SAARC Underperformance: A Brief Analysis

In 1983, India, Bangladesh, Bhutan, Maldives, Nepal, Pakistan and Sri Lanka joined hands to establish South Asian Association for Regional Cooperation (SAARC). In 2007, Afghanistan too joined it. Although it raised the possibilities of SAARC rivalling ASEAN and the European Union as an economic powerhouse, it remained essentially obsessed with terrorism, which created fissures in the organization because of India-Pakistan discord on this issue.
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The first SAARC meeting took place in Dhaka in 1985. Despite numerous summits since then, it has failed to attain the objective of economic cooperation. Numerous agreements have been signed and institutional mechanisms established under SAARC, but they have not been adequately implemented. The most disappointing has been the South Asia Free Trade Agreement (SAFTA) which came into effect in 2006, but has not been able to boost the intra-regional trade beyond the five percent level. Sadly, while the SAARC nations comprise 23 % of the global population, it accounts for only 6 % of the global purchasing power, 2 % of trade, and 3 % of FDI. 
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AThe main reason for this poor performance is mutual distrust among the member states – a colonial legacy. The region has not been able to overcome the barriers posed by such military-centric borders as Durand Line, Radcliffe Line and McMahon Line. Clearly, the SAARC needs to take lessons from the ASEAN and European Union models where borders have become softer. The SAARC states need to conceive and execute projects that benefit the region’s people collectively. 
But, do the region’s leaders share this vision? 
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What about the aspiring IAS officers of our country? 
Are we aware of the facts and facets of this issue? Gurmarg Educare recognizes the need of the students and has been delivering comprehensive coaching for IAS and other competitive exams for years.

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