Why in news?
During Philippine President Ferdinand Marcos Jr’s state visit in August 2025, India and the Philippines signed a joint declaration elevating their relationship to a Strategic Partnership. This upgrade reflects growing cooperation on defence, trade and connectivity.
Evolution of bilateral ties
India and the Philippines established diplomatic relations in 1949. For decades their interactions were cordial but limited. The relationship gained momentum after 2014 as India pursued its Act East policy. In 2024 they celebrated 75 years of relations and signed agreements on maritime cooperation, space and defence. With the August 2025 visit, the partnership has now been officially upgraded.
Key announcements
- Strategic partnership: The new framework commits both sides to deeper cooperation and regular consultations across defence, security, trade and cultural exchanges.
- Defence and maritime cooperation: The two countries signed Terms of Reference for their armies, navies and air forces and for their coast guards. Indian naval ships participated in joint exercises in Philippine waters, and the hydrography ship INS Darshak carried out joint surveys.
- Trade and economic engagement: Negotiations began on a Preferential Trade Agreement (PTA) to boost bilateral trade. Current trade stands at about US$3.5 billion, with India exporting pharmaceuticals, electronics and rice and importing semiconductors and ores.
- Connectivity and tourism: India announced direct flights between Manila and major Indian cities and a new e‑tourist visa waiver for Filipino travellers.
- Legal and institutional agreements: A Mutual Legal Assistance Treaty and a Treaty on Transfer of Sentenced Persons were signed to strengthen judicial cooperation.
- Digital infrastructure and space: India will help build a sovereign data cloud for the Philippines and assist the Philippine Space Agency with satellite launches for weather and agriculture monitoring.
Background of cooperation
Security relations took a leap in 2022 when the Philippines became the first foreign customer to receive the BrahMos supersonic cruise missile system. Indian and Filipino navies regularly conduct maritime exercises and share hydrographic data. In the space sector, ISRO has assisted the Philippines with satellite imagery and has offered to co‑develop small satellites.
Significance of the partnership
- Balancing China: Both countries support a rules‑based order in the Indo‑Pacific and freedom of navigation in the South China Sea. A strategic partnership bolsters maritime security and sends a signal to China.
- Act East and Look West: For India, the Philippines provides an ASEAN foothold for its Act East policy. For the Philippines, India offers a partner beyond its traditional alliances.
- Defence industry: Collaboration opens up opportunities for co‑production of missiles, naval systems and electronics, helping India’s defence export ambitions.
- Space and technology: Joint satellite missions and data‑sharing can improve disaster management, agriculture and communications in both countries.
- People‑to‑people ties: Around 9,800 Indian students study in the Philippines, while Indian medical tourism is popular among Filipinos. Direct flights and easier visas will strengthen these links.
Challenges and way forward
- Under‑implementation of agreements: Many past Memorandums of Understanding (MoUs) have yet to be realised. Regular high‑level reviews are needed to ensure progress.
- Asymmetry in investment: Indian foreign direct investment in the Philippines is about US$5 billion, whereas Filipino investment in India is very small. Balanced two‑way investment must be encouraged.
- China factor: Manila must balance its ties with the US, China and India. Beijing may view closer India–Philippines ties unfavourably.
- Connectivity lag: Limited direct shipping and air links hinder trade. Infrastructure projects and the PTA should be fast‑tracked.
Way forward: Finalising the Preferential Trade Agreement, expanding joint defence projects and launching collaborative satellite missions will help translate the strategic partnership into tangible outcomes. Track‑1.5 dialogues involving academics and industry can foster understanding, and greater academic and medical exchanges will strengthen people‑to‑people bonds.