SMT.

CHANDIBAI HIMATMAL MANSUKHANI COLLEGE

ULHASNAGAR- 421003

PROJECT REPORT ON
ECONOMICS

SUBMITTED BY
AKASH RANA
(ROLL NO: 46)

M.COM (SEM.I): SAARC

SUBMITED TO
UNIVERSITY OF MUMBAI
2015-16

PROJECT GUIDE

Prof. Shyam lilani

PA
GE 1

Department of Commerce

Certificate
This is to certify that, Mr. AKASH RANA of M.Com.I, Sem.I (Roll NO46) has successfully
completed the project titled SAARC under my guidance for the Academic Year 201516. The
informationsubmittedistrueandoriginalaspermyknowledge.

Prof.Shyamlilani
(ProjectGuide)

Prof.GopiShamnani Dr.PadmaV.Deshmukh
(Coordinator,M.ComCourse)
(I/CPrincipal)

ExternalExaminer
PAGE2

ACKNOWLEDGEMENT

I acknowledge the valuable assistance provided by SMT.CHANDIBAI HIMATMAL

MANSUKHANI COLLEGE, for two years of degree course in M.Com.
I specially thank the principal Dr.PadmaV.Deshmukh for Allowing us to
the facilities such as library, computer laboratory, internet etc.

use

I sincerely thank the M.Com co-ordinator Prof.GopiShamnani for Guiding us in the right
direction go prepare the project.
I thank my guide Prof.Shyamlilaniwho has given his/her valuable time, knowledge and
guidance to complete the project successfully in time.
My family and peers were great source of inspiration throughout my project their support is
deeply acknowledged.

Signature

PAGE 3

DECLARATION
I, AKASH RANA OF SMT.CHANDIBAI HIMATMAL MANSUKHANI COLLEGE OF M.Com
SEMESTER I, hereby declare that I have completed the project on SAARC in the academic
year 2015-16. The information submitted is true and original to the best of my knowledge.

(AKASH .P. RANA)

M.Com part-1, ROLL NO: 46
SEMESTER I

PAGE 4

INDEX
SR.NO

PARTICULAR

PAGE.NO

INTRODUCTION

HISTORY

OBJECTIVES OF SAARC

MISSION AND VISON OF SAARC

PRINCIPLE AND FUNCTION

10

GENSIS

12

MEMBER OF SAARC

13

SAARC SUMMITS AND MEETINGS

19

ARTICLE I TO VI

32

10

SACERATERIAL

36

11

SAARC CHARTER

39

12

SAARC VISA EXEMPTIONS

41

13

SAARC AGREEMENTS AND CONVENTION

42

14

SAARC DEVELOPMET GOALS (SDGs)

46

15

SAARC MILLENIUM DEVELPOMENT GOALS (SMDGs)

48

16

SAARC FUTURE PLAN

54

17

RECOMMENDATIONS

56

18

CONCLUSION

57

19

BIBLOGRAPHY

59
Page 5

INTRODUCTION

The South Asian Association for Regional Cooperation (SAARC) is an organisation

of South Asian nations, which was established on 8 December 1985 when the government
of Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan, and Sri Lanka formally adopted its
charter providing for the promotion of economic and social progress, cultural development
within the South Asia region and also for friendship and co-operation with other developing
countries. It is dedicated to economic, technological, social, and cultural development
emphasising
collective
self-reliance.
Its
seven
founding
members
are Sri
Lanka, Bhutan, India, Maldives, Nepal, Pakistan,
and Bangladesh. Afghanistan joined
the
organisation in 2007. Meetings of heads of state are usually scheduled annually; meetings of
foreign secretaries, twice annually. It is headquartered in Kathmandu, Nepal.
The South Asian Association for Regional Cooperation (SAARC) was established when
its Charter was formally adopted on December 8, 1985 by the Heads of State or Government of
Bangladesh,
Bhutan,
India,
Maldives,
Nepal,
Pakistan
and
Sri
Lanka.
SAARC provides a platform for the peoples of South Asia to work together in a spirit of
friendship, trust and understanding. It aims to accelerate the process of economic and social
development in Member States.

Page 6

HISTORY OF SAARC
The idea of regional cooperation in South Asia was first mooted in May 1980. The
Foreign Secretaries of the seven countries met for the first time in Colombo in April 1981. The
Committee of the Whole, which met in Colombo in August 1981, identified five broad areas for
regional cooperation. New areas of cooperation were added in the following years.
The South Asian Association for Regional Cooperation (SAARC) was established when
its Charter was formally approved on 8 December 1985 by the Heads of State or Government of
Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan and Sri Lanka. Afghanistan became a
member of SAARC during the Fourteenth SAARC Summit held in Delhi, India in April 2007.
Until 2009 China, Japan, Republic of Korea, USA, Iran, Mauritius, Australia, Myanmar and the
European Union have joined SAARC as Observers.
SAARC provides a platform for the peoples of South Asia to work together in a spirit of
friendship, trust and understanding. It aims to promote the welfare of the peoples of South Asia
and to improve their quality of life through accelerated economic growth, social progress and
cultural development in the region. During the Fifteenth Summit, the Heads of State or
Government emphasized the importance of maintaining the momentum through clear links of
continuity between the work already underway and future activities and recognized the need for
SAARC to further strengthen its focus on developing and implementing regional and subregional projects in the agreed areas on a priority basis. They also renewed their resolve for
collective regional efforts to accelerate economic growth, social progress and cultural
development and emphasized on key issues like telecommunication, energy, climate change,
transport, poverty alleviation, science and technology, trade, education, food security and
tourism.
Cooperation in SAARC is based on respect for the five principles of sovereign equality,
territorial integrity, political independence, non-interference in internal affairs of the member
states and mutual benefit.
Regional cooperation is seen as a complement to the bilateral and multilateral relations of
SAARC Member States.

