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Social Welfare

North East: India’s Beacon of Inclusive Growth

Posted On: 06 JUN 2025 10:02AM

 

“Bharat is considered the world’s most diverse nation, and our Northeast is the most diverse part of this diverse nation. From trade to tradition, from textiles to tourism, the diversity of the Northeast is its greatest strength.”- Prime Minister Shri Narendra Modi

INTRODUCTION

Once seen as a distant frontier, Northeast India is now a beacon of progress, peace, and potential. The Prime Minister recently called the North East- “Ashta Lakshmi”, highlighting the eight-fold rise for the region. Over the past eleven years, the Government has pursued a transformative vision for inclusive development, with a special focus on regions that were historically overlooked. Among these, the North Eastern Region has witnessed unprecedented growth and integration into the national mainstream. Guided by the Prime Minister’s mantra of “Act East” and “Transformation by Transportation,” the Ministry of Development of North Eastern Region (MDoNER) has emerged as a critical driver of change. Over the last 11 years, sustained policy attention, infrastructural investment, and strategic planning have reshaped the developmental landscape of India’s North East. The government has always prioritized inclusive development, and the government’s Northeast policy reflects its push to bring the region into the mainstream.

Utilization of Budgetary Resources: With a view to improve the connectivity in the region, different projects in sectors of power, water supply, health, education etc, have been sanctioned by the Ministry.

 

The allocation and effective utilization of budgetary resources have played a pivotal role not only in enhancing infrastructure and basic services but also in fostering a climate conducive to peace and stability. Improved connectivity through investments in power, water, health and education has addressed long-standing developmental gaps. These developmental strides have complemented the government's security initiatives, creating a cycle where growth promotes stability and peace enables further progress.

PEACE AND SECURITY INITIATIVES

Northeast had faced severe internal security challenges for decades. Due to the effective steps taken by the government, there has been a significant improvement in the security situation in the Northeast. Since 2014 there has been sharp reduction in the extremist incidents and the resulting deaths of security personnel and civilians. The signing of peace accords has led to peace and a decline in violence in the region.

  • Framework Agreement with NSCN(IM), 2015
  • Tripura Peace accord, (NLFT/SD) 2019
  • Bodo Peace Accord, 2020
  • Karbi-Anglong Peace Accord, 2021
  • Assam-Meghalaya boundary agreement, 2022
  • Adivasi Assam Peace Accord, 2022
  • DNLA Peace agreement 2023
  • ULFA Peace Accord 2023
  • NLFT and ATTF Peace Agreement 2024

These efforts have paved the way for reducing AFSPA coverage in the region. Long pending disputes between States in the Northeast had been a major concern in the region. Many decades-long disputes are finally getting permanently resolved through the active efforts of the government. Recently Assam and Arunachal Pradesh have signed a Memorandum of Understanding to resolve a decades‑old boundary dispute.

INFRASTRUCTURE

  • The North East Special Infrastructure Development Scheme (NESIDS): It was approved as a new Central Sector Scheme in 2017-18 and restructured into two components viz. NESIDS (Roads) and NESIDS (Other Than Roads Infrastructure) in 2022-23 to prevent sectoral overlaps in regard to road sector as per the recommendation of the Expenditure Finance Committee (EFC) and approval of the Government. The scheme has been extended until 2026.

 

  • Prime Minister’s Development Initiative for North East Region (PM-DevINE)
    Prime Minister’s Development Initiative for North East Region (PM-DevINE) was announced as a new Central Sector Scheme in the Union Budget 2022-23 with an outlay of Rs 6,600 crore for the 4‑year period from 2022‑23 to 2025‑26. The objective of PM-DevINE entails the overall vision of MDoNER i.e. “Transforming NER through Development in an Accelerated yet Sustainable manner, affording access to ease of living to all its citizens”. Thus, the broad objectives of “PM-DevINE” are-
    1. Infrastructure development projects in the spirit of PM GatiShakti
    2. Social development projects based on the required needs of the region
    3. Enhancing livelihood activities for youth & women of the region
    4. Filling up developmental gaps in various sectors

The government has always prioritized inclusive development, and the government’s Northeast policy reflects its push to bring the region into the mainstream. Through its Northeast policy, it has focused on economic development, internal security, as well as preservation and promotion of the cultural diversity of the region. Lack of physical connectivity and poor infrastructure had contributed to the region’s isolation for many decades. Innumerable long‑pending infrastructure projects were completed.

