SAARC (South Asian Association for Regional Cooperation)  has failed to fly again. It has failed to push through three agreements supposed to be signed at the 18th SAARC summit in Kathmandu on November 26. The agreements are Motor Vehicles Agreement for the regulation of passenger and cargo vehicular traffic among member states, Regional Railways Agreement and Framework Agreement for energy cooperation (Electricity). Bangladesh and India were ready to sign the agreements. The agreements could not be signed due to difference of opinion among some member countries, particularly Pakistan. Pakistan expressed reservation about all the three agreements while Bhutan opposed the motor vehicles agreement.
Since its inception in 1985, a number of agreements have been signed but their implementation was not satisfactory. South Asian Free Trade Agreement was signed in 2004 but it has remained unimplemented. Food Bank Agreement was signed in 2007 but it is yet to be implemented. Development Fund was constituted in 2008 and the Seed Bank was set up in 2011 but these agreements have little success.
The eight South Asian nations finally signed a deal on November 27 to create an electricity grid and salvaged the 18th summit that had been overshadowed by hostilities between India and Pakistan. There were hectic efforts to convince Pakistan which stalled the signing of the agreements on the ground that internal processes were not completed. Under the energy deal, a market for electricity will be developed on a regional basis. It will enable cooperation in the power sector among the eight member countries. It will enhance cross-border electricity trade among the member countries.
The 18th SAARC summit ended on November 27 with the issuing of a 36-point declaration. Nepalese Prime Minister Sushil Koirala announced the closure of the summit. The member states agreed to strengthen the Kathmandu-based SAARC Secretariat and set up a mechanism to curb terrorism and religious extremism. The next summit will be held in Islamabad. Pakistan Prime Minister gave vote of thanks for selecting his country as the venue of the next summit.
Indian Prime Minister Narendra Modi met all the leaders of SAARC except the Prime Minister of Pakistan on the inaugural day. They shared the dais but there was no exchange of courtesies. The two leaders were sitting two seats away but did not look at each other. The two leaders, however, shook hands and met briefly during the retreat. Host country Nepal was pushing for talks between India and Pakistan but no planned meeting took place.
Leaders expressed willingness for further cooperation and for setting up economic union. They were willing to help each other in infrastructure development. Indian Prime Minister Narendra Modi stole the limelight by announcing immediate medical visa for patients from all SAARC countries seeking treatment in India and three to five years' visa for the businessmen. A patient and one attendant will be given immediate visa for treatment in any hospital in India.
Despite having good prospect of a market of 1.7 billion people, regional trade has not increased much as of now. The current volume of intra-SAARC trade is less than 5.0 per cent of the total trade of South Asia, while volume of ASEAN (Association of South East Asian  Nations) trade is 26 per cent and EU (European Nation) trade, 45 per cent. The regional states should make tangible progress in tariff concessions and removal of other trade barriers to turn the regional grouping into an effective trade bloc. Unless it is done, the dream of a free trade area will remain a far cry.
In the past, effective cooperation could not develop in the region for lack of political will and bureaucratic complexities. The dream of an integrated South Asia remains elusive. Such integration requires the political will and firm  commitment of governments. Bangladesh recently made efforts to give connectivity to India. A deepening regional cooperation and fraternity is required to tackle all the challenges. Once the transport connectivity is in place in South Asia, trade and investment will accelerate.
Representing the US at the SAARC summit, Assistant Secretary of State for South and Central Asian Affairs Nisha Desai Biswal said for all the countries of the region the need of the hour is for a South Asia that is connected through trade and transit, where goods and people can move more freely, power trading and water sharing become the currency of connectivity. The US believes that economic connectivity is not enough for enduring peace and prosperity of South Asia region.
Transparency International Bangladesh (TIB) welcomed SAARC leaders' pledge to ensure good governance for sustainable development by promoting accountability, transparency and rule of law. The TIB called upon the Bangladesh government to take steps to promote accountable and transparent governance. People of South Asia in general and Bangladesh in particular feel that our political leaders must ensure governance and policy structures are not captured by those who benefit from corruption. South Asian leaders have shied away from raising their voice against corruption. South Asian governments must have the courage and capacity to control corruption.
Pakistan and Sri Lanka reportedly supported full membership for China which currently enjoys observer status in the regional grouping. India has resisted promoting its regional rival to full membership status.
The writer is an economist
and columnist. jamaluddinsyed23@yahoo.com.au
The dream of an integrated South Asia remains elusive
Syed Jamaluddin | Published: December 01, 2014 00:00:00 | Updated: November 30, 2024 06:01:00
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