The Indian Ocean is out of political and economic importance. Just consider all the shipping movements from Africa towards Asia going there. Including the boats passing the Suez channel.

During the cold war, the USSR and the USA were fighting for the dominance. In basic: the USSR have won on and the USA on the sea. The reason the USSR failed is the lack of marine power. As a counter effect, the USA and its western allies armed and supported Pakistan. As India was supported by the USSR.

Safety and stability in the Indian Ocean is not something we should take for granted. The military conflict between India and Pakistan is causing some tensions. But the conflicts in Somalia and Yemen are also creating problem risks for everyone. With all the major ports and massive ships transporting containers from Asia to Europe.

To make it more complicated. China, Russia, Europe, India depend on the Indian Ocean for its economic movement. Over 40 countries are located on the Indian Ocean or depending on it for its economic movement. The United States had also huge interests in it.

Every states values safety. It is key. without safety, a state can’t prosper and its people are unable to achieve the most in life. With this, we need to realize that the Indian Ocean is and will remain key.

On an investment perspective, it means that a small tiny problem will hurt over 50% of the people in the world. It will enforce shop closings due to the fact that goods are not being transported. The islands are known for specialty commodity growing. Like Sri Lanka produces tea.

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