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Regional Cooperation for Regional Infrastructure Development : Challenges and Policy Options for South Asia

  • Prabir De

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    Regional infrastructure is one of the major determinants of economic integration process. It enhances international and regional connectivity through the free flow of goods and factors across borders, allowing countries to benefit from a better relocation of resources. Efficient transportation networks linking neighbouring countries enlarge market size and help national economies to grow further through higher trade and production. The South Asian merchandise trade due to South Asia Free Trade Agreement (SAFTA) is expected to increase by manifolds in coming years. Accompanying this growth will be an increase in demand of both national and regional infrastructure services, for both production and consumption, and international trade purposes. A failure to respond to this demand will slow down South Asias trade and hamper the growth process. Thus, the infrastructure challenges, both hardware and software, before the South Asian countries, particularly for those are land-locked and island, require better understanding and adequate support. This paper discusses the emerging scenario in regional infrastructure development in South Asia, identifies the infrastructure challenges for the future, and provides some policy options in order to better integrate the South Asian region.

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    File URL: http://130.56.61.71/node/22988
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    Paper provided by East Asian Bureau of Economic Research in its series Development Economics Working Papers with number 22988.

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    Date of creation: Jan 2009
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    Handle: RePEc:eab:develo:22988
    Contact details of provider: Postal: JG Crawford Building #13, Asia Pacific School of Economics and Government, Australian National University, ACT 0200
    Web page: http://www.eaber.org

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    1. David Hummels & Alexandre Skiba, 2002. "Shipping the Good Apples Out? An Empirical Confirmation of the Alchian-Allen Conjecture," NBER Working Papers 9023, National Bureau of Economic Research, Inc.
    2. Samantak Das & Sanjib Pohit, 2006. "Quantifying Transport, Regulatory and Other Costs of Indian Overland Exports to Bangladesh," The World Economy, Wiley Blackwell, vol. 29(9), pages 1227-1242, 09.
    3. Mahbub ul Haq, (ed.), 2008. "Human Development in South Asia 2007: A Ten-year Review," OUP Catalogue, Oxford University Press, number 9780195476835, March.
    4. Nagesh Kumar & Prabir De, 2008. "East Asian Infrastructure Development in a Comparative Global Perspective : An Analysis of RIS Infrastructure Index," Development Economics Working Papers 22114, East Asian Bureau of Economic Research.
    5. De, Prabir, 2006. "Trade, Infrastructure and Transaction Costs: The Imperatives for Asian Economic Cooperation," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 21, pages 708-735.
    6. Prabir De & Abdur Rob Khan & Sachin Chaturvedi, 2008. "Transit and Trade Barriers in Eastern South Asia: A Review of the Transit Regime and Performance of Strategic Border-Crossings," Working Papers 5608, Asia-Pacific Research and Training Network on Trade (ARTNeT), an initiative of UNESCAP and IDRC, Canada..
    7. Biswa N Bhattacharyay & Prabir De, 2009. "Restoring the Asian Silk Route: Toward an Integrated Asia," Working Papers id:2165, eSocialSciences.
    8. Yann Duval & Chorthip Utoktham, 2009. "Behind-the-Border Trade Facilitation in Asia-Pacific: Cost of Trade, Credit Information, Contract Enforcement and Regulatory Coherence," Working Paper Series 209, United Nations Economic and Social Commission for Asia and the Pacific (ESCAP).
    9. Prabir De & Buddhadeb Ghosh, 2005. "Effects of infrastructure on regional income in the era of globalization: new evidence from South Asia," Asia-Pacific Development Journal, United Nations Economic and Social Commission for Asia and the Pacific (ESCAP), vol. 12(1), pages 81-107, June.
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