India-Italy Strategic Plan 2025–29 Gains Momentum at ADB Summit

At the 58th Annual Meeting of the Asian Development Bank (ADB) held in Milan, Union Finance Minister Nirmala Sitharaman met with her Italian counterpart Giancarlo Giorgetti to bolster bilateral economic ties and explore multilateral cooperation in areas such as green energy, fintech, and sustainable development. The dialogue focused on the implementation of the India-Italy Joint Strategic Action Plan 2025–2029 and on leveraging each country’s strengths to pursue shared global goals.

Why in News?

The meeting comes as India and Italy continue to expand their strategic and economic partnership, following the announcement of the Joint Strategic Action Plan 2025–2029 during Prime Minister Modi’s meeting with Italian PM Giorgia Meloni in November 2024. With bilateral trade surpassing $14.5 billion in FY2023–24, both countries are now pursuing cooperation in emerging areas like green hydrogen, fintech, and digital infrastructure.

Background and Context

• India and Italy have witnessed growing bilateral ties across trade, technology, and climate action.
• The Joint Strategic Action Plan 2025–2029 is aimed at providing a structured framework for cooperation.
• The meeting took place on the sidelines of the 58th Annual ADB Meeting in Milan, Italy.

Highlights of the India-Italy Meeting

• Emphasis on the $14.56 billion bilateral trade achieved in FY2023–24.
• FM Sitharaman invited Italian firms to participate in India’s PLI (Production Linked Incentive) schemes under ‘Make in India’.
• India shared its achievements in Digital Public Infrastructure (DPI), including Aadhaar, UPI, and DigiLocker.
• Proposed joint work on fintech innovations and green technologies like carbon capture and energy efficiency.

Multilateral Collaboration and Global Issues

• Both ministers advocated for reforms in Multilateral Development Banks (MDBs).
• Discussion on enhancing MDBs’ alignment with the Sustainable Development Goals (SDGs).
• Support for climate cooperation through co-financing models and circular economy approaches.

Additional Bilateral Engagements

• FM Sitharaman also met Japan’s Finance Minister Katsunobu Kato to strengthen the India-Japan Special Strategic and Global Partnership.
• Discussion included Indo-Pacific cooperation, innovation, and private sector engagement.

Significance

• Enhances India’s economic diplomacy and role in shaping multilateral development.
• Aligns with India’s goal of Viksit Bharat 2047, aiming for developed-nation status.
• Demonstrates Italy’s interest in deepening ties with India in priority sectors.