Bilateral and Multilateral Co-operation
India has strong bilateral links with both the USA and the EU, especially in relation to the UK – and this ranges from, defence, trade and aid. In terms of aid, India has vital links with the USAID, which sees it as a beacon of democracy in an unstable region, and primarily focuses on dealing with Indian poverty. Another example is that of the Department for International Development (DFID) which has India as one of its focus countries, and has promised to provide £280 million per year until 2015. Multilateral aid also pays a key role in India, with India being the largest borrowing country from the Asian Development Bank (2007), and also a focus for the World Bank. Such organisations flock to India because of its reputation of being the world’s largest democracy, its creditworthy reputation, the size of its poverty issue, and the huge potential for development.