soft power

Pakistan’s diplomatic playbook for 2025 is shifting noticeably toward trade, sustainability, and the projection of soft power. Gone are the days when foreign policy revolved solely around security concerns or aid dependency. The country’s recent economic and diplomatic maneuvers suggest a clear intent to rebrand itself as a credible, reform-driven partner focused on growth, responsibility, and engagement. From seafood export approvals by the US to partnerships with France and major development financing commitments, Pakistan’s narrative is evolving, and for once, it’s a story of initiative rather than reaction.

The US government’s decision to extend Pakistan’s seafood export approval until 2029 is a quiet but significant achievement. The deal, worth roughly $600 million annually, underscores two critical things: the growing confidence in Pakistan’s sustainability standards and the country’s ability to meet global compliance norms. For years, Pakistani exporters have faced barriers due to outdated infrastructure and quality control issues. Now, improved regulations and environmental monitoring seem to be paying off. This approval not only secures a steady stream of revenue but also signals that Pakistani industries are capable of aligning with Western ecological and safety benchmarks, something that can serve as a model for other export sectors.

In a similar spirit, the Punjab government’s recent memorandums of understanding (MoUs) with France mark another leap toward deepening provincial and international trade ties. France’s interest in Pakistan’s Special Economic Zones (SEZs) reveals confidence in the country’s industrial potential. For Punjab, the partnership could attract sustainable technologies, investment in renewable energy, and expertise in urban development. It also decentralizes diplomacy, shifting some of the engagement from federal corridors to proactive provincial actors, an approach that could make economic cooperation nimbler and more region-specific.

At the macro level, multilateral institutions are showing renewed faith in Pakistan’s economic reforms. The World Bank and International Finance Corporation (IFC) have jointly pledged a staggering $40 billion for development and private sector growth. This isn’t charity; it’s a bet on Pakistan’s capacity to absorb and utilize global capital effectively. The World Bank’s concessional loans, particularly targeting education and climate resilience, fit neatly into Pakistan’s national development goals. Meanwhile, the IFC’s $20 billion allocation to the private sector and small- and medium-sized enterprises (SMEs) speaks to an evolving understanding that long-term economic health depends on entrepreneurial vitality rather than government-led expansion alone.

Domestically, the banking sector is mirroring this new wave of confidence. The Bank of Punjab, for instance, has reported record profits, reflecting a resilient financial system despite broader global headwinds. A profitable and stable banking environment is a prerequisite for sustained trade diplomacy; it assures foreign investors that local institutions are capable of managing large inflows and transactions transparently. When financial institutions thrive alongside industrial and export sectors, it sends a reassuring message to international partners that Pakistan’s growth is not a temporary surge but a maturing cycle.

But economic diplomacy alone doesn’t build soft power. What sets Pakistan’s recent approach apart is the coupling of trade initiatives with cultural and environmental diplomacy. The government’s efforts to promote interfaith harmony, expand cultural exchanges, and invest in green infrastructure reflect a broader understanding of influence in the modern era. Soft power, after all, isn’t about dominance; it’s about attraction. Pakistan’s reforestation programs, ecotourism initiatives, and partnerships in climate resilience not only improve its environmental record but also enhance its moral credibility on the global stage. These projects project a vision of Pakistan as a responsible global citizen, one that contributes to shared planetary goals rather than merely negotiating for its own interests.

Tourism, too, plays a key role in this narrative. The revival of heritage sites, promotion of religious tourism for Sikh and Buddhist pilgrims, and international film collaborations are creating a gentler, more relatable image of Pakistan abroad. These cultural bridges complement trade diplomacy by humanizing the country in the eyes of investors and tourists alike. They help replace outdated stereotypes with more nuanced perceptions of a nation that’s young, creative, and striving for balance between tradition and modernity.

