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SAARC SAARC
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Submitted To
$ir. KHAIR-UZ-ZAMAN
DECLARTION
! " A # T $ % &
I declare that this project report entitled South Asian Association Regional Cooperation is original and bonafide work of my own in the partial fulfillment of the requirements for the award of the Degree of MASTER OF
B SINESS ADMINISTRATION !Ban"ing # Finance$ and submitted to the
Department of Business Administration, %o&al ni'ersit( Dera Is&ail )han, )h(*er+,a"hton+)h-a. The data that has been collected by me is truly authentic and contains true and complete information.
AC)NO.LED%EMENT
! ' & % ( " ) * M & T
All praise to ALLA/, the most merciful, kind and beneficent, and the source of all knowledge, wisdom within and beyond our comprehension. e is the only !od, who can help me in e"ery field of life. All respect and possible tributes goes to my oly #rophet $ohammad %&A'(, who is fore"er guidance and knowledge for all human beings on this earth. I am proud to say that I am "ery grateful to my family whose kind prayers and cooperation helped me at e"ery step of my work. &pecial thanks go to my formati"e Teacher)s for their cooperation for the sake of our knowledge.
Romana Nargus
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IN THE NAME
ALLAH
THE MOST GRACIOUS & THE MOST MERCIFUL
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Kathmandu, Nepal English South Asian "ahinda Rajapa#sa %athimath hi!ana Saeed 5,130,746 km2 '1,980,992 sq mi( http)**+++,saarc-sec,org*
WHAT IS SAAR !
The South Asian Association 0or Regional Cooperation %SAARC( is an organi,ation of &outh Asian nations, founded in *-.+ and dedicated to economic, technological, social, and cultural de"elopment emphasi,ing collecti"e self/reliance. Its se"en founding members are Bangladesh, Bhutan, India, the $aldi"es, 0epal, #akistan, and &ri 1anka. Afghanistan joined the organi,ation in 2334. $eetings of heads of state are usually scheduled annually5 meetings of foreign secretaries, twice annually. eadquarters are in 6athmandu, 0epal.
HISTOR"
O#
SAAR
The &outh Asian Association for 7egional 8ooperation %&AA78( is an economic and political organi,ation of eight countries in Southern Asia. In terms of population, its sphere of influen e is the largest of any regional organi,ation9 almost 1!" billion people# the combined population of its member states. In the late 1$%&s# Bangladesh #resident 'iaur Rahman proposed the creation of a trade bloc consisting of &outh Asian countries. The Bangladeshi proposal was accepted by India, #akistan and &ri 1anka during a meeting held in Colombo in 1$(1! In August *-.:, the leaders adopted the Declaration on &outh Asian 7egional 8ooperation during a summit which *+
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was held in 0ew Delhi. The se"en &outh Asian countries, which also included 0epal, $aldi"es and Bhutan, agreed on fi"e areas of cooperation. Afghanistan was added to the regional grouping at the behest of India on 0o"ember *:, 233+, 'ith the addition of Afghanistan, the total number of member states were raised to eight %.(.
