SYLLABUS SECTION: GS II (INTERNATIONAL RELATION)

WHY IN THE NEWS?

The South Asia Subregional Economic Cooperation Integrated Trade Facilitation (SASEC) Sector Development Program (SDP),

They will reform trade policies and improve the cross-border trade facilities at Akhaura, Sonamasjid, and Tamabil BCPs.

The volume of the trade from three Border Crossing Points (BCPs)

– Akhaura, Sonamasjid, and Tamabil – between Bangladesh-India will rise by 50% by 2027,

After the implementation of the trade facilitation loan of 143 million US dollars provided by the Asian Development Bank (ADB).

It will also increase connectivity among SASEC countries by facilitating trade among the SASEC countries through Bangladesh as a sub-regional hub.

The South Asia Subregional Economic Cooperation program was formed in 2001 in response to the request of the four countries of South Asia – Bangladesh, Bhutan, India, and Nepal – from ADB to assist in facilitating economic cooperation among them.
These four countries comprise the South Asia Growth Quadrangle (SAGQ), formed in 1996, as a vehicle for accelerating sustainable economic development through regional cooperation.
Aim: As a project-based partnership, the SASEC program has been helping realize regional prosperity by enhancing cross-border connectivity, facilitating faster and more efficient trade, and promoting cross-border power trade.
The Maldives and Sri Lanka joined SASEC in 2014, further expanding opportunities for enhancing economic linkages in the sub-region.
Priority sectors:

SASEC countries agreed on priority sectors for investment and coordinated action

ADB serves as the SASEC Secretariat, working with member governments to help implement SASEC projects and initiatives and to provide technical support.
The SASEC Secretariat also coordinates capacity-building activities and works to identify necessary technical organizations and development partners to strengthen training and knowledge-building programs for member countries.
It provides overall coordination and administrative and logistical assistance to the member countries.

SOURCE: PIB