Institute of Foreign Affairs
    




National seminar on "SAARC: A Vision for the Future and SAARC: Nepalese Perspective"


Organised by Institute of Foreign Affairs (IFA)

A one-day national seminar on "SAARC: A Vision for the Future and SAARC: Nepalese Perspective" was organised by Institute of Foreign Aff airs (IFA), in association with the Ministry of Foreign Aff airs, at the Hotel Himalaya, Lalitpur on March 27, 2007. The seminar, which was held on the eve of the 14th SAARC Summit, was focussed on implementing the charter objectives of the regional body. Experts from various fi elds attended the seminar, which was formally inaugurated by the then Hon'ble Deputy Prime Minister and Minister for Foreign Aff airs, K. P. Sharma Oli. Mr. Oli was also the Chief Guest at the opening session.



Opening Session

Chief Guest Mr. Oli inaugurated the seminar by lighting a traditional lamp. Delivering his opening address, Mr. Oli said that the third decade of SAARC was termed as the decade of implementation. He said poverty reduction was still a formidable challenge in South Asia and called the member states for a concerted action.

Terming SAFTA (South Asia Free Trade Area) as an important milestone for the regional progress, he said that it had brought great hopes to the member states. He, however, showed his serious concern over the dismally low trade volume (5%) of the region as compared to other economic blocks. He emphasised the need for rapid socio-economic transformation of the region by identifying and implementing regional and sub-regional projects in all possible sectors of the SAARC He called for the regional body to focus on connectivity and encourage peopleto- people contact for enhancing business confidence.

Delving on social evils, he said terrorism, drug traffi cking and traffi cking in women and children, money laundering and other trans-national crimes must be brought under control through concerted eff orts. Highlighting the region's energy defi ciency, he stressed the inter-connectivity of power grids and development of trans-border gas and oil pipelines. He also called for exploring and utilising the unlimited hydropower potential in Nepal to meet the region's ever growing energy demand.

Delivering his address, Acting Foreign Secretary Mr. Gyan Chandra Acharya expressed the view that SAARC had many opportunities and challenges. According to him, if the challenges were dealt with prudently, the region would be a world model. He shed light on the importance of promoting regional cooperation for the overall development of the entire region. He said that the country like Nepal should look for strong bilateral relationship, maximisation of national interest through regional cooperation and enhancement of overall interest.

In his welcome address, Prof. Dr. Gopal Pokharel, Executive Director of IFA, laid focus on the implementation of the objectives of SAARC and called for furthering regional cooperation. He, however, said that despite having geographical proximity and almost similar historical background, development activities and foreign policies, SAARC member states had not been able to move ahead hand in hand to promote mutual areas of interest.

He was of the opinion that even after completion of two decades of its establishment, SAARC had not been able to come up as a strong regional body. He emphasised that if SAARC were to deal eff ectively with the emerging uncertainty and chaotic political and economic scenario in mitigating the suff erings of the people, there was no policy option left but to globalise trade policies based on the cooperative strategies. Highlighting the signifi cance of political freedom in the region, he said that the regional organisation had to adopt poverty alleviation as an important agenda. He also urged the member states to formulate suitable technological policies to minimise economic disorder. He emphasised the need for devising suitable machanisms to ensure eff ective delivery. Earlier, welcoming the Chief Guest, distinguished guests and other invitees, Ms. Anjan Shakya, Deputy Executive Director of IFA, said that regionalism both as concept and policy was gradually gaining ground with the realisation of its collective goals worldwide. Highlighting important charters of SAARC, she said that the regional organisation was unable to create feasible outcomes for which it was created. Ms. Shakya added that SAARC needed to be a viable instrument of peace, good neighbourly relations and vehicle for socio-economic transformation in the region.

Talking about reduction of poverty and economic progress in the SAARC, she said that SAARC member states had to share their experiences. She highlighted that trade, in a broader sense, needed to be promoted through mutual agreements on cross-boarder movement of people and goods, improvement of infrastructure and strengthening mutual trust through holding dialogues and providing assistance Emphasising the vital role of SAARC in the overall progress of the region, she urged the member states to promote the people's wellbeing in the region and raise their living standard by accelerating economic growth, social progress and cultural development. She was of the opinion that the region needed to be more vibrant and dynamic to fi ght against all the emerging issues at all times. She also stressed the need for strengthening connectivity among the member states to promote mutual cooperation and assistance in economic, social and scientific fields.