O$%&
TI'&S O#
SAAR
To impro"e the quality of life and welfare of people of the &AA78 member countries. To de"elop the region economically, socially and culturally. To pro"ide the opportunity to the people of the region to li"e in dignity and to e;ploit their potentialities. To enhance the self/reliance of the member countries jointly. To pro"ide conducti"e climate for creating and enhancing mutual trust, understanding and application of one another)s issues. To enhance the cooperation with other de"eloping economies. To enhance the mutual assistance among the member countries in the areas of economic, social, cultural, scientific and technical fields. To ha"e unity among the member countries regarding the issues of common interest in the international forums. To e;tend cooperation to other trade blocks. To ha"e unity among member countries. Acceleration of economic growth, &ocial progress and cultural de"elopment in the region, promotion of acti"e collaboration and mutual assistance in the economic, social, cultural, technical and scientific fields and strengthening of cooperation among the $ember &tates in international forum on matters of common interest
SAAR S&
R&TARIAT
The &AA78 &ecretariat was established in 6athmandu on *< =anuary *-.4 and was inaugurated by 1ate 6ing )irendra )ir )i*ram Shah of 0epal. It is headed by a &ecretary !eneral appointed by the 8ouncil of $inisters from $ember 8ountries in alphabetical order for a three/year term. e is assisted by the #rofessional and the !eneral &er"ices &taff, and also an appropriate number of functional units called
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Di"isions assigned to Directors on deputation from $ember &tates. The &ecretariat coordinates and monitors implementation of acti"ities, prepares for and ser"ices meetings, and ser"es as a channel of communication between the Association and its $ember &tates as well as other regional organi,ations. The $emorandum of >nderstanding on the establishment of the &ecretariat which was signed by ?oreign $inisters of member countries on *4 0o"ember *-.< at Bangalore, India contains "arious clauses concerning the role, structure and administration of the &AA78 &ecretariat as well as the powers of the &ecretary/!eneral. In se"eral recent meetings the heads of state or go"ernment of member states of &AA78 ha"e taken some important decisions and bold initiati"es to strengthen the organisation and to widen and deepen regional co/operation. The &AA78 &ecretariat and $ember &tates obser"e . December as the &AA78 8harter Day*.
&ecretary !eneral, Directors and &taff of the &AA78 &ecretariat at the function to celebrate the 2+th &AA78 8harter Day, 233- in 6athmandu *+
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TI'ITI&S O#
S&
R&TARIAT
S&
R&TARI&S
(&N&RA)
0an+ar1 16, 1923 to 14 %cto/er 1929 Octo.er /0, /121 to ecem.er 4anuar! /, /115 to 4anuar! /, /116 to 4anuar! /, /118 to 3/, /11/ ecem.er 3/, /113 ecem.er 3/, /117 ecem.er 3/,
A/+- Ahsan 'ant 'ishore Bharga5a $/rahim 6+ssain 7aki 8a9a5 'ant Si-:a&aeem ;< 6asan &iha- #o9rigo =<A<M<A< #ahim "1on.o !henk1a/ )or>i Shee- 'ant Sharma
/112 4anuar! /, /111 to 4anuar! /9, 5995 4anuar! //, 5995 to %e.ruar! 52, 5997 "arch /, 5997 to %e.ruar! 51, 5992 "arch /, 5992 to present
R&(IONA)
&NT&RS
The &AA78 &ecretariat is supported by following 7egional 8entres established in $ember &tates to promote regional cooperation. These 8entres are managed by !o"erning Boards comprising representati"es from all the $ember &tates, &AA78 &ecretary/!eneral and the *+
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$inistry of ?oreign@A;ternal Affairs of the ost !o"ernment. The Director of the 8entre acts as $ember &ecretary to the !o"erning Board which reports to the #rogramming 8ommittee.
&AA78 Agricultural 8entre %&A8(, Dhaka &AA78 $eteorological 7esearch 8entre %&$78(, Dhaka &AA78 Tuberculosis 8entre %&T8(, 6athmandu &AA78 Documentation 8entre %&D8(, 0ew Delhi &AA78
&AA78 8oastal Bone $anagement 8entre %&8B$8(, $aldi"es &AA78 Information 8entre %&I8(, 0epal &AA78 Anergy 8entre %&A8(, #akistan &AA78 Disaster $anagement 8entre %&D$8(, India &AA78 ?orestry 8entre %&?8(, Bhutan &AA78 8ultural 8entre %&88(, &ri 1anka
AR&A O#
ORPORATION
Agriculture and 7ural De"elopment ealth and #opulation Acti"ities 'omen, Couth and 8hildren An"ironment and ?orestry &cience and Technology and $eteorology uman 7esources De"elopment and Transport.
