January 11, 2002
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ELEVENTH SAARC SUMMIT
Bonanza For Nepal

For a country that has made international headlines because of street violence, political upheaval and the royal palace massacre, the 11th summit of the South Asian Association of Regional Cooperation came as an opportunity to present Nepal’s other face to the world. The summit concluded by endorsing a 56-point declaration to boost regional cooperation, but made little headway in easing tensions between India and Pakistan. Although all seven leaders of South Asia spoke loftily on the need to intensify collective action for poverty alleviation, the hostility between India and Pakistan overshadowed the summit agenda. For the host country, being able organize the summit against such a tumultuous backdrop was in itself a major success.

By KESHAB POUDEL

Never in its 16-year history had the South Asian Association for Regional Cooperation (SAARC) commanded the world’s attention. From Washington to London and from Beijing to other leading world capitals, analysts and discerning citizens fixed their eyes on every facial expression and body language of Pakistan’s President General Pervez Musharraf and Indian Prime Minister Atal Behari Vajpayee in Kathmandu. Although the latest flare-up of the long-running dispute between India and Pakistan overshadowed the overall SAARC agenda, the conclusion of the much-delayed 11th summit itself qualified as a major achievement for the seven-nation organization.

In the uncertain and tense environment created by the heavy military reinforcements along their border, the leaders of India and Pakistan came to attend a forum that sought to revitalize regional cooperation. Each stressed the need to find ways of solving such common problems as endemic poverty and underdevelopment. They shook hands for the first time in several months.

Vajpayee (left) with Deuba : Fruitful descussion
Vajpayee (left) with Deuba : Fruitful descussion
The tension between India and Pakistan escalated following the terrorist attack on the Indian parliament on December 13, 2001. The Indian government blames Pakistan-based Islamic fundamentalist groups waging a violent separatist movement in the northern Indian state of Jammu and Kashmir for the attack, which claimed 14 lives. Islamabad’s actions against leaders of Lashkar-e-Tayyiba and Jaish-e-Muhammad, the two groups New Delhi blames for the attack, weren’t enough to impress Indian politicians and officials. In an effort to step up pressure against Pakistan, India recalled its high commissioner in Pakistan, order a reduction in Pakistani diplomatic personnel in New Delhi, withdrew overflight rights enjoyed by Pakistan International Airlines, and suspended bus and railway links.

The military build-up on both sides of the border, which experts say is the largest in the last 16 years, raised serious concerns about whether the SAARC summit would be held at all. In the midst of the escalating India-Pakistan war of words, SAARC officials, foreign ministers and heads of state/government concluded their summit in a cordial manner.

“Given the tense situation, being able to hold the SAARC successfully is a great success,” says a long-time analyst of regional affairs. “Nepalis should be proud of being able to encourage productive regional interaction at such a critical juncture in South Asia’s turbulent history.”

Vajpayee (left) shakes hands with Musharraf : A hopeful sight
Vajpayee (left) shakes hands with Musharraf : A hopeful sight
Issues Of SAARC

From overpopulation and hunger to natural calamities, the people of South Asia have been facing common problems of enormous magnitude. Although they have met 11 times over the past 16 years, the leaders of the region have failed to address these problems in a tangible way. A primary cause of SAARC’s tardiness remains the tension between India and Pakistan. In a reminder of the complexities involved in organizing such a gathering, last week’s summit had to be postponed for a day after Gen. Musharraf’s arrival in Kathmandu was delayed by several hours because of bad weather.

The time has long arrived for SAARC to show that is not merely a forum to exchange pleasantries and take group photographs. The forum must act with greater resolve in addressing important issues of the region’s underdevelopment.

Apart from having the world’s lowest per capita income, South Asia is one of the least economically integrated regions of the planet. Unemployment, poverty, income inequalities, high mortality, low literacy and economic and social deprivation characterize all seven members in varying degrees.

In the backdrop of the India-Pakistan tensions, the 11th SAARC summit drew wide international news coverage. But the summit was unable to yield much in terms of addressing it core objective of advancing collective self-reliance. Among the hopeful signs, however, were the seven leaders’ candid acknowledgement of the need to reinvigorate efforts towards putting in place the South Asian Preferential Trading Arrangement (SAPTA) and finalizing the South Asian Free Trade Area (SAFTA) accord, and their determination to step up collective efforts to combat terrorism.

Deuba and Wangchuk at the airport : Bidding warm good-bye
Deuba and Wangchuk at the airport : Bidding warm good-bye
In the Kathmandu Declaration, the head of state/government agreed to a 56-point agenda encompassing economic development, poverty alleviation, social and cultural collaboration and the empowerment of women and children. The leaders also pledged to step up common action in promoting education, easing the international political and economic environment, ensuring the security of small states and combating terrorism. They reaffirmed their resolve to incorporate the report of the Group Eminent Persons, enhance political and sub-regional cooperation, set up a South Asian Development Fund, promote people-to-people contact, rationalize trade and institutional policies, wet up a SAARC Award and identify the date and venue for the 12th summit.

