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Lanka-Thailand will sign FTA - Minister Kadirgamar

Shirajiv Sirimane reporting from Thailand

Bangkok July 28. Sri Lanka will sign a Free Trade Agreement (FTA) with Thailand to increase trade between the two countries said the Minister of Foreign Affairs Lakshman Kadirgamar.

The Sri Lanka Foreign Minister who is in Bangkok on an invitation on the Thai Government met Thai Foreign Minister Surakiart Sathirathai yesterday for official talks.

He said that he had very successful discussions to sign at FTA to the value of US one billion dollars. "Both countries have the political view to go ahead with this FTA," he said.

The Minister who will also be attending the BIMST-EC Summit said that Sri Lanka is also a making a strong claim to join the Association of South East Asian Nations (ASEAN) Regional Forum and the Thai government has fully backed this. "Even the US secretary of State Colin Powell has backed Sri Lanka in this regard," he said.

Minister Kadirgamar also said that he had a discussion with two recently formed low cost airlines operators, Air Asia and Nok (bird) Air to fly to Sri Lanka exploiting the Open Sky policy agreement, which was signed last month. There is a major untapped tourist potential which would be a key to increase air traffic between the two countries and extend it to Myanmar, Indonesia and Laos," he said.

The officials of the two low cost airlines have also agreed to visit Sri Lanka next month to discuss this proposal with the Sri Lanka Minister of Aviation.

Thailand will also invite young public servants and politicians to study Thailand's rural economy which is very strong. He said that the Thai government would assist Sri Lanka to initiate a Strategic studying initiative to educate politicians with an affiliation with the Bandaranaike Centre for International Studies under the Ministry of Foreign Affairs.

"All other countries in the region have similar institutions. This is some thing lacking in Sri Lanka since independence," he said.

The two Foreign Ministers expressed satisfaction at the warm bilateral relations that exist between Sri Lanka and Thailand and agreed to work together to further broaden and deepen their ongoing cooperation in various fields.

Foreign Minister Kadirgamar highlighted the need for the two countries to build a modern economic relationship on the strong religious and cultural links, which go back many centuries. The importance of promoting trade, investment and people to people contact between the two countries was also emphasized by him.

Foreign Minister Kadirgamar paid a handsome tribute to His Majesty the King of Thailand for the role he has played in promoting unity, strengthening democracy and encouraging economic development in Thailand.

He also praised the Thai Government's policy of investing substantially in rural economic development and mechanisms to enhance the living standards and economic opportunities available for the village and rural communities in Thailand.

Considering the proven benefits which have accrued to the rural sector under these policies, the two Ministers agreed, at Minister Kadirgamar's suggestion, to make arrangements for public officials from Sri Lanka to visit Thailand to obtain a first hand experience on such mechanisms with a view to contributing towards rural development in Sri Lanka. The details of such visits will be settled between the relevant authorities of the two countries.

Thai Foreign Minister Surakiart Sathirathai, said that they would assist Sri Lanka in any way to achieve lasting peace which would lead to greater prospects for trade and investment and other areas of corporation between the two countries.

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