Hindu Editorial Analysis : 17-April-2024
The presentation of the BIMSTEC Charter in Nepal’s Parliament marks a significant step towards enhanced regional cooperation and economic prosperity among member states. This Charter acts as the foundational document that outlines the principles and structures necessary for effective collaboration.
Understanding BIMSTEC
What is BIMSTEC?
The Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC) is a multilateral organization aimed at fostering shared growth among countries in the Bay of Bengal region.
Origins and Membership
- Founded as BIST-EC: Established in June 1997 with the Bangkok Declaration, initial members included Bangladesh, India, Sri Lanka, and Thailand.
- Expansion: With Myanmar joining in late 1997, it became BIMST-EC. In 2004, Nepal and Bhutan joined, completing its current membership.
Demographics and Economy
- Population: The BIMSTEC region is home to about 1.68 billion people, which is roughly 22% of the world’s population.
- GDP: The combined GDP of member states stands at approximately US$3.697 trillion per year.
Significance of BIMSTEC
Need for Formation
Historically, the Bay of Bengal region was highly integrated until the mid-20th century. However, post-independence, countries pursued individual goals, leading to a weakened sense of community. BIMSTEC aims to revive connectivity and shared interests among these nations.
A Bridge Between Regions
BIMSTEC serves as a vital link between South Asia and Southeast Asia, promoting collaboration and strengthening relationships among member countries.
Sector-Driven Approach
Unlike other regional groups such as SAARC or ASEAN, BIMSTEC adopts a sector-driven strategy:
- Focus Areas: Cooperation is divided among sectors like trade, energy, transport, security, and culture.
- India’s Role: India is responsible for areas such as transportation, tourism, and counter-terrorism, playing a pivotal role in security matters.
An Alternative to SAARC
BIMSTEC has emerged as an alternative to SAARC, especially as SAARC has faced stagnation due to Indo-Pak relations and Pakistan’s obstructive approach.
India’s Engagement with BIMSTEC
Strategic Importance
For India, BIMSTEC aligns with its ‘Act East’ policy, promoting greater cooperation in Southeast Asia. It also plays a crucial role in India’s ambitions for trade and security in the Indian Ocean region and the broader Indo-Pacific.
Initiatives by India
India has made efforts to accelerate BIMSTEC’s progress, including:
- Establishing the BIMSTEC Energy Centre in Bengaluru.
- Forming the BIMSTEC Business Council to enhance regional trade.
Challenges Ahead
Sluggish Progress
BIMSTEC faces challenges, such as a slow pace of progress and inconsistent meetings, which hinder effective decision-making.
Financial Limitations
The BIMSTEC secretariat struggles with inadequate financial and manpower resources, impacting its operational activities.
Trade Issues
India’s trade with BIMSTEC countries has dropped from double digits in the 1950s to just 4% in 2020. Member countries often trade with non-member nations instead of relying on each other.
Coastal Ecosystem and Political Issues
The absence of a shared coastal shipment ecosystem and issues like the Rohingya crisis and border tensions complicate matters further. Upcoming elections in member countries may also delay decision-making processes.
Why In News
Presenting the BIMSTEC Charter in Nepal’s Parliament signifies significant progress towards regional cooperation and economic prosperity for the member states, highlighting a collective commitment to enhancing collaboration. The Charter serves as the foundational document, setting out clear principles and structures for cooperation among member states, thereby fostering an environment conducive to mutual growth and shared objectives.
MCQs about BIMSTEC
- What does BIMSTEC stand for?
A. Bay of India and Southeast Asia Cooperation
B. Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation
C. Bangladesh-India-Myanmar Strategic Trade Cooperation
D. Bay of Maritime and Economic Cooperation
- Which countries were original members of BIMSTEC when it was founded?
A. Nepal, Bhutan, Sri Lanka, and Thailand
B. Bangladesh, India, Sri Lanka, and Thailand
C. India, Myanmar, Bhutan, and Thailand
D. Bangladesh, Nepal, Myanmar, and Sri Lanka
- What is a unique feature of BIMSTEC compared to other regional organizations like SAARC?
A. It focuses solely on trade relations.
B. It has a sector-driven approach to cooperation.
C. It includes only South Asian countries.
D. It is primarily a military alliance.
- What major challenge does BIMSTEC face regarding its progress?
A. A high level of member engagement
B. Inadequate financial and manpower resources
C. Strong trade relations among member countries
D. Consistent and efficient decision-making
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