ENHANCING ECONOMIC INTEGRATION IN SOUTH ASIA: ISSUES AND PROSPECTS FOR CLOSER MONETARY COOPERATION

2010 ◽  
Vol 55 (01) ◽  
pp. 185-206 ◽  
Author(s):  
SISIRA JAYASURIYA ◽  
NEPHIL MATANGI MASKAY
Keyword(s):  
Economic Integration ◽  
Regional Integration ◽  
Regional Scale ◽  
Factor Mobility ◽  
Common Currency ◽  
Bilateral Agreements ◽  
Monetary Cooperation ◽  
Monetary System ◽  
Political Conditions ◽  
Trade And Investment

Though SAARC has the stated goal of an economic union and a common currency, after a quarter of a century, these remain distant goals as political tensions between India and Pakistan have hindered any real progress on a regional scale. Barriers to trade and factor mobility are high in the region as a whole, though considerable liberalisation has been achieved through various bilateral agreements involving India and some of its neighbours. The conventional economic conditions for a common currency are also currently absent as patterns of shocks are non-synchronised, trade links are weak and factor mobility much constrained. Deeper intraregional economic integration requires much more comprehensive trade and investment liberalisation among member nations. While the political conditions for a single currency are unlikely to emerge in the foreseeable future, steps towards closer monetary cooperation through a South Asian Monetary System — building on the existing SAARCFINANCE network — may provide an institutional framework for enhancing regional integration. However, such cooperation will have to be conceived as a component of a sustainable transitional strategy which commits to a serious programme of deeper trade liberalisation to facilitate greater integration with the rest of the world, and most importantly, with East Asia.

Complementary currency as an instrument for economic development in the western Balkans

SEER ◽  
2020 ◽  
Vol 23 (1) ◽  
pp. 77-90
Author(s):  
Ela Golemi ◽  
Klodian Muço
Keyword(s):  
Economic Integration ◽  
Regional Integration ◽  
International Monetary System ◽  
Structural Reforms ◽  
The European Union ◽  
Western Balkans ◽  
Monetary System ◽  
Priority Task ◽  
The Common ◽  
Complementary Currency

Regional economic integration is regarded as a priority task for western Balkans countries in order to prepare them for integration into the European Union. Given the under-performance between these countries in terms of trade, we propose the creation of a complementary supranational currency that would serve the common market of the western Balkans and also intensify trade exchanges between them. We support the idea that structural reforms and the technical provisions proposed in this adopted Keynes Plan may, at least in principle, provide the necessary solutions to avoid imbalances between the countries; serve as an incentive to intensify trade exchanges; and curb inflationary and deflationary pressures in the joint western Balkans market. Our research makes a solid contribution to the debate on international monetary systems. We believe that a complementary currency would make regional integration more effective within the western Balkans but, furthermore, would also call into question the international monetary system were it to be as effective in practice as we think it would be.

scholarly journals Opportunities and Challenges for Regional Economic Integration in the Indian Ocean

2019 ◽  
Vol 1 (1) ◽  
pp. 129-151 ◽  
Author(s):  
Ganeshan Wignaraja ◽  
Adam Collins ◽  
Pabasara Kannangara
Keyword(s):  
Indian Ocean ◽  
Economic Integration ◽  
Regional Integration ◽  
Global Economy ◽  
Regional Economic Integration ◽  
Regional Economic ◽  
Jel Codes ◽  
The Indian Ocean ◽  
Policy Measures ◽  
Trade And Investment

