As the global landscape shifts towards a more multipolar world, countries are increasingly seeking to strengthen their strategic partnerships to ensure regional stability and security. In this context, India's growing ties with Iceland have significant implications for the Arctic region, where the Nordic country plays a crucial role in shaping the region's future.
The visit of India's Minister of State for External Affairs, and Environment, Forest & Climate Change, Shri Kirti Vardhan Singh to Iceland on September 4-5, 2025, marks an important step in enhancing bilateral relations between the two nations. The minister will participate in the second edition of the India-Nordic Track 1.5 Dialogue, a high-level engagement aimed at promoting cooperation on key issues such as climate change, sustainable development, and people-to-people exchanges.
India's growing interest in Iceland is driven by the country's strategic location in the Arctic region, which holds significant economic, energy, and security implications for Asia and beyond. As the Arctic ice cap melts at an alarming rate due to climate change, nations are competing for access to the region's vast natural resources, including oil, gas, and minerals.
India is keenly aware of the importance of the Arctic region in its national security strategy. The country has established a dedicated Arctic Research Centre in New Delhi to study the impacts of climate change on the Arctic ecosystem and to identify opportunities for economic cooperation with Arctic nations.
"India recognizes the significance of the Arctic region in shaping the future of our nation's development," said Dr. Anil Verma, Director of the India-Nordic Track 1.5 Dialogue. "Our engagement with Iceland and other Nordic countries is aimed at promoting sustainable development, climate resilience, and economic cooperation in the region."
Iceland, a key player in the Arctic region, has been actively engaging with international partners to promote cooperation on issues such as climate change, energy security, and sustainable development. The country's participation in Track 1.5 Dialogues is seen as an important step towards building trust and fostering collaboration between nations.
"The second edition of the India-Nordic Track 1.5 Dialogue provides a platform for our governments to discuss key issues affecting the region and to identify areas of cooperation," said Iceland's Minister of Foreign Affairs, Guðlaug Gunnlaugsdóttir. "We look forward to strengthening our ties with India and exploring opportunities for sustainable development and economic growth in the Arctic region."
Key stakeholders, including the United States, China, Russia, and Japan, are also actively engaged in the Arctic region, underscoring the importance of cooperation and diplomacy in ensuring regional stability.
As India's engagement with Iceland deepens, it is essential to recognize the significance of this partnership for global stability and security. The Arctic region holds significant economic, energy, and security implications for Asia and beyond, making it a critical zone of competition and cooperation.
Recent Developments:
In June 2025, India and Iceland signed a memorandum of understanding (MoU) on cooperation in the field of renewable energy.
In July 2025, the Indian government announced plans to invest $1 billion in the Arctic region to promote sustainable development and economic growth.
In August 2025, Iceland's Minister of Foreign Affairs, Guðlaug Gunnlaugsdóttir, visited New Delhi to discuss bilateral relations with her Indian counterpart.
Future Impact:
Short-term (next 6 months): India's engagement with Iceland is expected to lead to increased cooperation on issues such as climate change, renewable energy, and sustainable development.
Long-term (5-10 years): The partnership between India and Iceland has the potential to transform the Arctic region into a hub for sustainable development, economic growth, and regional stability.
As the global landscape continues to evolve, it is essential to recognize the significance of strategic partnerships like India-Iceland in shaping the future of the Arctic region.