  • Development of Hydro Electric Projects: Central Financial Assistance towards Equity Participation by the State Governments of the North Eastern Region for development of Hydro Electric Projects was approved in August 2024. This scheme has an outlay of Rs. 4136 crore and will be implemented from FY 2024-25 to FY 2031-32. A cumulative hydro capacity of about 15000 MW would be supported under the scheme. The scheme would be funded through 10% Gross Budgetary Support (GBS) for North Eastern Region from the total outlay of the Ministry of Power.
  • Bogibeel Bridge: The long list of projects includes iconic projects such as Bogibeel Bridge, inaugurated by PM Modi in 2018, sixteen years after its announcement by PM Atal Bihari Vajpayee, expansion of the railway network, the trial run of passenger train has been conducted in Mizoram first time since independence.

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  • Airports: 10 Greenfield airports built in the last 11 years. The impact of the improved connectivity can be seen in the increasing tourist numbers in the region.
  • Ro-Ro service started on the Brahmaputra river between Dhubri and Hathsingimari, Nematia and Kamalabari and Guwahati and North Guwahati.

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Roll-on & Roll-off (“Ro-Ro”) waterways projects comprise of Ro-Ro ships/vessels which are designed to carry wheeled cargo, such as cars, trucks, semi-trailer trucks, trailers and railroad cars that are driven on and off the ship on their wheels or using a platform vehicle. It also comprises of jetties, with related port terminal and approach connectivity infrastructure.

 

CATALYSING GROWTH: EXTERNALLY AIDED PROJECTS (EAPs)

MDoNER has supported 126 Externally Aided Projects worth of Rs 1,35,487.85 crore from 2017 to August, 2023 and Department of Economic Affairs has recommended 124 projects worth Rs 1,26,645.82 crore for external funding during this period. This has helped in improving social and infrastructure development in the region.

ECONOMIC DEVELOPMENT

In the last 11 years, significant investment has been made in the Northeast for its economic development. Several projects have been completed during the last 10 years.

  • 974 industrial units registered under Northeast Special Infrastructure Development Scheme (NESIDS).
  • ₹1010.99 Crore disbursed till 31.03.2025; ₹400 Crore disbursed in 2024-25 for developmental packages in the Northeastern Region.
  • Rising North East Investors Summit:

Held on May 23-24, 2025 and inaugurated by the PM, the summit aims to highlight the North East Region as a land of opportunity, attracting global and domestic investment, and bringing together key stakeholders, investors, and policymakers on a single platform. Delegations from over 80 countries were welcomed at the event. In the inaugural ceremony of the summit, the Prime Minister highlighted that over the past decade, Rs 21,000 crore has been invested in the Northeast's education sector. Post the conclusion of the summit, the event drew an unprecedented Rs. 4.3 Lakh Crore in investment interest, setting the stage for the Northeast to become India’s next economic powerhouse.

  • Multiple High Level Task Forces for Sectoral Growth in NER: The HLTFs are on the following subjects:
  • North‑East Economic Corridor
  • Promotion of Tourism in NER
  • Investment Promotion in NER
  • Infrastructure & Connectivity in NER
  • Handlooms and Handicrafts in NER
  • Attaining Self‑Reliance in Milk, Eggs, Fish and Meat Production in NER
  • Agriculture and Horticulture for Addressing the Gaps in Value Chains and Market Linkage
  • Promotion of Sports in NER

AGRICULTURE & FARMING

  • Northeast will shape India’s expansion in edible oil production.
  • The region is being transformed into a global hub for organic farming.
  • Van Dhan Vikas Yojana helped 3.3 lakh gatherers and 19,155 SHGs.
  • The landmark decision to declare Bamboo as grass and the launch of the National Bamboo Mission gave a fresh impetus to the production of Bamboo‑based products in the region.
  • On numerous occasions, the Prime Minister has highlighted the success of Sikkim in promoting organic farming and becoming the world’s first 100% organic State.