This article examines increasing regional economic integration in the Indian Ocean, along with the region’s rising importance in the global economy and outlines the challenges to greater regional integration. It finds that the strategically located Indian Ocean economy has become an increasingly important part of the global economy in the past two decades and has become more integrated within itself. Forecasts suggest that the Indian Ocean economy will likely account for around a fifth of global GDP by 2025 and its GDP per capita is expected to almost double. However, realising this outlook will depend on tackling several pressing challenges to regional integration, including improving port quality and logistics, lowering barriers to trade and investment, narrowing development gaps, and strengthening the regional economic governance. Tackling these challenges requires a combination of coherent national and regional policy measures. JEL Codes: F150, F410, F550

scholarly journals Regional Integration as “Second-Best” Alernative in Post-Financial Crisis World: Lessons from the European Monetary Union to the Mercosur and Unasur

2019 ◽  
Vol 15 (2) ◽  
pp. 61-68
Author(s):  
Renato Saraiva ◽  
Thaís Dutra Fernández
Keyword(s):  
Financial Crisis ◽  
Economic Integration ◽  
Monetary Union ◽  
Regional Integration ◽  
European Monetary Union ◽  
Global Economy ◽  
International Monetary System ◽  
European Monetary ◽  
Second Best ◽  
Monetary System

The International Monetary System does not reflect transformations in the global economy. Being impossible to reform it, economic integration processes may be a “second-best” alternative. By analyzing the European Monetary Union we conclude that MERCOSUR and UNASUR should conceive regimes in less restrictive forms and develop fiscal and political integration.

DE FACTO AND DE JURE REGIONAL ECONOMIC INTEGRATION IN EAST ASIA: HOW DO THEY INTERACT

2010 ◽  
Vol 55 (01) ◽  
pp. 7-25 ◽  
Author(s):  
FRANÇOISE NICOLAS
Keyword(s):  
East Asia ◽  
Economic Integration ◽  
East Asian ◽  
Economic Cooperation ◽  
Regional Economic Integration ◽  
Regional Trade ◽  
Regional Economic ◽  
Monetary Cooperation ◽  
The World ◽  
Trade And Investment

A salient feature of the East Asian region is the persistent discrepancy between the progress in de facto and de jure economic integration. East Asia has long been said to be the champion of loose regional economic integration, with deepening intra-regional trade and investment linkages in the absence of any formal cooperative scheme. However, an oft-heard claim is that East Asia has been shifting recently towards an institution-based form of regional economic cooperation, primarily as a result of the 1997–98 financial crisis. Next to post-crisis financial cooperative schemes under the ASEAN+3, the surge of Regional Trade Agreements (RTAs) involving East Asian countries is thought by some to further substantiate this claim. The objective of the paper is twofold; first, to assess the validity of the aforementioned claim; and second, to examine the links between de facto and de jure economic integration in East Asia compared to other regions of the world. In the process, the sequencing between trade and monetary cooperation is also addressed. The paper starts by providing a candid assessment of the current state of play of economic cooperation in East Asia (de jure integration), both from the trade and the financial/monetary perspective, and highlights the limitations of the formal regional integration movement in East Asia to date. As a next step, it explores the changing nature of intra-regional trade and investment linkages, contrasts it to the situation in other parts of the world such as Europe and examines to what extent this new form of interdependence may be instrumental in making formal regional economic schemes more attractive. A major conclusion is that de facto trade integration may not automatically lead to deeper regional trade cooperation de jure and that its impact is likely to be stronger on monetary cooperation projects.

Globalization of Regionalism: Challenges and Risks for Russia

2015 ◽  
pp. 5-13
Author(s):  
V. Obolenskiy
Keyword(s):  
International Trade ◽  
Regional Integration ◽  
Level Structure ◽  
Positive Influence ◽  
Most Favored Nation ◽  
Negative Effects ◽  
Multilateral Trade ◽  
The World ◽  
World Economic ◽  
Trade And Investment

