Secretary (West) of Ministry of External Affairs Sujata Mehta said the challenge for Central Asian countries was act to ensure that moderate views of assimilation and accommodation prevail amid an "onslaught of extremism".
"Reports suggest that those from Central Asia who have gone to fight for Da'esh (IS) are likely to return to their roots to pursue their sinister agenda back home; there are already signs of Da'esh fighters joining, coordinating and launching terrorist attacks having returned battle-hardened and indoctrinated.
She was speaking at the Fourth India-Central Asia Dialogue organised by the Ministry of External Affairs.
Mehta also said the rise of terror outfit IS has added another dimension to militancy in Central Asia, adding India's vision for the future cooperation with the countries of the region is "ambitious and at the same time realistic".
"Today, Central Asia faces some persisting, and some new challenges. Regional security is a continuing concern. The situation in neighbouring Afghanistan, which shares a border with three Central Asian countries, is yet to stabilise.
The senior MEA official said the current scenario, regionally and internationally, presents immense challenges but also offers potential for India and Central Asia to qualitatively enhance their engagement.
"Both India and Central Asia are factors of peace, stability, growth and development in the region and the world. Stronger relations between us will contribute to increased security and prosperity of these countries and the world.
"The significance of this region in the foreign policy matrix of India cannot be overemphasised and we believe that the security, stability and prosperity of Central Asia is imperative for peace and economic development in India.
She said there was much that both sides can achieve in partnership and that this was a good moment to reflect on the major issues as Central Asian countries mark 25 years of their independence.
As highlighted by the Prime Minister at the World Sufi
Forum here, Islamic civilisation stands on the bedrock of a great religion which espouses peace, diversity and the equality of faith.
"The highest ideals of Islam have always rejected the forces of terrorism and extremism, and together with Central Asia, India would like to work towards the revival of this glorious heritage," Mehta said.
Zilola Karimova, Head of Middle East Division, Information-analytical Centre for International Relations in Tashkent, said "the relationship in the region should be based on cooperation and not competition."
Central Asia, in the modern context, generally includes five countries -- Kazakhstan, Kyrgyz Republic, Tajikistan, Turkmenistan and Uzbekistan.
The first India-Central Asia Dialogue was held in Bishkek, the capital of Kyrgyz Republic in 2012, second in Alamaty, Kazakhstan in 2013 and third in Dushanbe, capital city of Tajikistan in 2014.
"This fourth dialogue in Delhi is an occasion to review progress and perhaps update the agenda and explore and add new ideas for the future," she added.
"I would like to offer condolences to Uzbek colleagues at the passing away of the late President Islam Karimov of Uzbekistan in September this year. He was widely respected and admired in India, and had contributed greatly to strengthening our relations," she said.
In pursuing such initiatives we would like to draw on a "most valuable asset". That relations between India and Central Asia are civilisational is something that we know intuitively - it is so intrinsic to our reality, she said.
"There is great potential to create regional economic corridors and networks of roads, railways, energy grids and of market integration all of which requires cooperative endeavour," she said.
"I should like to note that in the first such Dialogue we had noted that the political warmth and proximity between us was not equally manifest in the scale of economic exchanges between us and that we need to work for a convergence between these two aspects," she added.
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