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Write a shor note on the …

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Write a shor note on the role and limitations saarc as forum of facilitating economy for co operation among the south asian country
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Sia ? 6 years, 4 months ago

  1. The states of South Asia recognise the importance of cooperation and friendly relationship, among themselves. The South Asian Association for Regional Cooperation (SAARC) is a major regional initiative by the South Asian states to evolve cooperation through multilateral means. It began in 1985. Unfortunately, due to persisting political differences, SAARC has not had much success. SAARC members signed the South Asian Free Trade Agreement (SAFTA) which promised the formation of a free trade zone for the whole of South Asia. The aim of SAFTA is to all free trade across the borders. The Agreement was signed in 2004 and came into effect on 1 January 2006. SAFTA aims at lowering trade tariffs by 20% by 2007.
  2. There is a difference of opinion about SAFTA. Some of our neighbours fear that SAFTA is a way for India to 'invade' their markets and to influence their societies and politics through commercial presence in their countries. On the other hand, India think that there are real economic benefits for all from SAFTA and that a region that trades more freely will be able to cooperate better on political issues. Some in India think that SAFTA is not worth the trouble since India has already bilateral agreements with Bhutan, Nepal and Sri Lanka.
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