INTERVIEW - Ambassador Nihal Rodrigo


Written by Huma Iqbal • Special Features • May 2010

interview1 ‘The central issue is to bring the benefits of economic development in the region to all its people.' - Ambassador Nihal Rodrigo, former Secretary General, SAARC, talks to Southasia about the regional developments and challenges.

South Asian leaders signed the SAARC Charter in 1985 to promote the welfare of the people of South Asia through regional cooperation in economic, social, cultural and technical fields. How successful has the Association been in these 25 years?

Due to various bilateral and inter-regional political difficulties and economic disparities in South Asia, SAARC was established only in 1985. ASEAN in South East Asia was established 18 years before. SAARC has achieved much in the last 25 years under difficult circumstances but has much more to accomplish, particularly considering its goal of a South Asian Economic Union. SAARC is conscious of the distance it has to go to reach success in many areas, particularly in the economic field.

Several regional councils have been successful globally like the EU, ASEAN, etc. Why is it that SAARC has been described as the least integrated regional grouping?

A Report of the Asian Development Board in 2008 identified some of the reasons which have delayed and retarded SAARC's progress towards integration. They include lack of greater land, sea and air connectivity; very complicated regulations constricting the movement of goods and services across borders; inadequate linkages between the state and corporate sectors and lengthy exclusion lists in the South Asian Free Trade Agreement, among other factors.

How important is it for the South Asian countries to have Free Trade agreements with member states and other neighboring/observer countries?

Free Trade Agreements between countries, at the bilateral level, should be mutually beneficial. Sri Lanka has FTAs with, respectively, India and Pakistan. Despite some difficulties which are being addressed, the two bilateral agreements have been helpful. SAFTA, the regional agreement, despite great potential, has a number of problems which I indicated responding to your second question. It should be fully functional for the Least Developing Countries - the LDCs - by 2016, and for the other countries, including Sri Lanka and Pakistan, by 2013. The question of trade agreements with countries outside South Asia, such as the Observer countries, is more complex. The Observers are Australia, China, Republic of Korea, Mauritius, Myanmar, United States and the European Union. Already, SAARC has worked out some Guidelines to develop project-based cooperation - not free trade arrangements - with our Observers. Discussions are proceeding with some of the Observers.

South Asia currently faces several social, environmental, and economic problems. How important do you think it is for the Association to take on extra-regional linkages to address these issues?

The Colombo Summit Declaration identified environmental issues like sea-level rise, deforestation, glacial melting, storms, droughts, flooding and so on. No regional group can take on such grave issues by itself. The dangers spread widely. SAARC has been in consultation with a wide range of countries, including the Observers, at the multilateral levels on such issues. Sri Lanka, which Chaired SAARC until the Bhutan Summit last month, expressed the general SAARC position on climate changes at the Copenhagen Summit last year. There are other issues, such as the underworld of terrorism, which have global ramifications on which SAARC also needs to work at multilateral level.

What should the respective South Asian governments do to compete in the global economy? How can we emerge as a strong economic hub for the international world?

As nations or as regional groups we need to contend, compete but where possible, take the better option - cooperate in the mutual interest. We need to agree as a Group and have regional positions and approaches to compete in different markets for example. This is not easy. We are competitors within SAARC too - for example, in exports like garments, tea and so on. At the same time, with certain geographic development assets, individual countries could serve their own interests and also help the interests of others. As you mentioned, an individual country can serve as a hub, or centre, a sort of facilitator serving a larger community of nations - in fact, not only their own region's interest but even beyond. The Port of Colombo, in Sri Lanka, for example, has been handling around 70% of all the maritime cargo, in and out of India. To supplement, and indeed go beyond this, the Port of Hambantota, in the South of Sri Lanka, is being developed as a hub, or service centre, to provide connectivity and provide many facilities not only for South Asia, but beyond. Hambantota is located a few miles north of the most extensively used maritime transport lanes in the Indian Ocean. This Port will provide connectivity between South Asia and East Asia that is China, Japan, Korea and ASEAN. It will connect also South Asia with the Middle East and West Africa and on to Europe.

What in your opinion is the biggest problem this region currently faces?

The central issue is to bring the benefits of the considerable economic development emerging in the region to all its people. Disparities in development exist within countries. The Colombo Summit described "a Partnership for Growth for the People of South Asia". SAARC must be people-centric. This can be done also through poverty alleviation that will bring opportunities to South Asia's remotest, most depressed areas, though not as charity, but real, practical opportunities for development. The people need to be involved.

How do you see China's influence in the region especially with its huge spending in the development sector?

China sought links with SAARC as far back as 1999. China's Assistant Minister of Foreign Minister had discussions with me, then SAARC Secretary General, at the Secretariat in Kathmandu. It is a long story and China is now an active Observer. In fact the SAARC Chamber of Commerce and Industry (SCCI) has links now with the Chinese corporate sectors under the China South Asian Economic Forum. In fact, China is Sri Lanka's major partner in the construction of the manifold facilities in the Port of Hambantota which will make it an economic hub benefiting all of Asia and beyond as well. Since we discussed people-centric development just now, let me add that Sri Lanka and China have also had valuable technical cooperation in program of rural upliftment and poverty alleviation. "Putting People First" has been for many years Sri Lanka's policy. This is China's present policy.

Analysts say that India has been monopolizing its role in various inter-regional aspects often barricading behind political disagreements. Do you agree? How important is India's regional integration in this regard?

India is the largest country in South Asia. You know that there is much being said about this being the Asian Century with China and India as its prime movers. The two countries do have bilateral issues to settle, but cooperation in the larger interest is their mutual policy. I do not see India barricading itself behind political disagreements with China or other countries. Pakistan and India have bilateral issues to settle but the recent dialogue between their two Foreign Secretaries has paved the way to advance, I understand. Salman Bashir and Nirupama Rao were close colleagues of mine when we three served together in Beijing as Ambassadors of our respective countries.

How can SAARC help South Asians understand each other and live in harmony? Do you think with an enhanced sharing of experiences at the level of professionals, intellectuals, artists, litterateurs, and business communities, this understanding can be achieved? How is SAARC set about to achieve this people to people interaction?

Apart from the government-to-government linkages, I firmly believe that exchanges among the region's corporate sectors, professionals, economic research institutes, academics and the media are vital. Certainly, as you say, enhanced sharing of experiences can be extremely helpful in promoting understanding and good will among the people of South Asia. There are SAARC Apex Associations which bring together, in cooperation, the region's architects, engineers, management development institutes, town planners, doctors, lawyers, writers and poets, the media and others in functional interaction. This helps also build a strong sense of fellowship and common identity among them as South Asians.