Page 7

Objectives of SAARC

to promote the welfare of the people of South Asia and to improve their quality of life;

to accelerate economic growth, social progress and cultural development in the region
and to provide all individuals the opportunity to live in dignity and to realize their full
potential ;

to promote and strengthen selective self-reliance among the countries of South Asia;

to contribute to mutual trust, understanding and appreciation of one another's problems;

to promote active collaboration and mutual assistance in the economic, social, cultural,
technical and scientific fields;

to strengthen co-operation with other developing countries;

to strengthen co-operation among themselves in international forums on matters of

common interest; and

to co-operate with international and regional organizations with similar aims and
purposes.

to maintain peace in the region

Page 8

MISSION & VISION

The Vision, the Mission, the Function and the modalities for setting up the SAARC
Disaster Management Centre were decided by an Expert Group of the SAARC countries which
met at New Delhi on 1-2 June 2006. The Report of the Expert Group was accepted by the
SAARC Council of Ministers in its meeting held at Dhaka on 30-31 July 2006.

VISION
The SAARC Disaster Management Centre would be a vibrant centre of excellence for
knowledge, research and capacity building on disaster management.

MISSION
The SAARC Disaster Management Centre would serve the Member Countries by
providing policy advice and facilitating capacity building services including strategic learning,
research, training, system development, expertise promotion and exchange of information for
effective disaster risk reduction and management.

Page 9

PRINCIPLES & FUNCTIONS OF SAARC

PRINCIPLES
1. Cooperation within the framework of the Association is based on respect for the
principles of sovereign equality, territorial integrity, political independence, noninterference in the internal affairs of other states and mutual benefit.
2. Such cooperation is to complement and not to substitute bilateral or multilateral
cooperation.
3. Such cooperation should be consistent with bilateral and multilateral obligations of the
member states.
4. Decisions at all levels in SAARC are taken on the basis of unanimity.
5. Bilateral and contentious issues are excluded from its deliberations.

FUNCTIONS
The functions of the SAARC Disaster Management Centre are:

a. to collect, compile, document and disseminate data, information, case studies, indigenous
knowledge and good practices relating to disaster management particularly from the
Member Countries;
b. to analyze information, undertake research and disseminate research findings on disaster
management among the Member Countries;
c. to develop educational materials and conduct academic and professional courses on
disaster management;
page 10
d. to organize training and awareness programmes for various stakeholders on disaster
management for the Member Countries;
e. to develop training modules on various aspects on disaster management and conduct
programmes of Training for Trainers including simulation exercises;
f. to provide assistance in the formulation of policies, strategies, disaster management
framework and any other assistance as may be required by the Member Countries or
organizations and institutions nominated by the Member Countries;
g. to undertake, organize, facilitate and participate in workshops, conferences, seminars,
lectures etc on various aspects of disaster management in the Member Countries;
h. to undertake publication of journals, research papers and books and establish and
maintain online resource centre in furtherance of the aforesaid objects;
i. to collaborate with other SAARC Centres, particularly SMRC, SCZMC and SAARC
Forestry Centre to achieve synergies in programmes and activities

Page 11

GENESIS

South Asia is one of the most disaster prone regions of the world. Some parts of the eight
countries of this region - Afghanistan, Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan and
Sri Lanka - are hit every year by one or more disasters, taking heavy toll of life and property and
causing enormous suffering and distress to thousands of families. Hard earned gains of
development made over years of efforts of the government and the people get eroded and scarce
resources are diverted for relief, rehabilitation, recovery and reconstruction, which create further
setbacks for development.

Most of the natural disasters in South Asia are rooted in the geo-physical and hydroclimatic conditions of the sub-continent that connect several countries of the region. Almost all
the major disasters transcend the boundaries of the affected country and simultaneously impact
one or more neighbouring countries. The Pakistan earthquake of 2005 affected part of north India
just as the Bhuj earthquake of 2001 sent tremors as far as Karachi. Much of the recurrent floods
in India and Bangladesh have their origin in Nepal. The cyclones of Bay of Bengal affect the
coastal regions of India and Bangladesh just as the cyclones on Arabian Sea hit the coasts of

Gujarat in India and Sindh in Pakistan. Indian Ocean Tsunami of 2004 caused devastation
simultaneously in India, Sri Lanka and Maldives.

Considering the regional dimensions of natural disasters the 3rd SAARC Summit had
commissioned a comprehensive Regional Study on the Causes and Consequences of Natural
Disasters. A SAARC Meteorological Research Centre was established in Dhaka in 1995 and a
SAARC Coastal Zone Management Centre was set up at Male in 2004. A Special Session of the
SAARC Environment Ministers in June 2005 adopted the Male Declaration, which called for
formulation of a Comprehensive Framework of Disaster Management in South Asia.

The 13th SAARC Summit at Dhaka in November 2005 considered the issues of regional
cooperation for preparedness and mitigation of national disasters and approved the offer of India
to set up a SAARC Disaster Management Centre Management in New Delhi. The Centre was
inaugurated on 10th October 2006 by Mr. Shiv Raj Patil, Home Minister of India.

