India’s immediate neighbourhood presents contrasting scenarios. Myanmar is on the brink of political chaos, and this development will have a negative effect on India’s security as well as its economic engagement with Southeast Asia. In Nepal, sustained political instability is threatening to halt economic progress. Moreover, Beijing is increasingly becoming an important player in the evolving political dynamics in Kathmandu. In contrast, Bangladesh presents an image of stability and progress. Amidst such diverse political realities coupled with China’s territorial assertions and drive for influence, India is seeking to operationalise economic and connectivity integration with the neighbourhood.