The seven foreign ministers also signed the SAARC Convention on Preventing and Combating the Trafficking in Women and Children for Prostitution and the Convention on Regional Arrangements for the Promotion of Child Welfare in South Asia. These conventions can be expected to speed up SAARC action on what are without doubt common regional problems.

Region of Diversity

Being a region of cultural, religious and ethnic diversity, all South Asian countries have their own constraints and problems in internal politics. No government can ignore domestic pressures and conflicts while embarking on coherent agenda for regional cooperation. Whether in terms of population, geography or the history of nationhood, South Asia has a complex situation. In terms of geography, Maldives, Bhutan, Nepal, Bangladesh and Sri Lanka are much smaller than nuclear-armed India and Pakistan.

Musharraf (left) with Koirala : Poltical talks?
Musharraf (left) with Koirala : Poltical talks?
India is largest country in the region in terms of geography, population and economy. In terms of nationhood, Nepal and Bhutan are the oldest countries, each having an independent history of more than two centuries. India, Pakistan, Sri Lanka, Maldives and Bangladesh have a fairly recent history of independence. Internal feelings about independence are so strong that they often tend to hamper the philosophy of regional cooperation. Irrespective of their differences, the countries of the region know they need to adopt a regional endeavor to ensure their well-being in an era of globalization and liberalization. This collective acknowledgement was once again exemplified during the 11th SAARC summit.

To be sure, the future of the SAARC process will be determined by the attitude bigger countries take towards the organization. As long as relations between India and Pakistan remain tumultuous, it would be impossible for SAARC to achieve its objectives. Indian and Pakistani leaders have maintained, at least in words, that they would respect the SAARC spirit by not allowing their bilateral differences to stand in the way of regional cooperation. How they translate that pledge into practical reality, however, remains to be seen.

Benefit for Nepal

Nepal is said to have spent more than Rs 280 million to organize the 11th SAARC Summit. The long-term returns are expected to be several times higher. After sustained negative media coverage, the summit has helped Nepal to project an image of normality and stability across the world.

Over the last year, the kingdom has witnessed many violent activities in Kathmandu valley. The Maoist insurgency, endemic political turmoil and the royal palace massacre, among other things, battered the international image of a country that is heavily reliant on the tourism industry. The 11th SAARC Summit succeeded in injecting new hope among entrepreneurs, as hotels and allied industries benefited from the gathering of South Asian leaders, officials and non-government activists, among others. More than 200 journalists from around the world were in the capital to cover the summit.

Ironically, Nepal received wide international publicity because of the hostility between India and Pakistan. But the Kathmandu summit set a positive issue in a number of areas. Moreover, SAARC succeeded in proving that it is capable of bringing on a common platform leaders of two countries whose armies are facing off each other. South Asia may have many fault lines, but it also has a resilient forum for collective action.

During last week’s summit, each head of state/government praised the contributions of late King Birendra, one of the founding fathers of SAARC. King Birendra has enshrined his name in the annals of the region as a leader of foresight and wisdom.

Regional Context

Although the 11th SAARC Summit made little headway in easing tensions between India and Pakistan, it provided a special opportunity for President Musharraf and Prime Minister Vajpayee to renew their personal contact at a time at a time when it was urgently needed. Despite the air ban imposed by India on Pakistan’s airline, President Musharraf arrived for the summit via the trans-Himalayan route after stopping over in China. President Musharraf is the first third-country head of the state who arrived in the kingdom through the trans-Himalayan route.

While South Asian analysts acknowledge that SAARC is yet to emerge as a viable and strong institution, they are also aware of its achievements in the midst of such odds. “The successful conclusion of the SAARC summit is a great achievement, as it has proved that the countries of the region — whether big or small ó need a common mechanism to build closer links,” says an analyst. “If SAARC could hold a summit successfully at such a crucial time in the region’s history, it only shows the maturity and resiliency the organization has acquired in the 16 years of its existence.”

All seven SAARC leaders expressed their full commitment to advance the quest for regional cooperation. From the small island nation of the Maldives to regional giant India, all countries of the region seem to have realized the importance of collective endeavors toward achieving common goals. “The main message that I will be carrying to SAARC is that the people of our region are looking to their leaders to generate an environment of mutually beneficial cooperation which will promote their socio-economic aspirations. We should put aside our political confrontations and mutual rivalries, so that out resources can be concentrated on the pressing agenda of eradication of poverty, hunger, disease and illiteracy,” said Prime Minister Vajpayee in an interview with Rastriya Samachar Samiti (RSS) before the summit.

That was precisely the spirit in which the other six leaders gathered for the summit. “Pakistan has an abiding interest in an efficient and effective SAARC, capable of playing a significant role in the realization of the aspirations of the people of our region,” said Gen. Musharraf. Nepalese leaders, although comparatively inexperienced, also conveyed their commitment to concerted regional action. For Nepalese officials involved in organizing the summit and those participating in it, the event also offered a good opportunity to acquire knowledge and exposure.