TЕhe article deals with the intensive development of the process of regionalization of the world trade and analyzes grounds for this process. It traces the evolution of regional trade agreements which account for the constant growth of mutual deliveries. The author pays attention to the transformation of regionalism which acquires step by step transcontinental character. The article states that the regional integration apart from the positive influence on trade and investment flow also has negative effects, namely erosion of the regime of most-favored-nation treatment and threats of the beginning of chaos in the international trade and investment exchange. The author studies projects of the creation of global superblocks of the integration type – Transatlantic, Eastern Asiatic, Asiatic -Pacific. In author’s opinion, their emergence will lead to radical changes of the institutional configuration of the world economic space which will turn into a two-level structure. On the first level rules of the multilateral trade system (WTO) will be applied. On the second level principles and regulations fixed by global multilateral trade and economic agreements with participation of all leaders of the international trade will act. The author concludes that Russia has to choose optimal direction of its participation in the global economic. Correspondingly, attention is paid to the problems and risks inherent in its connection with transcontinental trade and economic agreements which are objects of multilateral negotiations at the present time. In particular, the author states that in case of establishment of “mild” forms of integration in the Asiatic -Pacific or European directions Russia will have to open – completely or to a great extent – its domestic market for goods from the countries of the regions mentioned. The losses caused by such a disclosure might outweigh the benefits from liberalization of the access to the markets of partner countries.

Africa’s prospects for infrastructure development and regional integration: energy sector

2017 ◽  
Author(s):  
Ethèl Teljeur ◽  
Mayuree Chetty ◽  
Morné Hendriksz
Keyword(s):  
Economic Integration ◽  
Regional Integration ◽  
Resource Planning ◽  
Energy Sector ◽  
Energy Planning ◽  
Infrastructure Development ◽  
Energy Infrastructure ◽  
Regulatory Frameworks ◽  
Self Sufficiency ◽  
Infrastructure Investments

Energy sector development is required to enable greater regional economic integration (harmonization of legal and regulatory frameworks for energy, coordination of energy infrastructure investments, etc.) in Africa. This can address problems associated with fractured energy infrastructure investment and allowing African nations to develop more shared facilities. In addition, regional integration facilitates trade of energy resources and services via sub-regional power pools. Despite the current attempts to integrate regional infrastructure via power pools, actual trade within these pools is low, and the opportunity to derive efficiencies from integrated regional resource planning is missed in favour of national plans. Different stages and design of energy market liberalization or (re-) regulation and the desire for energy self-sufficiency (“security of supply”) hinder the development of bilateral or multilateral projects. Investment in interconnection capacity is required to facilitate intra-power pool trade and achieve the efficiencies associated with the pooling of demand and integrated energy planning.

scholarly journals Trade and Investment Rules for Inclusive and Sustainable Development: Nepalese Legal Perspectives

2013 ◽  
pp. 114-131
Author(s):  
Kumar Ingnam
Keyword(s):  
Sustainable Development ◽  
Foreign Investment ◽  
Environmental Sustainability ◽  
Social Equity ◽  
Local Communities ◽  
Pragmatic Approach ◽  
Service Business ◽  
Political Conditions ◽  
Laws And Policies ◽  
Trade And Investment

Sustainability of development and making investment sustainable are reinforcing and correlated. The investor does not invest unless their investment is permitted and protected by the laws and policies of the host state. There exist a number of principles for investment policymaking for sustainable development within which relationship between investors, host states and local communities is a key requirement. Environmental sustainability, social equity and inclusiveness and economic growth are reinforcing and complementing each other which are the three pillars of sustainable development. Nepal had, at the time of WTO accession, confirmed to amend trade related investments measures regime i.e. Foreign Investment and One Window Policy 1992, Industrial Policy 1992 and others, to ensure the compliance with the WTO Agreement on Trade Related Investment Measure (TRIMS). By now, the laws of Nepal, except few, are in compliance with the WTO standards. Nepal has some prospective areas of investment, mostly based on agriculture and service business. Trade and investment with sustainable development, is a pragmatic approach which encourages upgrading policies and laws. However, investment policy alone cannot provide a ‘one-size-fits-all’ solution for all economies that depends on the eco-socio-political conditions of individual countries.

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