SAARC and the East Asian economic boom

The 17th South Asian Association for Regional Cooperation Summit which opens in Male today could be said to be at a farther remove from the inaugural SAARC Summit which was held in Bangladesh in 1985. This is on account of the fact that we in South Asia are today enjoying comparatively better economic prospects than the SAARC region of the eighties. Those were lean times in terms of material productivity, whereas today, our neighbouring regions are leading from the front in terms of global economic buoyancy.

As is well known, the global economic balance has shifted decisively in favour of East Asia and India is figuring prominently as a front runner in dynamic economic growth. While India is a notable success story, most other countries of South Asia could be considered as tasting the fruits of enhanced material prosperity although India is the pick of the economic performers. Most of the economies in India's neighbourhood could be said to be on the rebound and the time could not have been riper for a consolidation of economic and other forms of cooperation among the SAARC Eight.

Accordingly, we welcome the recent decision by Pakistan to accord Most Favoured Nation Trade Status to India. Besides paving the way for stepped-up trade cooperation between the countries, this decision would prove a huge stimulant to an all round improvement in Indo-Pakistani ties. Stepped-up, positive Indo-Pakistani ties, it goes without saying, are vital to the economic prosperity and security of South Asia; hence the need to consider as most welcome the news on the upgradation of trade ties between the South Asian giants.

However, this should be seen as a trend setter by the rest of South Asia, although many of India's neighbours do not possess economies of the same strength, vibrancy and scale as that of India. There need to be redoubled efforts on the part of all South Asian countries to make the most of the economic vibrancy which is pervading a good part of the continent. Economic complementarities and opportunities for enhanced cooperation must be systematically utilized among the SAARC Eight and hopefully these and connected issues will receive ample attention at the present Summit, whose focus would be. 'Building Bridges to Enhance Cooperation Among South Asian Countries.'

Considerable attention is likely to be focused on Sri Lanka at this Summit for she is very easily one of the most developing of states. The lessons she has to offer in the economic and political spheres, in particular, would prove of utmost importance to India's smaller neighbours.

Among the 'firsts' that have been achieved by Sri Lanka is her unique victory over terrorism and this experience President Mahinda Rajapaksa is likely to share with considerable joy with his colleagues in the SAARC fraternity.

In fact, this is a rare opportunity to showcase Sri Lanka as a country which is not only proceeding steadily in the direction of development, but which is now blessed with the opening of building and consolidating fraternal harmony among its communities. It could also focus on how a pragmatic economic policy is helping it in the task of ushering a better tomorrow for its people.

Today, Sri Lanka is a Middle Income Country and not a poor country and what has helped it in this endeavour is not only economic growth strategies, but a strong sense of social justice. Over the years, Sri Lanka has managed to generate economic growth without abandoning the principle of redistributive justice and this development paradigm would be worth sharing very expansively with the rest of the SAARC Eight.

So, the time could not be better for enhanced cooperative plans.

This is particularly vital in these times when environmental issues are coming to the fore in this region as never before. Material growth could be nullified by adverse weather and other environmental conditions and these subjects should be provided ample attention at the Summit. Hopefully, there would be a very fruitful coming together of minds.