Role of SAARC in Economic Integration of South Asia

Abstract

Regional economic integration has become inevitable in current global free trade scenario. Economic integration requires joint venture of public and private sector institutions. From public sector, ministries of finance and commerce, planning and development commission and from private sector, trade and financial bodies are integral part of this integration process. An economically integrated region, the movement of factors of productions (especially labour and investment) from one partner country to another partner country is allowed without government’s regulatory control. South Asian Association for Regional Cooperation (SAARC) is also struggling for economically integrated South Asia, though its pace is slow. This paper highlights the economic integration by flow of intraregional Trade and Investment in the purview of SAARC.