India calls for single SAARC currency, unified tariff

Yashwant Sinha called for a single currency, one tariff regime and free movement of goods, services and people withing the SAARC region.

Propagating a single currency, a standard tariff regime and free movement of goods, services and people amongst the SAARC nations, India on Friday said that political stability would catapult the region to a high growth trajectory.

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Addressing the SAARC Chamber of Commerce and Industry in Islamabad, External Affairs Minister Yashwant Sinha noted that while India was heading for a 7 per cent economic growth during the 2003-04 Financial Year, the region was expected to grow at 5.8 per cent during 2003 and 6 per cent during 2004.

On the growth prospects in the South Asian Region, he said, "just imagine how much more could be achieved if through trust and confidence building, we ensured political stability and gave ourselves an added boost through regional cooperation."

"A South Asia with one currency, one tariff regime and free movement of goods, services and people is well within the realm of possibility," he asserted.

He said as a result of "painstaking" economic reforms implemented over the last decade India achieved a growth of 8.4 per cent during the second quarter of 2003.

Stating that the apex trade body CII had forecast a growth of 9 per cent for the third quarter, Sinha asserted that "this growth is not a flash in the pan".

"It is a sustainable growth that we have achieved as a result of painstaking economic reforms implemented over the last decade", he said.