This pivot toward soft power and trade diplomacy is not accidental; it’s strategic. Pakistan seems to recognize that credibility in global markets depends not just on economic incentives but on the consistency of reform and image. The focus on sustainability and governance reforms aims to reduce dependency on loans and shift toward mutually beneficial trade partnerships. In doing so, Pakistan positions itself not as a passive recipient of aid but as a contributor to global growth.

Critically, these moves also reflect a certain self-awareness. The emphasis on sustainability, whether in fisheries, industry, or climate policy, acknowledges that the old model of extractive growth is no longer viable. Similarly, engaging institutions like the World Bank and IFC shows that Pakistan understands the importance of credibility and transparency in attracting international capital. Trade diplomacy, when backed by responsible domestic governance and inclusive growth, becomes more than an economic tactic; it turns into a long-term strategy for stability and respect.

That said, this strategy will need to be carefully managed. The challenge isn’t just to secure deals but to ensure they deliver equitable benefits. For instance, trade approvals and foreign investments must be accompanied by support for small exporters, labor reforms, and environmental safeguards. Otherwise, the benefits will stay concentrated among elites, undermining the very soft power Pakistan seeks to build. Likewise, diplomatic capital must not be squandered on short-term optics or domestic political point-scoring. Consistency, patience, and institutional continuity will determine whether this new vision can endure.

In many ways, Pakistan’s 2025 diplomacy embodies a pragmatic realism. It doesn’t reject global partnerships or rely excessively on one bloc. Instead, it seeks balance between East and West, between economic pragmatism and moral purpose. By intertwining trade with culture, sustainability, and finance, the country is sketching the contours of a diplomacy that’s as much about persuasion as negotiation. And in a fragmented world increasingly defined by narratives rather than alliances, that’s a powerful pivot.

Recommendations

·       Establish specialized trade diplomacy desks in embassies to promote sectoral exports, green investment, and SME partnerships.

·       Strengthen provincial economic offices abroad to attract investors in key sectors like textiles, agri-tech, and renewable energy.

·       Implement domestic policies for export diversification and improve digital trade facilitation to empower smaller producers.

·       Expand cultural diplomacy programs, including art, film, sports, and education exchanges, to enhance people-to-people connections and global goodwill.

·       Ensure policy consistency and transparency across all levels of government to solidify Pakistan’s reputation as a credible, reform-driven partner in global trade and diplomacy.

Globally, the world is still reeling under the impact of the COVID-19 pandemic, and as we look towards the future, people rethink the need to travel and unwind from their hectic lives, and these developments will boost the global tourism industry.

Post the pandemic, the tourism industry is playing catch-up, and as per the UNWTO estimates, it is believed to have a major recovery towards global tourism in 2023, where the international arrivals reached 1,300 million, which was a 33.3 percent increase from 2022. The reason for this upward development has been because of the economic development, which inevitably helps in the creation of jobs, helping stabilize the post-pandemic economies. The Travel and Tourism Development Index (TTDI) 2024 highlighted the sectors of travel and tourism to continuously grow in the post-pandemic scenario. It has been observed that 71 out of the 119 countries’ scores increased as per the 2024 index, and the reason for this increase in its ranking has been due to the focus on areas of safety and security and aims at greater emphasis on health and hygiene domains. Furthermore, the Travel and Tourism Development Index 2024 mentioned that India ranked at the 39th position in the category of Asia-Pacific economies but has the largest travel and tourism industry in the region of South Asia. Furthermore, it tops the lower-middle-income economy category. For the United States of America, it has ranked first in the 2024 Travel and Tourism Development Index, and the reasons for the first position, as per the Travel and Tourism Development Index 2024, have been due to several factors, such as the highly conducive business environment, highly skilled and qualified labor force, and readiness towards information and communication technology (ICT). Apart from these characteristics, the 2024 Index also observed that the reason for countries like the United States of America and others to have gained the top positions has been due to the brilliant provisions of transport and infrastructure associated with tourism and its services.

