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Regional Cooperation and Integration Prospects in Asia

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  • Rajat Nag

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    Abstract

    There is indeed a strong opportunity for South Asian countries to benefit from intensifying regional ties. As a regional policy dialogue becomes stronger and barriers are gradually eliminated, or at least substantially reduced, economic integration will intensify in the next decade or two. This is partly due to the very low level of integration it starts from. For instance, intraregional trade in South Asia accounts for only 5.5 per cent of total trade, as opposed to East Asias almost 60 per cent. As the region continues to build its economic infrastructure and new cross-border projects are implemented, these will not only intensify trade in goods and services, but also facilitate the movement of people. Easing existing cross-border impediments to trade and labour movements, will likely be the strongest economic driver over the coming decade. But the key to any experiment in cooperation and economic integration is political will.

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    Bibliographic Info

    Paper provided by East Asian Bureau of Economic Research in its series Macroeconomics Working Papers with number 22123.

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    Date of creation: Jan 2007
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    Handle: RePEc:eab:macroe:22123

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    Postal: JG Crawford Building #13, Asia Pacific School of Economics and Government, Australian National University, ACT 0200
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    Related research

    Keywords: regional ties; intraregional trade; trade and labour movements; economic integration;

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    Cited by:
    1. Prabir De & Muthi Samudram & Sanjeev Moholkar, 2010. "Trends in National and Regional Investors Financing Crossborder Infrastructure Projects in Asia," Working Papers id:2939, eSocialSciences.

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