This chapter discusses the importance of Myanmar and Northeast India to the Act East Policy (AEP). Myanmar’s importance is defined by different factors, including the shared history, culture, ethnic relations and religious ties. The chapter adopts actor-oriented approach to understand foreign policy making in International Relations. India and Myanmar share a 1,643-kilometer border in four Northeast Indian states. They also share the waters of Bay of Bengal, including the strategically important Andaman and Nicobar Islands. Myanmar serves as India’s gateway to other ASEAN countries, and provides a geographical contiguity to the Asia-Pacific region. Due to its geographical proximity, Myanmar also provides India a transit route to Southern China. On the other hand, the idea of the inclusion of ‘Northeast Development Concern’ as an important component of AEP came up in 1997. The AEP rightly aims at the creation of an enabling environment so as to end the landlocked situation and isolation of the Northeastern region by opening up its borders and integrating the region’s economy through improved trade and connectivity with Southeast Asian countries. However, looking at the ground reality, the growth of border trade and tourism between the region and ASEAN countries is still relatively insignificant, especially its visibility in Northeast India.