 India-US Contours of the Tourism Industry

Joseph Nye, the pioneer of soft power, opined that “a country which has a strong global influence is more successful in attracting tourism, and that would increase the economic development, investment, and abundant skilled labor force, which would do proper justice towards the use of soft power.” Tourism is one of the tools of soft power, and in the present global situation, the countries are collaborating and cooperating with one another.

One of the fastest growing domains of exchanges that can be witnessed has been the sector covering the people-to-people connections and exchanges. The relationship between India and the US has been evolving constantly, and both countries have many people-to-people interactions and a tourism industry, which has led this partnership to be stronger and more robust. In fact, the Travel and Tourism Development Index 2024 observed 9.24 million foreign tourist arrivals, and this depicted a 43.5 percent increase as compared to 2022, as it brought in foreign exchange earnings of Rs 2.3 lakh crores from countries like the United States of America, Bangladesh, the United Kingdom, Australia, and Canada, to name a few. This data clearly explained the opportunities in the domain of tourism and related sectors for growth.

Given India’s growth story and becoming globally influential, India can lead another growth story in the domain of tourism in the coming times. According to the Ministry of Tourism’s report titled “India Tourism Data Compendium 2024,” the tourism industry in India has great potential, as there are 43 UNESCO World Heritage Sites. India’s rich culture and heritage experiences not only open up the world to visiting a beautiful cultural experience, but they also open up the opportunity to learn and invest in the handicraft and textile industry in India. Apart from handicrafts and the textile industry, there are several other products that India is abundant in, and so, as of 31st March 2025, there are 658 geographical indicator tag applications registered, which clearly shows the richness and diversity of Indian products. Furthermore, given India’s rich flora and fauna, India offers diverse nations locations like the various national parks open for safaris, which also helps in gaining safari tourism like the Rhino Safari in Kaziranga in Assam and the Tiger Safari in Pench and Bandhavgarh in Madhya Pradesh. There are other locations like Ladakh, Spiti Valley, and Rishikesh known for adventure tourism, and this domain is popular among the younger generation. For a couple of years, the wellness and medical tourism industry has made India the global destination for Ayurveda, yoga, and healthcare facilities, which provided provisions for affordable and reliable services. It was observed that in 2023, 6.9 percent of foreign visitors visited India for medical tourism. Another sector of tourism that is emerging is the Meetings, Incentives, Conferences, and Exhibitions (MICE) industry, which caters to the business sector, and in 2023, it brought in 10.3 percent of foreign visitors to India to Indian infrastructural marvels like Yashobhoomi and Bharat Mandapam.

In the Union Budget 2025-2026, Rs. 2541.06 crore has been allocated for employment-led development, which would cater to different aspects like infrastructure building, skill development, and travel facilities, paving the way to promote the tourism industry of India globally. The budget also includes the need to develop 50 top tourist destinations, which would help offer MUDRA loans for homestays, enhance connectivity, and introduce e-visa facilities. Furthermore, the budget also aims to support areas of sustainable tourism through Swadesh Darshan Scheme 2.0, Heal in India, and Gyan Bharatam Mission, and these schemes will not only incentivize employment opportunities but also create a possible growth model. The famous tagline ‘Incredible India’ has gained a strong fan following and has been gaining immense traction in the last couple of years. According to the India Brand Equity Foundation (IBEF), it has been observed that the Indian sector of tourism and hospitality is expected to exceed Rs. 5,12,356 crore by 2028, and it is suggested that travel and tourism are the largest industries in India, with states like Uttar Pradesh, Uttarakhand, and West Bengal working to develop the tourism circuits and enhance infrastructure for pilgrims.

 As per the industry of tourism in the United States of America, it has been observed that according to the 2018 US Travel Association’s report titled “International Visitations to the US from International Inbound Travel Market Profile,” travel is the largest industry export to India, as Indian students spend up to 52 percent of travel exports and 36 percent is by the Indian tourists. The tourism industry in the US caters to students who study there and make their family visit, and this helps in the domain of leisure tourism in cities like Orlando and Las Vegas, as they provide world-class luxury and entertainment experiences.