Page 12

MEMBER NATIONS
There are 8 member nations and 8 Observers nation of
SAARC.

Page 13

MEMBERS STATES
CURRENT MEMBERS:1. Afghanistan

5. Bangladesh

2. Bhutan

6. India

3. Maldives

7. Nepal

4. Pakistan

8.SriLanka

India:
India, the largest country in the region was also apprehensive in joining the regional association.
India felt that the proposal of Bangladesh President Zia probably had an indirect Western
sponsorship. This was in the context of the second cold war with the Soviet military intervention
in Afghanistan. A South Asian regional association could be the American mechanism to counter
Soviet influence. This would result in not only the incursion of external powers in the region but
also an anti-Soviet and pro-US South Asian front, which would be incompatible with India's
regional and broader strategic interests. Also India believed that the proposed South Asian forum
could be used by the smaller neighbors to put collective pressures on it (India) on matters
affecting them collectively and individually in relation to India. Thus, in this manner the regional
association would enable neighbors to, "gang up", against India. However, India could not reject
the idea and thus proposed two principles for participation.
Page 14
That the organization would not discuss bilateral issues and that all the decisions would be taken
on the basis of unanimity.
India was of the view that bilateral stresses and strains should not impinge on regional
cooperation. Further, the objective of India was to try to pursue regional co-operation
autonomously without allowing it to be subjected to the vicissitudes of bilateral co-operation.
India thus approached the association with a belief that bilateral relations and regional
cooperation could be completely compartmentalized. By adopting such an approach the
dynamics of the bilateral relations to influence the regional association or vice versa, of the
association to influence bilaterally were being deliberately overlooked.

Pakistan
Pakistan was initially apprehensive of joining the regional association primarily for two reasons.
First, that the forum would further India's domination over the regions' states in an
institutionalized manner. Secondly, Pakistan was also wary of deeper involvement in the South
Asian region since it would cast a doubt on the credibility and seriousness of its efforts to
develop closer ties with the Islamic countries of West Asia. Pakistan finally decided to join the
forum because it was unwilling to isolate itself regionally. Further, according to an observer from
Pakistan, the regional advantage of participating in SAARC was that the arrangement could if
the need arose, "come to deflect the weight of India" vis-a-vis its smaller South Asian partners. It
was emphasised that Pakistan, Bangladesh, Sri Lanka, Maldives, Bhutan and Nepal had very
good, if not ideal relations with each other. However none of the six states could be said to be
enjoying tension free relations with New Delhi. Of all the differences, the Indo-Pak relations, it
was stated, were not conducive to regional cooperation. It is thus evident that just as the blame
for the existence of a conflictual relationship was put on India, the onus for improvement in the
state of affairs was also exclusively put on New Delhi.

Bangladesh
Bangladesh was the country which formally proposed the idea of regional co-operation and
pursued it. President Zia personally took the idea of the SAARC to all the South Asian capitals
during 1977-80 and discussed the proposal for an institutional framework for co-operation
among these countries. Some are of the opinion that it may have been partly conditioned by
President Zia's own domestic compulsions for achieving a breakthrough in foreign policy
initiatives. It could also be that Bangladesh had unsuccessfully tried to force a solution on India
on the Ganges water problem by internationalizing it. Having failed to do so, it wanted to adopt a
regional mechanism.

Nepal
Nepal considers itself to be one of the first countries to speak of regional co-operation,
though the idea was formally suggested for the first time by Bangladesh. King Birendra had for
the first time spoken of some kind of regional co-operation in 1976 while addressing the Fifth
Non-Aligned Summit Conference in Colombo, Sri Lanka. Nepal was of the view that its vast
water resources could be tapped through co-operation of other countries for the general benefit of
the region. Nepal is not only a landlocked country, but has borders with India on three sides.
Page 15

On its north is situated the Tibet region of China. Thus it is dependent on India in many respects
including having transit to the sea. By trying to expand the number of partners to exploit its
resources and having a regional approach, Nepal reduces its dependence on India. SAARC was
to be one of the most important aspects of its foreign policy. At the inaugural SAARC Summit in
Dhaka, Nepal stated that a priceless resource exists (untapped water resource) waiting to be
harnessed for the benefit of the people of the region. This enthusiasm gets clearly reflected in
later years when Nepal showed its willingness to host the various meetings and the fact that the
SAARC Secretariat was finally established in Katmandu. According to some in Nepal, the most

ardent expectation (of Nepal in 1985) from the SAARC proposal was that it should be the most
effective instrument for its security and its political role in the region. That since regional
cooperation was to be on the basis of respect for the principles of sovereign equality, territorial
integrity, political independence and mutual benefitsthe support which Nepal presumed was
coming from India to the opponents of monarchy and those championing the cause of democracy
would no longer be forthcoming. Thus, in this manner the stability and the continuity of the
monarchy could be secured.

Sri Lanka
Sri Lanka responded positively to the regional co-operation proposal. It was the first country to
have hosted any SAARC meeting. Its enthusiasm was not in any way related to the desire to
achieve regime security because it was already an established democracy However, the country
was facing a very grave problem with regard to its ethnic crisis which deepened as preparatory
efforts towards regional co-operation were being made and this brought strains in Indo-Sri
Lankan relations. In the initial years official meetings were disrupted by these differences. Sri
Lanka considered the role which India would play as very vital to the association. This was
clearly articulated in the inaugural session of the first summit in 1985, when President
Jayewardene said that the member countries must first trust each other. That India being the
largest country in every way could by deeds and words create the confidence amongst the
members, so necessary to make a beginning. This clearly indicated to the expectations Sri Lanka
had from India and that the lack of trust present.

