Question

study in detail the SAARC and its impact on indian econom Thank

Answer 1

SAARC countries share same cultural history since centuries. In the economic terms they were interdependent up to the point but colonial rulers like British, Portugese, Dutch e.t.c shares the colonies and ruled them for their benefits. After the attainment of collective independence, India remained the largest country in all terms ahead of its neighbours. Because India is somewhat peaceful and had a stable political establishment since independence. No two SAARC countries share a boundary and all of them share a boundary with India. India is strong in economic perspective than other SAARC countries so they were not of much help to India.


Pakistan : It never completed the term of 5 years for any government except the recent one. Army, terrorists, internal conflicts e.t.c. hampers the growth of pakistan in every possible way. - Not helpful at all.

Bangladesh : In 1971 India helped it liberate and still the furore continues,  with the opposition trying to establish a islamic state. - Not helpful

Srilanka : LTTE war - relations degraded. But hosting the tamilians who stayed there. - Interests of Indians ( tamils and fishermen) are involved. Have to co-operate with them for greater development of tamil regions.

Maldives, Nepal, Afghanistan : Unstable and micro economies compared to India. India helped them with grants but never the other way around.

Bhutan : Complete dependence on India. 90% of exports to India.

Because of the low economic growth of these countries their help is very less compared to the help given by India. But these nations are handful in terms of population which are potential markets for exports of India. This is the reason MODI is emphasizing of peaceful and good trade relations with neighbours. With SAARC countries led by India and helping out each other for prosperous south asia. It could turn the tables in favour of India in global arena.