Another sector that the US works on is the business and Meetings, Incentives, Conferences, and Exhibitions (MICE) industry, which helps attract many business travelers. Globally, the US has always been the most sought-after choice for tourism, as it offers a combination of landscapes, cultural attractions, and luxurious experiences, and many also visit America to live the ‘American dream through a short holiday.’ From the perspective of the US economy, the tourism industry not only helps in supporting people through employment but also helps equip them with the opportunity to have purchasing power. Furthermore, the domain of infrastructure and hospitality services also experiences a boom in growth.

Since both the countries are looking to expand their relationship with one another. The tourism industry seems to be the most viable sector for greater opportunities of cooperation and exchange.

Challenges

One of the key challenges has been the issuing of visas for Indian citizens to go to America. Though the tourist visas are available, the high costs and the wait time for attaining a visa for many Indians make them rethink their need to visit the great American dream through a short holiday, and so they end up choosing places in Southeast Asia like Vietnam, Thailand, and Singapore, where the attainment of a visa is not just convenient but visas are available on arrival. Furthermore, the cost of travelling, hotels, and food is far cheaper, which makes it more lucrative for budget-friendly travellers. A challenge that the US faces with regard to travelling in India is the safety issue, especially for the female solo travellers, which has been a major cause of concern. Another issue that has been a concern

RN for American travellers to India, the cleanliness issue is a big one, and so most of the foreign travellers prefer staying in five-star hotels, which cater to them with their luxurious hospitality and services. This is a problem for budget-friendly travelers, as not everyone can afford a five-star hotel and pay for luxury travel in India, which also economically deters many from coming to India.

Possibilities

It has also been observed that about 92 percent of Americans will be travelling in 2025. With this growth data, there is a major possibility of attracting American international travelers to visit India. If American tourists visit India, they normally visit India for its cultural extravaganza and spirituality retreats, but there is a need to develop other sectors like visits to natural habitats and safaris, which would also attract a lot of tourism in this domain. In fact, India can also learn from the US about its culture of amusement parks and fairs, which would also help boost tourism and employment opportunities. Another aspect is that India and the US venture into student-led tourist groups, and in these groups, students connected to universities can not only interact with one another in their respective academic fields but also show them their understanding of their country, and this way there will be greater interactions among the youth of the two countries and help cement future relations. Business meetings can also be held in cultural hubs, which would give the businesses a chance at working along with travelling and enjoying their leisure time in exploring cultural hubs, and so the governments need to also promote and provide business convention centers in cultural hubs.

All in all, one aspect that India and the US can work on is the people-to-people connections, as they are guiding lights for the future.

Saint Catherine’s Monastery of Sinai, perched amid the stark landscape of the Sinai Peninsula, is more than a monument of Christian antiquity. It stands today as a living testament to the enduring spiritual and diplomatic role of Greece within the Orthodox world, a quiet but formidable projection of Greek soft power that resonates across the Eastern Mediterranean and beyond.

A silent beacon of Greek diplomacy

Far removed from the centers of modern diplomacy, the monastery’s Greek-speaking monastic community and steadfast commitment to Byzantine liturgical tradition transform it into a unique spiritual and cultural outpost. It exemplifies the principle that soft power does not always emerge through overt political maneuvering but often through the quiet constancy of spiritual guardianship and cultural authenticity.

This presence enables Greece to project a moral authority and cultural leadership that transcend national boundaries. As a spiritual bridge linking the ancient Patriarchates of Alexandria, Jerusalem, and Constantinople, the monastery fosters relationships of trust and mutual respect, relationships built not on political expediency but on the bonds of faith and tradition. This role is particularly significant in an era marked by shifting alliances and the increasing entanglement of religious and geopolitical interests.