Bhutan
Bhutan saw the association as a mechanism through which it could expand its foreign and
economic relations with other countries without antagonizing India.

Maldives
For Maldives, the association of the seven countries was an appropriate forum from where it
could air views effectively. As seen, in later years the association was used to air its concerns
regarding protection and security of small states.
Page 16

Afghanistan
For the first time in its 22-year-old history, SAARC member states welcomed the admission of
Afghanistan into the regional grouping. The issue of Afghanistan joining SAARC generated a
great deal of debate in each member state, including concerns about the definition of South Asian
identity because Afghanistan is a Central Asian country. The SAARC member states imposed a
stipulation for Afghanistan to hold a general election; the non-partisan elections were held in late
2005. Despite initial reluctance and internal debates, Afghanistan joined SAARC as its eighth
member state in April 2007.

OBSERVERS STATES
1. Australia

6. China

2. European Union

7.Japan

3. Iran

8.Mauritius

4. Myanmar

9.S. Korea

5. USA

OBSERVERS:States with observer status include Australia, China, the European Union, Iran, Japan, Mauritius,
Myanmar, South Korea and the United States. US, South Korea and the EU were granted
observer status in 2006 whereas Iran and Mauritius were granted status in 2008. Since the
Fourteenth SAARC Summit, Observers have been invited to participate in the inaugural and
closing Sessions of SAARC Summits. With the admission of Observers to SAARC, a number of
proposals have been made by some Observers to engage in mutually beneficial cooperation and
some of the proposals are currently under implementation. SAARC-Australia Project on
`Developing capacity in cropping systems modelling for sustainable use of water resources to
promote food security in South Asia, was inaugurated on August 2011 at the SAARC
Agriculture Centre, Dhaka.
Page 17

POTENTIAL FUTURE MEMBERS

Myanmar has expressed interest in upgrading it's status from an observer to

a full member of SAARC.

Russia has expressed interest in becoming an observer of SAARC.

OTHERS

South Africa has participated in meetings.

Myanmar and China have expressed interest in upgrading their status from an observer to a full
member of SAARC. Russia has applied for observer status membership of SAARC.
Turkey applied for observer status membership of SAARC in 2012. South Africa has been
participated in various meetings in the past.

Above diagram shows the relationship between various Asian regional Organizations.
Page 18

SAARC SUMMITS AND MEETING

No

Date

1st

78 December 1985

2nd

1617 November 1986

3rd

Country
Banglades

Host

Host leader

Dhaka

Ataur Rahman Khan

India

Bengaluru

Rajiv Gandhi

24 November 1987

Nepal

Kathmandu

Marich Man Singh

Shrestha

4th

2931 December 1988

Pakistan

Islamabad

Benazir Bhutto

5th

2123 November 1990

Maldives

Mal

Maumoon Abdul
Gayoom

6th

21 December 1991

Sri Lanka

Colombo

Ranasinghe Premadasa

7th

1011 April 1993

Dhaka

Khaleda Zia

8th

24 May 1995

India

New Delhi

P V Narasimha Rao

9th

1214 May 1997

Maldives

Mal

Maumoon Abdul
Gayoom

10th

2931 July 1998

Sri Lanka

Colombo

Chandrika Kumaratunga

11th

46 January 2002

Nepal

Kathmandu Sher Bahadur Deuba

12th

26 January 2004

Pakistan

Islamabad

Banglades
h

Zafarullah Khan Jamali

13th

1213 November 2005

14th

34 April 2007

15th

Banglades

Dhaka

Khaleda Zia

India

New Delhi

Manmohan Singh

13 August 2008

Sri Lanka

Colombo

Mahinda Rajapaksa

16th

2829 April 2010

Bhutan

Thimphu

Jigme Thinley

17th

1011 November 2011[59]

Maldives

Addu

Mohammed Nasheed

Nepal

Kathmandu Sushil Koirala

18th

2627 November 2014 [dated info]

[58]

TBA

Islamabad
Pakistan

2016

Page 20

TIMELINE (SAARC SUMMITS)

Summits which are the highest authority in SAARC, were supposed to be held annually.
The Country hosting the Summit also holds the Chair of the Association.
1. First summit

Bangladesh:-

The first summit was held in Dhaka, Bangladesh on 78 December 1985 and was attended by the
Government representative and president of Bangladesh, Maldives, Pakistanand Sri Lanka, the
kings of Bhutan and Nepal, and the prime minister of India.[1] They signed the SAARC Charter
on 8 December 1985, thereby establishing the regional association, and established study groups
on the problems of terrorism and drug trafficking, as well as planning a ministerial-level meeting
about GATT, and a ministerial-level conference on increasing the participation of women at the
regional level.[1] The summit also agreed to establish a SAARC secretariat and adopted an
official SAARC emblem.

2. Second summit

India:-

The second summit was held in November 1617 Bangalore, India in 1986. The Heads
of State or Government welcomed the signing of the Memorandum of Understanding on
the establishment of the SAARC Secretariat by the Council of Ministers and their
decision to locate. the Secretariat in Kathmandu and appoint Ambassador Abul Ahsan of
Bangladesh as the first Secretary-General of south Asian association of regional
cooperation.