The council
8ouncil of ministers
TUR& O#
OR(ANIZATION STRU
SAAR
&tanding 8ommittee
#rogramming 8ommittee Technical 8ommittee
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&ecretariat
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TH& #UN
OUN I)
R&PR&S&NTATI'&S
MINIST&RS
R&PR&S&NTATI'&S* 7epresented by the foreign ministers of member !o"ernments M&&TIN(S* The 8ouncil meets twice a year or more times if necessary #UN
TION O# OUN I) O# MINIST&RS
It formulates policies
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STAN+IN(
OMMITT&&
R&PR&S&NTATI'&S* It consists of ?oreign secretaries of members go"ernments M&&TIN(S * It is uncertain $eeting will be held whene"er there is a necessary #UN
TIONS O# STAN+IN( OMMITT&
PRO(RAM
OMMITT&&
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T&
HNI A)
OMMITT&&S O#
SAAR
HART&RS O#
SAAR
&AA78 8harter %&igned in Dhaka on 3.th December *-.+( &AA78 &ocial 8harter %&igned in Islamabad on 3Fth =anuary 233F(
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TH& O$%&
HART&S AR&*
To promote the welfare of the people of &outh Asia and to impro"e their quality of life5 To accelerate economic growth, social progress and cultural de"elopment in the region and to pro"ide all indi"iduals the opportunity to li"e in dignity and to reali,e their full potential5 *+
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To promote and strengthen collecti"e self/reliance among the countries of &outh Asia5 To contribute to mutual trust, understanding and appreciation of one anotherGs problems5 To promote acti"e collaboration and mutual assistance in the economic, social, cultural, technical and scientific fields5 To strengthen cooperation with other de"eloping countries5 To strengthen cooperation among themsel"es in international forums on matters of common interest5 and To cooperate with international and regional organi,ations with similar aims and purposes.
Afghanistan was added to the regional grouping at the behest of India on *: 0o"ember 233+, and became a member on : April 2334. 'ith the addition of Afghanistan, the total number of member states were raised to eight %.(. In April 233<, the >nited &tates of America and &outh 6orea made formal requests to be granted obser"er status. The Auropean >nion has also indicated interest in being gi"en obser"er status, and made a formal request for the same to the &AA78 8ouncil of $inisters meeting in =uly 233<. Dn 2 August 233< the foreign ministers of the &AA78 countries agreed in principle to grant obser"er status to the >&, &outh 6orea and the Auropean >nion. Dn F $arch 233., Iran requested obser"er status. ?ollowed shortly by the entrance of $auritius.
M&M$&RS (alpha*eticall((
Afghanistan Bangladesh Bhutan India $aldi"es 0epal #akistan &ri 1anka *+
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O$S&R'&R
Australia 8hina Auropean >nion Iran =apan $auritius $yanmar %Burma( &outh 6orea >nited &tates of America
#UTUR& M&M$&RSHIP
The #eopleGs 7epublic of 8hina has shown its interest in joining &AA78. 'hile #akistan and Bangladesh support 8hinaGs candidature, India is against the prospect of 8hinese membership. 8hinaGs entry in to &AA78 will likely balance IndiaGs o"erbearing presence there. owe"er, during the 233+ Dhaka summit, India agreed on granting obser"er status to the #78 along with =apan. During the *Fth summit, 0epal along with #akistan and Bangladesh, announced their support for the membership of 8hina. 8hina seeks greater in"ol"ement in &AA78, howe"er, finds it too early to apply for full membership.
1anka.
Iran, a state with borders to two &AA78 members, has traditionally enjoyed strong cultural, economic and political relationships with Afghanistan and #akistan and has e;pressed its desire to become a member of the &outh Asian organi,ation. Dn 22 ?ebruary 233+, the ?oreign $inister of Iran, 6amal 6harra,i, indicated IranGs interest in joining &AA78 by saying that his country could pro"ide the region with HAast/'est connecti"ityH. Dn : $arch 2334, Iran asked to join the &AA78 as an obser"er. &AA78 &ecretary/!eneral 1yonpo 8henkyab Dorji responded by saying that IranGs request for obser"er status would be taken up during a meeting of ministers of foreign affairs of &AA78 member countries in the : April summit in 0ew Delhi.