Through the Monastery, Greece affirms its position as a custodian of Orthodox heritage and as a stabilizing force in the region. Its spiritual authority and cultural resonance serve as subtle yet powerful tools of statecraft, enabling Greece to foster dialogue, unity, and a sense of continuity within the Orthodox landscape.

The challenge of the Russian Exarchate

The relevance of the monastery’s soft power role has grown even more pronounced in recent years, as new challenges emerge within the Orthodox world. Foremost among these is the creation of the Russian Patriarchal Exarchate of Africa, an assertive move by the Russian Orthodox Church to expand its jurisdiction into territories historically aligned with the Greek Orthodox Patriarchate of Alexandria.

Although this development does not directly involve Saint Catherine’s Monastery, it reshapes the broader Orthodox environment, highlighting the use of ecclesiastical structures as instruments of geopolitical influence. The Russian initiative underscores how religious identity and geopolitical strategy have become deeply intertwined—posing challenges for Greece as it seeks to maintain a stabilizing and mediating role within Orthodoxy.

For Greece, this underscores the urgency of preserving the monastery’s autonomy and Greek character. It is a reminder that spiritual heritage can be both a shield and a platform for diplomatic engagement. a means of counterbalancing external interventions that risk deepening divisions within Orthodoxy.

A strategic spiritual outpost for a fractured world

Saint Catherine’s Monastery thus emerges as a linchpin in Greece’s ecclesiastical diplomacy, a discreet yet resilient bastion of Hellenic presence and Orthodox unity. Its continued independence is not merely a matter of cultural preservation; it is a strategic necessity. In a region where spiritual and geopolitical rivalries increasingly overlap, the monastery’s enduring witness to faith and Greek identity becomes a vital asset for Athens.

The recent diplomatic initiatives, including the visit of Foreign Minister George Gerapetritis to Egypt, underscore this recognition. By reaffirming its commitment to the monastery’s unique status, Greece sends a broader message that it remains a quiet but influential actor, leveraging spiritual heritage to foster stability and to protect the fragile balance of the Orthodox world.

Saint Catherine’s Monastery is far more than a relic of the past. It is a living expression of Greece’s diplomatic and spiritual mission in the Orthodox East, a mission that transcends temporal concerns and speaks to the heart of Hellenic identity. Amid emerging challenges such as the Russian Exarchate and broader regional volatility, the monastery’s quiet testimony to spiritual continuity and Greek cultural presence affirms Greece’s enduring mission: to serve as a custodian of Orthodoxy and as a bridge of stability in a fractured world.

In the lexicon of modern diplomacy, Saint Catherine’s Monastery stands as both a symbol and an instrument—projecting an image of a nation that values spiritual heritage, cultural authenticity, and the deep bonds of Orthodoxy that connect peoples across borders.

The ASEAN region is often cited as a successful example of regional cooperation. The ASEAN regional bloc consisting of 10 South East Asian countries — Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam. It was founded in 1967 with the founding members of the organisation being Indonesia, Singapore, Malaysia, Philippines and Thailand.

ASEAN’s economic achievements

The South-East Asian regional bloc has also been an engine of global growth. Even amidst the economic challenges in recent years, the average growth rate of the group was well over 4% in 2024. While Indonesia, Malaysia and Vietnam recorded growth of over 5%, Vietnam was the star performer growing at over 7%. According to forecasts, Vietnam is likely to comfortably surpass 6% growth in 2025 and 2026. While the foundations for these successes have been laid over decades, one of the reasons for the economic progress of these nations has been their ability to adapt to geopolitical and economic changes.

The ASEAN region has benefited significantly from globalisation, especially countries like Singapore, Malaysia, Indonesia and Vietnam.If one were to look at regional trade within the ASEAN group, it was estimated at $3.5 trillion.  ASEAN, which has robust economic relations with US and China, has also focused on enhancing trade with non-member countries.