Page 21
3. Third summit

Nepal:-

The third summit was held in Kathmandu, Nepal from 24 November 1987, and was
attended by the presidents of Bangladesh, the Maldives and Sri Lanka, the prime
ministers of India and Pakistan, and the kings of Bhutan and Nepal. [2] The foreign
ministers of the member states signed the SAARC Regional Convention on
Suppression of Terrorism and an agreement to establish a South Asian Food Reserve.
[2]

SAARC is a summit

4. Fourth summit

Pakistan:-

The fourth summit was held in Islamabad, Pakistan on 2931 December 1988 and was
attended by the presidents of Bangladesh, the Maldives and Sri Lanka, the prime
ministers of India and Pakistan, and the kings of Bhutan and Nepal. [3] The summit
discussed the coup attempt on 3 November 1988, declared 1989 to be the "SAARC
Year Against Drug Abuse", declared 1990 to be the "SAARC Year of the Girl Child", set
up a technical committee on education, and launched a regional plan called "SAARC2000-A Basic Needs Perspective" to meet specific targets by the end of the twentieth
century in areas such as food, shelter, education and environmental protection. It was
also agreed to hold regular "South Asian Festivals" with the first being hosted by India.

5. Fifth summit

Maldives:-

The fifth summit was held in Mal, Maldives on 2123 November 1990 and was
attended by the presidents of Bangladesh, the Maldives and Sri Lanka, the prime
Page 22
ministers of India, Nepal and Pakistan, and the king of Bhutan. [4] The leaders signed the
SAARC Convention on Narcotic Drugs and Psychotropic Substances, launched the
Special SAARC Travel Document (providing visa-exemptions for national judges,
parliamentarians and academics and their immediate families), launched a Scheme for
the Promotion of Organised Tourism, authorized the SAARC secretariat to share
information and exchange reports, studies and publications with the European
Community and the Association of South East Asian Nations, declared various SAARC
years (1991-2000 AD) to be the "SAARC Decade of the Girl Child", 1991 to be the
"SAARC Year of Shelter", 1992 to be the "SAARC Year of the Environment", 1993 to be
the "SAARC Year of Disabled Persons", and decided to set up the SAARC

6. Sixth summit

Sri Lanka:-

The sixth summit was held in Colombo, Sri Lanka on 21 December 1991 and was
attended by the prime ministers of Bangladesh, India, Nepal and Pakistan, the
presidents of the Maldives and Sri Lanka, and the king of Bhutan.

7. Seventh summit

Bangladesh:-

The seventh summit was held in Dhaka, on 1011 April 1993, and was attended by the
1presidents of the Maldives and Sri Lanka, the prime ministers of Bangladesh, India,
Nepal and Pakistan, and the king of Bhutan.

Page 23
8. Eighth summit

India:-

The eighth summit was held in New Delhi, on 24 May 1995, and was atte
nded by the presidents of the Maldives, Pakistan and Sri Lanka, the prime ministers of
Bangladesh, India and Nepal, and the king of Bhutan. [7]

Ninth summit

Maldives:-

The ninth summit was held in Male, on 1214 May 1997, and was attended by the
presidents of the Maldives and Sri Lanka, the prime ministers of Bangladesh, India,
Nepal and Pakistan, and the king of Bhutan.

9. Tenth summit

Sri Lanka:-

The tenth summit was held in Colombo, on 2931 July 1998, and was attended by the
presidents of the Maldives and Sri Lanka and the prime ministers of Bangladesh,
Bhutan, India, Nepal and Pakistan.[9]

11. Eleventh summit

Nepal:-

The eleventh summit was held in Kathmandu, on 46 January 2002, and was attended
by the presidents of the Maldives, Pakistan and Sri Lanka and the prime ministers of
Bangladesh, Bhutan, India and Nepal.

Page 25
12. Twelfth summit

Pakistan:-

The twelfth summit was held in Islamabad, on 46 January 2004, and was attended by
the presidents of the Maldives and Sri Lanka and the prime ministers of Bangladesh,
Bhutan, India, Nepal and Pakistan.

13. Thirteenth summit

Bangladesh:-

The thirteenth summit was held in Dhaka, on 1213 November 2005, and was attended
by the prime ministers of Bangladesh, Bhutan, India and Pakistan, the presidents of the
Maldives and Sri Lanka, and the king of Nepal

14. Fourteenth summit

India:-

The fourteenth summit of SAARC was held in New Delhi, India on 3rd-4 April 2007, and
was attended by the presidents of Afghanistan, the Maldives and Sri Lanka and the
prime ministers Bhutan, India, Nepal and Pakistan and the chief adviser of the
government of Bangladesh.

15. Fifteenth summit

Sri Lanka:-

The fifteenth summit of SAARC was held in Colombo, Sri Lanka on 13 August 2008. The
issues discussed were regional cooperation, partnership for growth for the peoples of South
Asia, connectivity, energy, the environment, water resources, poverty alleviation, the SAARC
Development Fund, transport, information and communications
technology development, science and technology, tourism, culture, the South Asian
Free Trade Area, the SAARC Social Charter, women and children, education,
Combating terrorism and the admission of Australia and Myanmar as observers.

Page 25

16. Sixteenth summit

Bhutan:-

The sixteenth summit was held in Thimpu, Bhutan on 2829 April 2010. Bhutan hosted
the SAARC summit for the first time. This was marked the silver jubilee celebration of
SAARC that was formed in Bangladesh in December 1985. Climate change was the
central issue of the summit with summit's theme "Towards a Green and Happy South
Asia". Outcome of Thimpu Summit regarding climate change issue:

SAARC leaders signed a SAARC Convention on Cooperation on Environment to

tackle the problem of climate change.[14]

The SAARC nations also pledged to plant 10 million trees over the next 5 years.