Working Session

The inaugural session of the seminar was followed by the working session. The working session was divided into two parts. In the fi rst part of the session, imminent scholar Prof. Dr. Shreedhar Khatry, former Executive Director of IFA, presented a working paper entitled "SAARC: Vision for the Future." The fi rst part of the working session was chaired by Dr. Prasksh Sharan Mahat, former Minister of State for Foreign Aff airs. In the second part, Acting Foreign Secretary Mr. Gyan Chandra Acharya presented his paper on "SAARC: Nepalese Perspective." The second part of the session was chaired by Mr. Ram Hari Joshi, former Education Minister.

Paper Presentation

Presenting his paper, Prof. Dr. Khatry suggested that certain infrastructures like energy, and transportation should be developed, without which economic growth was impossible in SAARC. He also highlighted free trade, liberalization, nontariff barriers, and signifi cant linkages of SAFTA with private sector investment. He called for the member states of the regional body to focus on regional connectivity to give a boost to the region's economy. However, in the case of Nepal, the veteran scholar recommended some vital mechanisms to compensate revenue losses and attract more private investments, as the free trade alone failed to yield much. He said that the region was full of fertile minds but the governments and inter-governmental institutions were not able to recognize their ideas. Emphasising the need to strengthen the institutional mechanism, he urged the regional organisation to bring it to the people's level. Pinpointing the weaknesses of the regional organisation, Prof. Khatry said that SAARC was very weak in terms of inter-state linkages due to lack of proper monitoring of policies and programmes.

Floor Discussion

From the fl oor, experts from various fi elds made their comments on the paper. Dr. Mohan Man Sainju, former Vice-Chairman of the National Planning Commission (NPC) and former Ambassador, said the author neglected the role of NGOs in the region's development eff orts. He was also of the view that the regional organisation's policies, plans and programmes had to be made implementable. The author agreed with the points made by Dr. Sainju in terms of making SAARC's programmes, plans and policies implementable. Commenting on Dr. Khatry's paper, Prof. Dr. Soorya Lal Amatya said the paper portrayed only rosy pictures and blamed him for laying much focus on the achievements made by India. Dr. Amatya further said that the author didn't highlight political situation of the region.

In response to these queries, the author agreed that his presentation was a little bit rosy. According to him, he was simply trying to present the hard facts, the trends and the diffi culties all together in his presentation. Prof. Khatry said that if the diffi culties were not looked at minutely, the potential would not be realised. He expressed the view that the future could not be understood without having realised the past. In terms of his emphasis on India, he said it was automatic, as the country was powerful in the region. He even said that India was unsure of its power and felt that it was always undermined by its neighbours. In regard to political situation of the region, the author conceded the fact that he didn't mention about the political situation of Nepal, Bangladesh, Sri Lanka and Afghanistan. However, he said that when he mentioned Bangladesh's corruption, present situation and governance, that would obviously indicate the political situation of the region as a whole.

Dr. Keshav Raj Jha, former Ambassador, raised a question regarding observers of the regional body. In response to the question, the author said that the SAARC made a mistake in trying to get countries like the USA, Japan and the rest as observers. He called it a false start on the part of SAARC. He suggested that they (observers) had to be dialogue partners rather than observers. The author asked how the member states of the regional organisation would deal with Japan, the United States (US), the European Union (EU), South Korea, and China by making them simply passive listeners. He further counteracted what the importance of observers would be when they were not allowed to speak in the forum. He suggested that South Asia should attract others for political security and economic reasons. Mr. Lal Babu Yadav, a lecturer of Patan Campus, asked what the Indian role for developmental activities in the SAARC was. Answering his query, the author said that being a larger power, India was always put in a very diffi cult situation. He said that when India made any proposal in South Asia, it would be blamed for having hegemonic ambition, if not, it would be labelled as lack of leadership. He said that the real challenge for India was to bring about changes in others' attitude towards it, change its working procedures and diplomacy.