NERAMAC (North Eastern Regional Agricultural Marketing Corporation Limited): Empowering Agri-Value Chains

  • Geographical Indication (GI) registration of 13 Agri-Horti produces of NER:

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  • Mission Organic Value Chain Development for NER: 434 FPCs (Farmer Producer Companies) have been created, covering 1.73 lakh hectares and benefitting 2.19 lakh farmers.
  • Increased the products basket of NERAMAC from 38 to 75+: NERAMAC in the year 2021 increased its range of processed and valued added Agri-produces from 38 to 78. Introducing innovative products like Organic Tea Box, Sumac Berry Powder, Outenga Juice Safety Spray, Tea in Bamboo Trunk amongst others.
  • Van Dhan Vikas Yojana: The scheme aims to generate livelihood opportunities for tribal gatherers by transforming them into entrepreneurs. The scheme has helped 3.3 lakh gatherers and 19,155 SHGs (Self-Help Groups).
  • Formation of 54 FPOs under ‘Formation and Promotion of 10000 FPOs’ of Ministry of Agriculture and Farmers Welfare (MoAFW): NERAMAC has been appointed as the Additional Implementing for formation and promotion of FPOs in the northeastern region by the MoAFW. 55 nos of FPOs allotted in the FY 2020‑21 have become functional and another lot of 220 FPOs covering 40,895 beneficiaries (as of May 26, 2025).
  • Skill Development Training: NERAMAC has commenced conducting a number of skill development training endeavours in Agri, Rubber, Food Processing sectors for the benefit of the farmers and small entrepreneurs of the region.
  • Bee keeping project under North Eastern Centre for Technology and Enrich (NECTAR): Under the project in collaboration with NECTAR, NERAMAC, as an implementing agency, has distributed 1000 bee‑boxes and accessories amongst the bee keepers of Nagaland, Assam (BTC) and Meghalaya.
  • Fragrant Fortunes- Agarwood: To drive and monitor implementation of the roadmap of Agarwood sector in the North East region, an Agarwood Steering Group was formed. There has been a more than 6 times increase in export quota for agarwood chips from 25,000 Kg to 1,51,080 Kg and agarwood oil from 1,050 Kg to 7,050 Kg by DGFT (Directorate General of Foreign Trade) in January 2025. Simplification of the process of obtaining export permission of Agarwood has been initiated. Proposal has been prepared to augment agarwood value chain development in Assam & Tripura using cluster approach.

SOCIAL DEVELOPMENT

  • Healthcare:

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Assam will have South Asia’s largest cancer care network with 15 hospitals. 8 have been inaugurated already and 7 more are under construction. Eight cancer hospitals are being built in Phase 1 of the project in Dibrugarh, Kokrajhar, Barpeta, Darrang, Tezpur, Lakhimpur, Jorhat and Itanagar. As part of Phase 2 of the project, seven new cancer hospitals will be built at Dhubri, Nalbari, Goalpara, Nagaon, Sivasagar, Tinsukia, and Golaghat. One cancer hospital is also being built in Itanagar, Arunachal Pradesh. Additionally, 15 medical colleges being set up in Assam.

  • Mizoram Achieves Full Functional Literacy:

On 20th May, 2025, Mizarom was officially declared fully literate state, marking a historic milestone in the state’s educational journey. With this achievement, Mizoram becomes the first state in India to attain full literacy. Mizoram, which attained statehood on 20th February 1987, spans a geographical area of 21,081 km² (8,139 sq mi). As per the 2011 Census, it recorded a literacy rate of 91.33%, ranking third in India. Building on this strong foundation, the ULLAS – Nav Bharat Saaksharta Karyakram (New India Literacy Programme) was implemented to identify and educate the remaining non-literate individuals.