India proposed setting up of climate innovation centres in South Asia to

develop sustainable energy technologies.

India offered services of India's mission on sustaining the Himalayan

Ecosystem to the SAARC member states saying that the initiative could serve as a
nucleus for regional cooperation in this vital area.

India announced "India endowment for climate change" in South Asia to help
member states meet their urgent adaption and capacity building needs posed by the
climate change.

The seven-page Thimphu Silver Jubilee Declaration-Towards a Green and

Happy South Asia emphasised the importance of reducing dependence on high-

carbon technologies for economic growth and hoped promotion of climate

resilience will promote both development and poverty eradication in a sustainable
manner.
Page 26
17. Seventeenth summit

Maldives:-

Main article: 17th SAARC summit

Addu Convention Centre, venue of the 17th SAARC summit

The Seventeenth Summit was held from 10-11 of November 2011 in Addu City,
Maldives. The Meeting, which was held at the Equatorial Convention Centre, Addu City
was opened by the outgoing Chair of SAARC, Prime Minister of the Royal Government
of Bhutan, H.E.Lyonchhen Jigmi Yoezer Thinley.
H.E. Mohamed Nasheed was elected as the Chairperson of the 17th SAARC Summit.
In his inaugural address President Nasheed highlighted three areas of cooperation in
which progress should be made; trade, transport and economic integration; security
issues such piracy and climate change; and good governance. President also called on
the Member States to establish a commission to address issues of gender inequalities
in South Asia.

The Head of States of all the SAARC Member States addressed the Meeting. The
inaugural meeting was attended by Foreign/External Ministers of SAARC Member
States, the Secretary General of SAARC, the Heads of Observer Delegation, Cabinet
Ministers of the Maldives, Ministers in the visiting delegations and other state
dignitaries.

Page 27

In her address Secretary General stated that the Summit being held under the theme
of"Building Bridges" provides further impetus and momentum to build the many bridges
that needs to be built: from bridging the gaps created by uneven economic development
and income distribution, the gaps in recognizing and respecting the equality of men and
women, the closing of space between intent and implementation.
In this Meeting, the Foreign Ministers of the respective Member States signed four
agreements;
SAARC Agreement on Rapid Response to Natural Disasters SAARC Agreement on
Multilateral Arrangement on Recognition of Conformity Assessment SAARC Agreement
on Implementation of Regional Standards SAARC Seed Bank Agreement In addition,
the Addu Declaration of the Seventeenth SAARC Summit was also adopted.

18. Eighteenth summit

Nepal:-

Main article: 18th SAARC summit

The 18th SAARC Summit was held at the Nepalese capital Kathmandu from November
26 to November 27, 2014 and was attended by the prime ministers
of Bangladesh,Bhutan, India, Nepal and Pakistan, the presidents of
the Afghanistan, Maldives and Sri Lanka. The motto was Deeper Integration for Peace
and Prosperity.

Page 28

19. Nineteenth summit

Pakistan:-

Main article: 19th SAARC summit

Pakistan will host the 19th summit of South Asian Association for Regional Cooperation
(SAARC) in Islamabad in 2016.
This was announced by Pakistani Prime Minister Nawaz Sharif in his address to the
18th SAARC summit being held in the Nepals capital

Page 29

MINISTERIAL MEETINGS

Meetings held between the ministers of member states of various portfolios.

More than 30 such meetings have been held.

Rawalpindi Resolution:

August 1996

Related to the issue of children rights.

Declaration of safeguarding of rights of children to an education plus curbing child

labor.

Environment Ministers meeting:

April 1997

Reaffirmation of goals of international conventions.

Proposal for environmental safeguarding of South Asian seas.

Commerce Ministers Meeting:

May 1998.

Held in Geneva right after the WTO ministerial meeting.

Joint statement demanding the rights of developing nations.

Islamabad Declaration:

July 2005

Related to health issues.

Agreement to setup Expert Group on Population to aide sharing of expertise and

experience related to population issues.
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Emphasis laid on achieving the MDGs and on allocating a larger share of GDP on
health related matters.

Cooperation in Counter Terrorism:

Colombo 2009.

Ratification and implementation of SAARC Convention on Mutual Legal Assistance

in Criminal Matters.

Establishment of High Level Group of Eminent Experts.

Page 31

ARTICLE I TO VI

Article-I

Establishment of the SAARC Arbitration Council

(1)

There is hereby established a body to be known as the SAARC Arbitration Council

(hereinafter referred to as the Council).

(2)

The Council shall have full legal personality.

(3)

The legal capacity of the Council shall include:-

(a)

the capacity to contract;

(b)

to sue and be sued in its name; and

(c)

to acquire, hold and dispose of properties.

The location of the Council shall be decided.

Article-II

Objectives and Functions of the Council

The objectives and functions of the Council are to:

(a)

provide a legal framework within the region for fair and efficient settlement through
conciliation and arbitration of commercial, investment and such other disputes as may
be referred to the Council by agreement;

(b)

promote the growth and effective functioning of national arbitration institutions

within the region;
Page 32

(c)

provide fair, inexpensive and expeditious arbitration in the region;

(d)

promote international conciliation and arbitration in the region;

(e)

provide facilities for conciliation and arbitration;

(f)

act as a co-ordinating agency in the SAARC dispute resolution system;

(g)

coordinate the activities of and assist existing institutions concerned with arbitration,
particularly those in the region;

(h)

render assistance in the conduct of ad hoc arbitration proceedings;

(i)

assist in the enforcement of arbitral awards;

(j)

maintain registers/panels of:

(i)

expert witnesses, and

(ii)

suitably qualified persons to act as arbitrators as and when required; and

(k)

carry out such other activities as are conducive or incidental to its functions.The
Council shall have the powers necessary to enable it to carry out its objectives and
functions.

