Globalisation and the Role of the State: Malaysia-India Bilateral Relations in the post Cold War Era (1991-2012)

by Suseela Devi Chandran
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Globalisation has a significant impact on the role of the nation-state. A standard claim is that globalisation has increased the trans-border flows of capitals, information, goods, and people. Hyper globalists, sceptics, and liberals argue that globalisation makes states unnecessary and that the state is no longer the unitary unit of the international system. The role of the state has become less significant and no longer plays the role as the central authority regulating the relations among nations. Some of the statements given are decline of state, erosion of state sovereignty and state power erosion. The objective of this thesis is to examine Malaysia's bilateral relations with India in the post-Cold War and to determine if state has played an important role in enhancing bilateral relations in the international arena. This is analysed through strategic, economy and socio cultural dimensions of Malaysia-India relations using international relations disciplinary approach. This research adopts two sets of theoretical approaches. The first set uses a transformationalist approach to analyse globalisation and the role of state. The core belief of transformationalists is that globalisation actually helps to reconstitute the functions, power and authority of a national government. The second set applies the theory of neo-realism and social constructivism. Both theories advocate that state will retain its sovereignty and autonomy despite the increased volume of globalisation and connectivity among nations. A total of fourty-four informants from various government and private sectors as well as academic scholars were interviewed as the source of primary data. In examining the role of state in influencing the Malaysia-India relations, it is evident that the state still prevails as the primary mover in strengthening the bilateral relations. Although the external factors such as the end of the Cold War and globalisation have eased the connectivity between countries, however the internal factors such as leadership, national interest, and historical values are more dominant in influencing, shaping and designing the bilateral relations. The research concludes that globalisation has had a little impact in reducing the role of government in sectors like defence, economic and socio-cultural aspects. Globalisation has not significantly undermined the sovereignty and autonomy of the Westphalian State. Malaysia's pragmatic approach to engage more proactively with India in the economic, trade, investment, and socia-cultural sectors is directly driven by its national interest priorities in the era of globalisation. Therefore, Malaysia-India relations could be argued as very much government driven whereby the state remains the key driver. The role of the state is therefore very significant in designing and driving the bilateral relationship. However, challenges remain in moving forward this bilateral relationship which can be overcome by the adoption of a more positive perception on both sides, and a deeper knowledge of the dynamics of Malaysia's political economy as week as that of a rising India as a major regional player in Southeast Asia.

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