SAARC may lay the ground for better trade links in South Asia
The SAARC ministerial conference scheduled next week will discuss the broad contours of the cross-border investments treaty.
NEW DELHI: In a move that is expected to give a boost to cross-border investments in South Asia, SAARC nations have begun discussions on an investment facilitation, promotion and protection agreement. Besides, an agreement on services sector is also on the cards.
The SAARC ministerial conference scheduled next week will discuss the broad contours of the treaty. ���Talks will be on putting together an investment promotion and facilitation agreement. It will take care of post-investment issues and identify measures needed to promote investments,��� an official said.
The framework has been in the works for long. But now sources say some serious thinking has begun on finalising and implementing it. It may be noted that India recently opened its doors for investments from Bangladesh. Pakistan is the only SAARC member now which still remains on the banned list.
The finance ministry is examining the framework for the proposed treaty in great detail which would come up for discussions at the meeting. This is a major movement forward with respect to the framework in the backdrop of the sensitivities involved regarding investments from some members.
Sources said sectoral targets would be identified and measures would be taken to facilitate investments in those sectors. All member countries have so far shown keen on boosting investments in tourism. Setting up of a dispute settlement mechanism will also be a part of the treaty. A preparatory meeting at the commerce secretary level discussed the broader issues of the agreement in November in Dhaka.
SAARC members have also decided to examine a treaty on trade in services. A study has been launched to identify services that could be opened up for regional trade. India contributes $100 million to the SAARC Development Fund.
The SAARC ministerial conference scheduled next week will discuss the broad contours of the treaty. ���Talks will be on putting together an investment promotion and facilitation agreement. It will take care of post-investment issues and identify measures needed to promote investments,��� an official said.
The framework has been in the works for long. But now sources say some serious thinking has begun on finalising and implementing it. It may be noted that India recently opened its doors for investments from Bangladesh. Pakistan is the only SAARC member now which still remains on the banned list.
The finance ministry is examining the framework for the proposed treaty in great detail which would come up for discussions at the meeting. This is a major movement forward with respect to the framework in the backdrop of the sensitivities involved regarding investments from some members.
Sources said sectoral targets would be identified and measures would be taken to facilitate investments in those sectors. All member countries have so far shown keen on boosting investments in tourism. Setting up of a dispute settlement mechanism will also be a part of the treaty. A preparatory meeting at the commerce secretary level discussed the broader issues of the agreement in November in Dhaka.
SAARC members have also decided to examine a treaty on trade in services. A study has been launched to identify services that could be opened up for regional trade. India contributes $100 million to the SAARC Development Fund.
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