Dr. Kamal Krishna Joshi, Chairman of University Grants Commission and former Vice Chancellor of Tribhuvan University (TU), raised diff erent issues related to SAARC University, mutual recognition of the degrees of all the universities in member countries, inclusion of SAARC chapters in school level curriculum of member states and establishment of Center of Excellence. The author agreed with Dr. Joshi's views and lauded him for his interesting comments.

Ms. Indira Shrestha asked whether there was provision of women scholarships in SAARC University in general and throughout the universities of the region in particular. Responding to her question, he clarifi ed that many people in Nepal were unaware of the availability of scholarships. He said that there were so many scholarships available like RCSS scholarships, Mahabul Haq Award, Kodikara Award, Asia Fellowship Program, South Asia Women College, etc. Mr. Ima Baru, representative from Pakistani Embassy, commented on the exclusion of economic progress by Pakistan in the paper. Then Dr. Khatry asked him to go through the study done by PIDE and SAFTA. The author accepted that Pakistan's economic progress could not be neglected. He informed that Pakistan, which was almost zero once in Foreign Exchange Reserve, had gone up very high now. Prof. Dr. Ananta Raj Poudyel asked about the bilateral issues that were discussed in the past SAARC Summits. Answering his query, the author said that several serious bilateral issues were discussed in the Summits. He also informed that a number of issues had emerged and agreements were made out of them. He further disclosed that since the last few years, bilateral issues had crept into offi cial discussion at SAARC forums.

Mr. Bishwa Kanta Mainali, President of Nepal Bar Association (NBA) claimed that the member countries had given low priority to SAARC. Accepting his insightful comment, the author said that it was useless to conduct seminars just only on the eve of the SAARC Summit. The member countries had to discuss and debate about it regularly on specifi c issues. In response to 'curtailing dependency', the author said that there was dependency due to Nepal's political weakness, incapability and internal problems. Mr. Dev Raj Dahal, chief of FES, Nepal, commented on the defi cit of political willpower among the member countries of SAARC. Accepting his genuine comment, Prof. Khatry highlighted that Mr. Dahal's thoughts were very provoking and useful and would continue to remain useful in future, too.

Ms. Indu Acharya, a lecturer of TU, raised a question of establishing SAARC University in Nepal and the dictatorship of India in the provision of scholarships in the university on the basis of population. In response to her comment, the author said the proposal report was not prepared by Indian but by Bangladeshi. In regard to the location of the university, he said that there were certain criteria to be fulfi lled for that and Nepal could not do it. Prof. Rabindra Khanal had a question on the mechanism that would lead us to the people or grassroots institutions. He was informed that there were apex bodies and recognized bodies at the SAARC level which worked as grass-roots institutions. He further elaborated that there were various organizations in SAARC demanding recognitions which was quite a challenging task for the SAARC and its governments to manage properly. Dr. Shreedhar Gautam, Associate Professor of Patan Multiple Campus, wanted to know about distribution of economic growth in the region. The author said that his paper was not focusing on specifi c issues like economic matters rather it was general in nature.

Chairman's Remarks

Chairman of the session, Dr. Prakash Sharan Mahat off ered his concluding remarks. Thanking all the guests and participants, Mr. Chairman said that the vision and strategy for third decade of the SAARC was pertinent. He also made a very important remark on the progress made by SAARC, the challenges and opportunities of SAARC and the strategies which should have been adopted to combat the challenges by the association in the days to come. Dr. Mahat revealed the fact that the economic growth achieved by the SAARC (especially by India, Bangladesh and Pakistan) was not due to regional cooperation but due to the impact of globalization, liberal trade policy they had adopted and the investment friendly environment there. He also mentioned that in 1990, even India had less that 6% economic growth. He was quite optimistic about Nepal's economic growth (6%) and said that the country would progress soon if there were investment friendly environment. Dr. Mahat also said that the smaller countries like Nepal would be benefi ted from bigger India if there were real and tangible cooperation in terms of trade transportation (both air and surface), energy, investment and technology.