  • North East District SDG Index:

MDONER in collaboration with NITI Aayog has prepared North Eastern Region District SDG Index and Dashboard 2021-22 with technical support from UNDP‑India. This is the first time a district wise SDG index has been prepared in the country. It measures and ranks the 103 districts out of 120 districts of the 8 NE States on social, human, economic, infrastructural and environmental dimensions of development. District SDG Index is being used for regular appraisal and advise for the better implementation of the schemes.

PRESERVATION OF CULTURE AND HERITAGE

  • Assam’s Moidams:

Over the years, India has steadily expanded its presence on the World Heritage List. In July 2024, a proud addition was made with the inscription of “Moidams: The Mound-Burial System of the Ahom Dynasty” from Assam as a cultural property.

Set in the foothills of the Patkai Ranges in eastern Assam, the property contains the royal necropolis of the Tai-Ahom. For 600 years, the Tai-Ahom created moidams (burial mounds) accentuating the natural topography of hills, forests and water, thus forming a sacred geography. Banyan trees and the trees used for coffins and bark manuscripts were planted and water bodies created. Ninety moidams – hollow vaults built of brick, stone or earth – of different sizes are found within the site.

  • Rani Gaidinliu tribal freedom fighter museum set up in Manipur.
  • Sivasagar in Assam being developed as an Iconic site with an on‑site museum.

  • Iconic Tourist Destination Development (8 NER States): The identification of one tourism site in each of the North‑Eastern States that is being planned to be developed by Central Govt/State Govt and PPP Partners.
  • 400th Birth Anniversary of Lachit Borphukan

It has been the constant endeavour of the Prime Minister to honour the unsung heroes in a befitting manner. In line with this, the country celebrated 2022 as the 400th birth anniversary of Lachit Borphukan. Lachit Borphukan (November 24, 1622‑April 25, 1672) was the famous General of the Royal Army of the Ahom Kingdom of Assam who defeated the Mughals and successfully halted the ever‑expanding ambitions of the Mughals under Aurangzeb. He inspired the Assamese soldiers in the Battle of Saraighat, fought in 1671, and inflicted a crushing and humiliating defeat on the Mughals.

 

  • North Eastern Handicrafts & Handlooms Development Corporation Limited (NEHHDC): Reviving Handlooms and Handicrafts
  • Launched e-commerce portal- Purbashree.com on 28th July 2021.
  • Set up Nature’s Weave, an in-house design and production centre.
  • “Purbashree On Wheels”- a mobile sales outlet.
  • Established a Textile Testing Laboratory at Garchuk, Guwahati.
  • Set up a Calendaring unit for handwoven textile finishing.
  • Nominated as Training Partner, Skill Hub, Centre of Excellence, Livelihood Business Incubator (ASPIRE) by various Central Ministries.
  • Working towards establishing additional facilities by December 2025.

 

  • Ashtalakshmi Mahotsav (Dec 6-8, 2024)

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  • Showcased NE’s textiles, tourism, GI-tagged products, and crafts.
  • Featured all 8 NE state pavilions including Eri & Muga silk.
  • B2G sessions attracted project proposals worth ₹2,500 crore.

ERI Silk Spinning Plant (Assam):

  • Established at Mushalpur, Baksa with 200 kg/day capacity.
  • Direct employment to 375 individuals; indirect livelihood for approximately 2,500 households.
  • Digital traceability and authentication network for 10,000 weavers across 7 NE states.

CONCLUSION

From being on the margins of the India story, the Northeast is quickly becoming one of the country’s growth engines. Over the last eleven years, the government has transformed this once-overlooked region into a hub of connectivity, entrepreneurship, and strategic relevance. Flagship initiatives like NESIDS, PM-DevINE and Special Development Packages, along with the revitalization of institutions such as NEDFi, NEHHDC, and NERAMAC have catalyzed social and economic development at an unprecedented scale. With record budget allocations, policy innovation, and growing private sector interest, the Northeast is not just catching up, it is leading the way in India’s march toward inclusive and balanced regional growth.

References:

North East: India’s Beacon of Inclusive Growth

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Explainer 05/ Series on 11 Years of Government

Santosh Kumar/ Ritu Kataria/ Kritika Rane

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