Article-III

Organizational set-up of the Council

(1)

There shall be for the Council a Director-General who shall:

(2)

(a)

Be a citizen of a SAARC Member State; and

(b)

Be appointed, on the principle of alphabetical rotation among SAARC

Member States commencing from the Member State hosting the Council, by
the Secretary-General of SAARC with the approval of the Council of
Ministers.

The Director-General shall hold office for a non-renewable period of three years on
such terms and conditions as may be determined by the Council of Ministers.
However, the tenure of the first Director-General will be for a period of four years.

Page 33
(3)

The Director-General shall be the chief executive of the Council and be responsible
for the day-to-day administration of the Council and will work under the supervision
of the Governing Board comprising a Member nominated by each Member State.

(4)

The salary and allowances of the Director-General shall be determined by the Council
of Ministers.

(5)

With regard to matters not covered in this Agreement, including the Service Rules,
Provisions relating to Financial and Administrative Matters, Financial Regulations,
Financial Rules and Procedures and Rules of Procedures for Governing Boards
applicable to the SAARC Regional Centres under the Harmonized Rules will be
applicable, mutatis-mutandis, to the Council.

(6)

The Council, its Director-General and staff shall enjoy such immunities and privileges
as are essential for the effective functioning of the Council to be specified in the
Headquarters Agreement between the Council and the Host Member State.

Article-IV

Rules
(1)

Subject to the Conciliation Rules to be agreed and annexed to this Agreement, the Governing
Board may make any additional rules for the administration of conciliation
proceedings conducted under the auspices of the Council, including the schedule of
fees to be charged.

(2)

Subject to the Arbitration Rules to be agreed and annexed to this Agreement, the
Governing Board may make any additional rules for the administration of arbitrations
conducted under the auspices of the Council, including the schedule of fees to be
charged.

(3)

The Rules made under sub-paras (1) & (2) of this Article shall be made public.

ARTICLE V

Reservations

1. This Agreement shall not be subject to reservations either at the time of signature or at the
time of notification to the SAARC Secretariat of the completion of formalities in terms of
Article V.
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ARTICLE VI

Amendment
1 This Agreement may be amended by consensus amongst the Member States. Any
Member State proposing amendment(s) shall notify the other Member States through the
SAARC Secretariat. Such amendment(s) shall become effective upon the notification
issued by the SAARC Secretariat on completion of formalities, including ratification, by all
Member States.

Page 35

Secretaries General of the SAARC

List of appointees to Secretary-General of the SAARC

Secretary
Generals

Portrait

Dates in
Office

State of
Origin

Notes

Abul Ahsan

16 January
1985 15
October 1989

K.Kishore
Bhargava

17 October
1989 31
December
1991

India

Emirate to Canada in 1998.

Ibrahim Zaki

1 January
1992 31
December
1993

Maldives

Continuation of ministerial
appointments in the Maldives
government until 2003.

Yadah K. Silwal

1 January
1994 31
December
1995

Nepal

Served in the Ministry of Foreign

Affairs.

Banglad
esh

Served as Foreign Secretary of

Bangladesh , theUNESCO , and
the OIC.

Secretary
Generals

Portrait

Dates in
Office

Naeem Hasan

1 January
1996 31
December
1998

Nihal Rodrigo

1 January
1999 10
January 2002

Q.A. Rahim

11 January
2002 28
February
2005

Chenkyab Dorji

1 March 2005
29 February
2008

State of
Origin

Pakistan

Notes

Served as Pakistan
Ambassador to Sweden until 2001.

Sri
Lanka

Banglad
esh

Bhutan

Continuation of appointments at
the Ministry of Foreign
Affairs of Bhutan.

Sheel Sharma

1 March 2008
28 February
2011

India

Served in the Indian DAE ,

the AECI and as thePermanent
Representative to the IAEA.

Fathimath
Saeed

1 March 2011
11 March
2012

Maldives

Resigned from the post in 2012.

Secretary
Generals

Portrait

Dates in
Office

State of
Origin

Ahmed Saleem

12 March
2012 28
February
2014

Maldives

Arjun Bahadur
Thapa

1 March 2014
present

Nepal

Notes

Former Foreign Secretary of Nepal

Page 38

SAARC CHARTER

Desirous of promoting peace, stability, amity and progress in the region through strict
adherence to the principles of the UNITED NATIONS CHARTER and NONALIGNMENT, particularly respect for the principles of sovereign equality, territorial
integrity, national independence, non-use of force and non-interference in the internal
affairs of other States and peaceful settlement of all disputes.

Conscious that in an increasingly interdependent world, the objectives of peace, freedom,

social justice and economic prosperity is best achieved in the SOUTH ASIAN region by
fostering mutual understanding, good neighborly relations and meaningful co-operation
among the Member States which are bound by ties of history and culture.

Aware of the common problems, interests and aspirations of the peoples of SOUTH ASIA
and the need for joint action and enhanced co-operation within their respective political
and economic systems and cultural traditions.