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is already a member of the A&AA0. If done so, $yanmar will become the ninth member in the group. India is currently backing $yanmar. $yanmar)s military regime officially applied for full &AA78 membership in $ay 233.. owe"er, the application is still being considered and the go"ernment is currently restricted to obser"er status.
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SAARC /5:/3 No<em.er 5997 3:6 April 5990 /:3 August 5992 52:51 April 59/9 No<em.er 59// 'Planned(
SAAR
The Agreement on &AA78 #referential Trading Arrangement %&A#TA( was signed on ** April *--: and entered into force on 4 December *--+, with the desire of the $ember &tates of &AA78 %India, #akistan, 0epal, &ri 1anka, Bangladesh, Bhutan and the $aldi"es( to promote and sustain mutual trade and economic cooperation within the &AA78 region through the e;change of concessions. The establishment of an Inter/!o"ernmental !roup %I!!( to formulate an agreement to establish a &A#TA by *--4 was appro"ed in the &i;th &ummit of &AA78 held in 8olombo in December *--*. The basi prin iples underl+ing SA,TA are*. o.erall re ipro it+ and mutualit+ of ad.antages so as to benefit equitably all 8ontracting &tates, taking into account their respecti"e le"el of economic and industrial de"elopment, the pattern of their e;ternal trade, and trade and tariff policies and systems5 2. negotiation of tariff reform step by step, impro"ed and e;tended in successi"e stages through periodic re"iews5 :. recognition of the special needs of the 1east De"eloped 8ontracting &tates and agreement on on rete preferential measures in their fa"our5 F. inclusion of all products, manufactures and commodities in their raw, semi/processed and processed forms. &o far, four rounds of trade negotiations ha"e been concluded under &A#TA co"ering o"er +333 commodities.
?inished goods
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"OTH AWAR+
The &AA78 Couth Award is awarded to outstanding indi"iduals from the &AA78 region. The award is notable due to the recognition it gi"es to the Award winner in the &AA78 region. The award is based on specific themes which apply to each year. The award recogni,es and promotes the commitment and talent of the youth who gi"e back to the world at large through "arious initiati"es such as In"entions, #rotection of the An"ironment and Disaster relief. The recipients who recei"e this award are ones who ha"e dedicated their li"es to their indi"idual causes to impro"e situations in their own countries as well as pa"ing a path for the &AA78 region to follow. The 8ommittee for the &AA78 Couth Award selects the best candidate based on his@her merits and their decision is final. #re"ious 'inners9 *--49 Dutstanding &ocial &er"ice in 8ommunity 'elfare / $r. $d. &ukur &alek %Bangladesh( *--.9 0ew In"entions and Disco"eries / Dr. 0ajmul asnain &hah %#akistan( 233*9 8reati"e #hotography9 &outh Asian Di"ersity / $r. $ushfiqul Alam %Bangladesh( 23329 Dutstanding contribution to protect the An"ironment / Dr. $asil 6han %#akistan( 233:9 In"ention in the ?ield of Traditional $edicine / $r. assan &her %#akistan( 233F9 Dutstanding contribution to raising awareness for TB and@or II@AID& / $r. Ajij #rasad #oudyal %0epal( 233<9 #romotion of Tourism in &outh Asia / $r. &yed Bafar Abbas 0aq"i %#akistan( 233.9 ?rom imalayan glaciers to "erdant plains to coral reefs J protecting the An"ironment in &outh Asia / $s. >swatta 1iyanage Deepani =ayantha %&ri 1anka(
We/ Re0erences
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