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YI: Mr. Panda, we'll talk about security here. Obviously investors are running to come to invest in India because of its favorable investment climate. But you do have some pockets of problems still remaining, like the situation in Jammu and Kashmir, and then there are the Naxalites and the communists in Central India. What's being done to deal with this problem?

B.J. Panda: First of all, you must remember that India is a continental proportions. So, a couple of spots at some end of the country really has very little impact on the rest of the country. But having said that, yes, we must be aware that as we become more a developed country, development doesn't have a uniform. You can measure on any parameter from 15 years ago, the number of poor people, the size of the middle class, at any time and you will find that India and Indians are much better off today than 15 years ago. But there are still pockets that have not developed as rapidly they could have. And that becomes the breeding ground for disaffection. And yes, we do have Naxalites in certain pockets, and they take the law into their own hands. And we go about it in a variety of ways. The country as a whole has democracy and I think that's the best answer to any kind of extremism, because in a country of a billion people, we have sustained democracy. And people feel, by and large, that they have a voice in the changes that are happening to them. I think that's the best antidote. But you can't always lead things to democracy and social activism, to bring about inclusiveness. The Indian state has not always been very hard about this. In some ways, our police are very genteel in tackling terrorism because they are not equipped with modern weapons. Police outposts in some remote areas have not had to tackle any serious crimes or any serious disturbances and so this is a new thing for them. So there is a modernization effort that is going on a national scale, where the police are being modernized, particularly in those states where we do have some extremist elements. So there's an angle of the state that links any disturbances on the... Efront but there's also a great effort to have these people included in the mainstream by providing the opportunities to come.

YI: What about acts of terrorism that do not seem to have anything to do with the Naxalites, for instance the trend for bombing trains, and so forth.

B.J. Panda: Some of the incidents are due to the troubles that we've had on some of our borders, and some of the terrorist elements come from across the borders. I think one of the best thing that you can say about India is that when you look at banned global terrorist outfits, like Al-Qaeda, when could it have been predicted years ago that India would be a source of recruitment for such organizations in such large numbers. That just has not happened. We either have zero or very little recruitment for organizations like Al-Qaeda from a place like India because even though we are such a large country, there's such a diversity. And like I said earlier, there are pockets that have not developed as fast as the rest of the country. But everyone in the country generally feels that because of the vote, they have a say in things. And even our minorities don't fall into the trap of any kind of pan-global terrorist activities. So, the level of terrorism that comes up from within the country, the level of disaffection that leads to any kind of bombings or suicide bombers in the country is minuscule or next to zero. We do have problems in the borders for which we have talks going on with some of our neighboring countries to solve those problems and I think these are on the right track.

YI: So, bombings and so forth are manageable in India?

B.J. Panda: Any acts of terrorism, of course, should be avoided. It is manageable in the sense that it has not obstructed the Indian economy in a very big way. I would like to be complaisant and say that it's manageable and that we will have not have such incidents. We obviously have to upgrade our security mechanism, our intelligence system, and our preparedness for such acts, but I think the threat of large scale, indigenous terrorism that will destruct the economy in a big way, is very small.

YI: Mr. Singh, I would like ask about India's external relations. With its phenomenal economic rise. Will India play a more prominent role in world affairs?

Manvendra Singh: Well, it can play a role which can affects its vision of the world, its relations with both its nearest and extended neighborhoods. A nuclear role which takes on its appreciation of its history and its culture. And, I know it's a colonial world, but Southeast Asia, one of which is Indochina. There's a cultural collectivity that goes back centuries. And I see no reason why India cannot play that role again, not in the manner of a few centuries ago, but in a new manner, because the game has changed. And �Ehas changed and our position has changed in the world. And economic relations would go hand in hand with political and security relations. That's where global interests will coalesce. And I see India playing a larger role both in Southeast as well as West Asia.

YI: What about Africa?

Manvendra Singh: Not to the extent where you like to. I do see the eastern coast of Africa down to the cape as an area of great interest for India, particularly the horn of Africa, where India has direct security interests and but if you expect India to have greater economic relations, I don't think that will happen. We have investors in Africa in terms of oil, in Sudan and some expanding, investment world. But I don't expect more than that.

YI: In the past, India played a big role in the non-aligned movement, that's why I mentioned Africa. Is that movement likely to revive again?

Manvendra Singh: �Ethe post World War I and II and that phase is over and I don't see the non-aligned movement as a it was known. Can it be replaced, can it be reworked, but I don't see the non-alignment as a fighting force. The global relations have become more dynamic and they have taken a more bilateral character than it was earlier.

YI: Mr. Pilot, India's Look East policy, which seems to be aimed at Southeast, what is it after specifically? Increasing trade, collaboration with ASEAN?

Sachin Pilot: What is a fact that should be stated today, I think the nucleus of world growth is in the East. Sixty percent of all global workers are in Asia, and India and China and other strong economies are now shifting the economic architecture of the �Eworld. Clearly, India sees a much larger role for itself and its neighbors in the future. So, India's Look East policy has many dimensions and economics often takes that amount of importance. Our relations with most our neighbors of Southeast Asia have been steadily improving for the last 10 to 20 years. If you recall 15 years ago, most of the world was looking west: to London, to Paris, to Washington and Berlin. And now all that has changed. There's been a paradigm shift in how the world is conducting business, both economically and strategically. So, India's involvement in South Asia is bound to grow. The government is committed. As we speak now, the Prime Minister is on his way to Japan and the new leadership there is very keen on forming a much stronger relationship. So, the investments into India, the investments that India is making in South Asia are growing manifold, even with China. We wouldn't touch a billion dollar deal, we have got that ready. These relations with economic ties will then end up really strengthening the bilateral relations, a loose coalition within ASEAN. That's also a possibility. But by and large, around the world, be in the western world, in north and South America or Africa and north Asia also. India's role, because of its economy, its size, its scale of economy, its military strength and geo-political presence now, it's being spent around the world, especially in South Asia.