ASEAN has also excelled in terms of attracting Foreign Direct Investment (FDI). In 2023, ASEAN’s Foreign Direct Investment (FDI) inflows exceeded $200 billion (230 billion). Thus, the regional bloc has emerged as the largest recipient of FDI in developing regions. The star performers, in terms of drawing FDI, in recent years of the ASEAN region have been Singapore, Indonesia and Vietnam. While earlier the successes of Singapore, Malaysia, Thailand and Indonesia drew international attention in recent years it is Vietnam’s economic success which has begun to draw attention. The successes of these countries can be attributed to investor friendly policies, increasing focus on R &D and tech, their geographical location and as mentioned their deftness in dealing with the changing landscape. So far, most ASEAN nations have steered clear of getting embroiled in geopolitical wrangling between China and the US. In recent months, several ASEAN countries have expressed their concern in the context of the downward spiral of ties between both countries.

ASEAN Soft Power

Apart from robust economic performance, the ASEAN grouping has also been reasonably successful in promoting their Soft Power. According to the Brand Finance Soft Power rankings 2025, Singapore ranked 21 globally was ranked the highest in the ASEAN region. It would be pertinent to point out, that rich and diverse culture of the region along with a tourist friendly eco-system has resulted in ASEAN being a preferred destination from tourists across the world. Apart from Singapore and Thailand, other popular tourist destinations in the region are; Indonesia, Malaysia, Cambodia and Vietnam. Recent years have witnessed a significant increase in the number of Indian tourists visiting the ASEAN region.

 One of the strong components of ASEAN power has been tourism. According to estimates, the ASEAN region was able to attract 123 million tourists in 2024. Six ASEAN countries — Thailand, Cambodia, Laos, Malaysia, Vietnam, and Myanmar — are also proposing a joint visa initiative dubbed as “6 countries, 1 destination”. This will be a common visa like Schengen. The idea was proposed by Thailand, which is heavily dependent upon tourism and believes that this initiative would give a further boost to tourism.

Some countries have also been able to draw international students. With western countries becoming more inward looking, there is scope for ASEAN countries like Singapore and Malaysia to attract international students. Singapore has emerged as a popular destination for students due to some of its higher education educations being highly ranked as well as the career avenues in that country. Malaysia received over 80,000 student application from international students – this was a 25% increase from 2023.  Both ASEAN countries could become especially attractive destinations for more South Asian students for whom countries in the Anglosphere have been favoured.

ASEAN member states reaction to Trump’s imposition of tariffs

ASEAN nations have expressed their scepticism regarding the deterioration in US-China ties, since they have close economic ties with both.  Apart from this, all have been extremely critical of tariffs and are looking to diversify their relationships. The Singapore PM, Lawrence Wong, while commenting on the recent tariffs announced by US President, Donald Trump said:

“..the recent Liberation Day announcement by the US leaves no room for doubt,…It marks a seismic change in the global order.”

ASEAN interest in BRICS in a changing situation

In the changing situation, it is likely that more ASEAN countries will also explore membership of BRICS+. Indonesia had joined BRICS in January 2025 as a member, while other ASEAN member states – Malaysia, Thailand, and Vietnam – joined as observers in October 2024. Indonesian foreign minister, Sugiono after joining BRICS had said that it’s decision to join BRICS+ was a reiteration of its independent foreign policy. Other ASEAN countries are also exploring the possibility of entering BRICS.

Conclusion

In conclusion, as mentioned earlier the ASEAN region has so far reaped the dividends of globalisation and a reasonably stable relationship between US and China for very long. The current geopolitical and economic situation is likely to pose significant challenges for the ASEAN region. Apart from internal contradictions within the Bloc, global uncertainty due to US policies during Trump 2.0 are likely to be a major challenge. While all eyes are on the economic impact of the current global turbulence, it is important for ASEAN to focus on ‘Soft Power’, since the region has specific potential in areas like tourism and education as has been discussed earlier. It remains to be seen whether ASEAN can effectively use “Smart Power” to deal with the changing global landscape.