORA) is a regional inter-governmental organisation which was established on 7 March 1997 fostering economic cooperation, maritime security, and sustainable development in the Indian Ocean Region (IOR).
- The vision for IORA originated during a visit by late President Nelson Mandela of South Africa to India in 1995.
- IORA’s apex body is the Council of Foreign Ministers (COM) which meets annually.
- The IORA’s strategic relevance stems from its unique position within the Indo-Pacific framework, its role in global trade, and the security challenges affecting member states.
IORA’s Geostrategic and Economic Significance
- The Indian Ocean connects Asia, Africa, and Australia and is vital for global trade:
- Transports 75% of global trade and 50% of daily oil consumption.
- Generates $1 trillion worth of goods and services annually.
- Intra-IORA trade was $800 billion in 2023.
- The region faces multiple challenges:
- Poor development, political instability, climate change-induced disasters, environmental degradation.
- Security threats: Piracy, terrorism, human and drug trafficking.
- Despite the U.S., China, and EU being dialogue partners, IORA is primarily driven by middle and small powers, necessitating stronger cooperation and institutional development.
Challenges Faced by IORA
- Funding Constraints
- IORA’s budget is member-dependent and limited due to most members being developing economies.
- Comparison with the Indian Ocean Commission (which has only five members but a budget of $1.3 billion for 2020-25) highlights the funding shortfall.
- Need to increase private sector participation in funding by involving shipping companies, oil and gas industries, marine tourism players, and fisheries-related businesses.
- Institutional Weaknesses
- The IORA Secretariat (based in Mauritius) has limited staff and operational capacity.
- Data management and policy analysis are hampered by traditional, non-digitised methods.
- The need for technological integration to enhance governance, efficiency, and decision-making.
India’s Strategic Priorities as IORA Chair
- Enhancing Funding Mechanisms
- Establishing sustainable financial sources beyond member contributions.
- Encouraging private sector collaboration for investment in blue economy projects.
- Seeking funding support from external dialogue partners like Japan, Germany, France, and the UK to counterbalance China’s influence.
- Leveraging Technology for Improved Governance
- Digitisation of data and records for efficient decision-making and accountability.
- Adoption of AI-driven policy analysis to identify security and economic trends.
- Strengthening Maritime Security and Regional Stability
- Implementing India’s Security and Growth for All (SAGAR) vision to complement IORA’s objectives.
- Enhancing cooperation in marine surveillance, anti-piracy operations, and disaster response mechanisms.
- Deepening engagement with France, UAE, and Oman for technological and investment support in maritime security.
- Collaboration and Capacity Building
- Academic and Research Collaborations
- Establishing maritime-ready courses in collaboration with academic institutions.
- Promoting marine accounting as an interdisciplinary course to support the blue economy.
- Encouraging knowledge-sharing from Australia (marine research), France & Singapore (marine technology), and island nations (traditional coastal governance methods).
- Strengthening IORA’s Role in Indo-Pacific Cooperation
- Aligning IORA’s initiatives with the Indo-Pacific Oceans Initiative (IPOI) and ASEAN Outlook on the Indo-Pacific (AOIP).
- Establishing lighthouse projects under IORA to enhance regional economic cooperation.
- Promoting mutual trust, transparency, and adherence to international maritime laws.
- Navigating Geopolitical Challenges
- Balancing China’s role as a dialogue partner while preventing strategic dominance.
- Sri Lanka’s upcoming chairship may increase China’s influence, necessitating stronger coordination with Japan, Germany, France, and the UK.
- Bangladesh’s push for a larger role for dialogue partners should be carefully monitored to prevent unwanted external interference.