Convinced that regional co-operation among the countries of SOUTH ASIA is mutually
beneficial, desirable and necessary for promoting the welfare and improving the quality
of life of the peoples of the region.

Convinced further that economic, social and technical co-operation among the countries
of SOUTH ASIA would contribute significantly to national and collective self-reliance.

Page 39

Recognizing that increased co-operation, contacts and exchanges among the countries of
the region will contribute to the promotion of friendship and understanding among their
peoples.

Recalling the DECLARATION signed by their Foreign Ministers in NEW DELHI on 2

August 1983 and noting the progress achieved in regional co-operation.

Page 40

SAARC Visa Exemption Scheme

The Twelfth Summit (Islamabad, January 2004) approved the institution of the SAARC Award to
honor and encourage outstanding individuals and organizations within the region. The main
objectives of the SAARC Award are:

To encourage individuals and organizations based in South Asia to undertake

programmes and activities complementing the efforts of SAARC

To encourage individuals and organizations in South Asia contributing to the

improvement of the conditions of women and children

To honor outstanding contributions and achievements of individuals and organisations

within the region in the fields of peace, development, poverty alleviation, environment

protection and regional co-operation making the SAARC Award the most prestigious Award
in the region; and

To honors any other outstanding contributions and achievements, not covered above, of
individuals and organizations in the region.

Page 41

Agreements, Declarations and Conventions of

SAARC:AGGREMENTS
Agreement for establishment of SAARC Arbitration Council
Final Agreement on Avoidance of Double Taxation
Final Agreement on Customs Matters
CHARTER OF SDF 31 July 2008
Agreement on establishing the SAARC food bank
Agreement on south Asian Free Trade Area (SAFTA)
Agreement on the Establishment of South Asian Regional Standards Organization
(SARSO)
Agreement on Avoidance of Double Taxation

DECLARATIONS

Ministerial Declaration on Global Economic Crisis

Colombo Statement on Children of South Asia

Declaration on Cooperation in Combating Terrorism

Islamabad Declaration on Health, 2005

Colombo Declaration on a Common Environment Program

Common Position on Climate Change, Nov. 1998

Rawalpindi Resolution on Children of South Asia, Aug. 1996

New Delhi Declaration of Environment Ministers, Apr, 1997

Declaration of Commerce Ministers May 1998

page 42

CONVENTIONS
SAARC Convention on Combating and Prevention of Trafficking in Women and
Children for Prostitution
The purpose of this Convention is to effectively deal with the various aspects of prevention and
suppression of trafficking in women and children and to prevent the use of women and
children prostitution networks.

Convention on Promotion of Welfare of Children

The purpose of this Convention is to promote cooperation amongst Member States so that they
take effective steps for the welfare of children.

Convention on Mutual Assistance on Criminal Matters and Suppression of Terrorism

The States Parties shall provide widest possible measures of mutual legal assistance in criminal
matters, namely investigations, prosecution and resulting proceedings.

SAARC Convention Narcotics Drugs

Important steps have been taken to enforce the provisions of the Regional Convention on
Narcotic Drugs.

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48
Page
49

Page 50

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3. SAARC is the weakest regional organization of the world its population is 1.5 billion,
its problems are numerous and they demand urgent solution. The bigger countries
should look after the LDCs. the goals should be made realistic, so that they can easily
be achieved.
4. SAARC Chamber of Commerce and Industry organized 4th SAARC Business
Leaders Conclave with theme Peace and Prosperity through Regional Connectivity
in collaboration with Federation of Nepalese Chambers of Commerce & Industry on
20-22 September 2011 at Kathmandu, Nepal. The Conclave was supported by
Friedrich Naumann Foundation, Regional office New Delhi and the World Bank
Group as the knowledge partner. Leading Sri Lankan business personalities attended
this with the Federation of Chambers of Commerce and Industry (FCCISL) officials
striking greater success in terms of business networking and promoting the country.
The conclave aimed at determining a persuasive action plan of the private sector of
the region to foster the process of regional integration in South Asia.

Page 58

BIBLIOGRAPHY
1. www.saarc-sec.org
2. www.saarcstat.org
3. SAARC Origin, Growth, Potential and Achievement - Muhammad Jamshed
Iqbal
4. Oxford dictionary
Website links:1. https://www.google.co.in/search?
newwindow=1&q=saarc+member&revid=543294284&sa=X&ei=31luUqLJI4SJlAW_44
C4AQ&ved=0CJwBENUCKAc
2. https://www.google.co.in/search?
newwindow=1&q=saarc+nations&revid=543294284&sa=X&ei=31luUqLJI4SJlAW_44C
4AQ&ved=0CJgBENUCKAM
3. http://www.cpd.org.bd/pub_attach/DR-25.pdf
4. http://books.google.co.in/books/about/SAARC.html?id=7cHsAAAAMAAJ&redir_esc=y
5. http://www.rbi.org.in/saarc/SaarcBriefHistory.html
6. http://archives.dailynews.lk/2008/08/01/saarc02.asp
7. http://www.internationaldemocracywatch.org/index.php/south-asian-association-forregional-cooperation8. https://www.google.co.in/search?
newwindow=1&q=history+of+saarc&revid=543294284&sa=X&ei=31luUqLJI4SJlAW_
44C4AQ&ved=0CJoBENUCKAU
9. http://www.pakistantimes.net/pt/detail.php?newsId=8311
10. http://www.preventionweb.net/english/hyogo/progress/reports/v.php?id=32602&pid:183

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