Positioning the Northeast as India’s next major growth frontier, Union Finance and Corporate Affairs Minister Nirmala Sitharaman on Friday urged the region’s states to strategically leverage externally aided projects to attract investment, strengthen governance and accelerate infrastructure-led development, asserting that the region will be central to the country’s journey towards Viksit Bharat by 2047.
Addressing the inaugural session of the two-day Conference on “Leveraging Externally Aided Projects (EAPs) in the North-Eastern States” in Shillong, Sitharaman said externally aided projects have become a key instrument for financing critical investments in connectivity, infrastructure, livelihoods and social development across the region. Organised by the Department of Economic Affairs under the Ministry of Finance, the conference brought together chief ministers of Northeastern states, senior government officials, multilateral development banks, bilateral agencies and development partners to explore ways of improving project implementation and mobilising greater development finance for the region.
Delivering the keynote address, Sitharaman said, “The Northeast is entering a decisive phase of development where stronger institutions, implementation capacity and partnerships are as important as investments.” She said the region has moved from the margins to the mainstream of India’s development agenda under Prime Minister Narendra Modi’s leadership and stressed that effective coordination between the Centre and the states would be crucial in sustaining growth momentum. She also called for stronger institutional capacity in planning, implementation, monitoring and service delivery to ensure faster and more effective execution of projects.
The Finance Minister highlighted the Northeast’s young population, entrepreneurial energy and women leaders as important assets for future growth and called for greater investments in human capital. She urged states to use multilateral and bilateral financing not only as a source of funds but also as a means of accessing global expertise, innovation and best practices. Pointing to opportunities in tourism, logistics, agribusiness, food processing, renewable energy, digital services, manufacturing and the orange economy, Sitharaman said private investment in these sectors could generate employment and create sustainable livelihoods across the region.
Noting that major investments in transport, digital connectivity and power infrastructure are transforming the region, she said these initiatives are linking markets and communities while strengthening India’s Act East Policy. She also described the Northeast’s ecological and cultural wealth as a strategic advantage that could position the region as a leader in eco-tourism, climate resilience, sustainable agriculture and green growth.
Calling for deeper cooperation among governments, communities, investors, academia, civil society organisations and development institutions, Sitharaman said development finance must be deployed strategically to ensure that no district or community is left behind. “The future of the Northeast is not a story waiting to be written; it is a story that is already unfolding,” she said, urging stakeholders to convert potential into prosperity, investment into livelihoods and partnerships into long-term growth.
The conference was attended by Meghalaya Chief Minister Conrad K. Sangma, Assam Chief Minister Himanta Biswa Sarma, Mizoram Chief Minister Lalduhoma, Nagaland Chief Minister Neiphiu Rio, Sikkim Chief Minister Prem Singh Tamang and Tripura Chief Minister Manik Saha, along with representatives of the World Bank, Asian Development Bank, Asian Infrastructure Investment Bank, International Fund for Agricultural Development, New Development Bank, Japan International Cooperation Agency and NITI Aayog. Discussions focused on strengthening project preparation, execution and monitoring, while showcasing successful development interventions from across the Northeast.