“This was a great opportunity to learn how to conduct international affairs,” said a senior Nepalese official attending the summit. “Having entered the modernization process in the late 1950s, Nepalis seemed inexperienced in every field. The SAARC summit gave an opportunity to Nepalis to prove that they have the will and capacity for efficient action if they are given proper encouragement,” he said. “Officials have spruced up the city efficiently and the people have extended commendable cooperation.”

For Prime Minister Deuba, too, the summit came as a moment of glory in his political career. Senior Nepali Congress leaders Krishna Prasad Bhattarai and Girija Prasad Koirala were forced to resign as prime minister before they could chair the SAARC summit, which was originally scheduled to be held in late 1999.

“The 11th SAARC summit was successful in bringing the major issues faced by the region into the limelight. We have already signed the Kathmandu declaration which clearly points out the need to tackle terrorism and reduce poverty and control trafficking,” said Prime Minister Deuba.

Tight Security

Compared to the third SAARC summit Kathmandu hosted in 1987, security this time was extremely tight, perhaps another indication of the urgency with which the region is tackling terrorism in recent years. For the first time, Kathmanduites experienced helicopter patrolling. In the Kathmandu Declaration, SAARC heads of state/government affirmed that terrorism, in its all forms and manifestations, is a challenge to all states and to all of humanity, and cannot be justified on ideological, political, religious or on any other ground. The leaders agreed that terrorism violates the fundamental values of the United Nations and the SAARC Charters and constitutes one of the most serious threats to international peace and security in the 21st century.

The summit endorsed the UN Security Council Resolution adopted after the September 11 attacks on the United States, which requires member countries to step up action on all fronts to combat terrorism. “Our declaration has endorsed United Nations Security Council Resolution 1373 of September 28, 2001 and affirmed to redouble efforts collectively as well as individually,” said Prime Minister Deuba.

Although Sri Lankan President Chandrika Bandaranaike Kumaratunga made powerful and moving statements against terrorism, they found little coverage amid the broader agenda. “There needs to be a common approach against terrorism, which is killing innocent people and destroying the basis of human beings,” said Kumaratunga, stressing the need to give up double standards in dealing with terrorism.

South Asia has been a victim of terrorism for over two decades. Worse, many of the world’s dreaded terrorist outfits are based in the region. After the September 11 attacks on New York City and Washington DC and the December 13 attack on the Indian parliament, the task of rooting out terrorism has acquired added importance.

Economic Issues

The summit, however, sidelined many burning issues of South Asia. At a time when 12 of the 15 European Union member states have adopted a single currency, South Asian countries have failed to make any significant progress on expanding trade and economic activities. Trade within the region is abysmally low, accounting for less than a percent of global trade. South Asian countries need to increase the region’s trade volume before they can expect to making progress on their goal of lifting the majority of its people from the mire of abject poverty.

“India has taken a number of new initiatives for closer economic cooperation within SAARC, but they have been blocked for non-economic reasons,” said Prime Minister Vajpayee in his RSS interview. “We must not let political obsessions or mutual rivalries cloud our collective vision of a vibrant and prosperous South Asian community.”

In recent years, SAARC summits have seen ritualistic reaffirmation of the philosophy of regional cooperation. In the process, however, the organization often seems to have lost its moorings. According to Article 3 of the SAARC Charter, summits are required to be held every year. But the 11th summit was delayed for two and half years, while previous meetings have faced similar hitches.

“The stark reality is that even after 16 years of growth, SAARC has not been able to mature to its full potential,” said Gen. Musharraf. “The vision that led to the creation of SAARC has not yet been fully translated into reality. SAARC’s performance so far, in comparison with other regional organizations, leaves much to be desired. While SAARC limps along, organizations like the European Union and ASEAN, have galloped ahead.”

If SAARC does not make sufficient progress, it would end up being little more than a talking shop for the leaders of the world’s poorest region. Recognizing the need to move quickly toward making tangible achievements, SAARC heads of state/government last week directed the council of ministers to finalize the text of the SAFTA Draft Treaty Framework by the end of 2002. They also directed that in moving towards the goal of SAFTA, the member states expedite action to remove tariff and non-tariff barriers and structural impediments to free trade. The leaders also instructed their governments to conclude the meeting of the inter governmental group on trade liberalization of the fourth round of trade negotiations under SAPTA as early as possible.

Unless India and Pakistan move toward settling their bilateral differences, however, SAARC’s march would be impeded. “I hadn’t expected much from the SAARC summit at a time when relations between its two biggest members are so tense,” says Dr Prakash Chandra Lohani, a former foreign and finance minister. “The achievement of the 11th summit exceeded my expectations.”

The 11th SAARC Summit was held successfully during a crucial moment in the region as well as in Nepal. After a delay of nearly three years, regional leaders have injected a ray of hope in an institution that appeared to be on the brink of irrelevance. The challenge is to instil confidence in the people of South Asia by building on the momentum created in Kathmandu.