Search results

The study compares the socioeconomic development of the South Asian Association of Regional Cooperation (SAARC) to that of the Association of Southeast Asian Nations (ASEAN). SAARC was established on December 8, 1985, as a result of former President Ziaur Rahman's efforts to promote the welfare of the people and mutual trust. ASEAN was founded in August 1967 with the goal of accelerating the region's economic growth, social progress, and cultural development while also promoting regional peace and stability. The SAARC countries share problems such as poverty and unemployment. SAARC countries have a GDP per capita four times that of ASEAN. A qualitative analysis based on secondary data pertaining to SAARC and ASEAN reveals that SAARC has not been more successful than ASEAN. National and international conflicts are common within SAARC. SAARC has 22% of the world's population and 3% of the world's economy, and there are enormous opportunities for economic growth and human development.

This paper makes a novel attempt to estimate the potential impact of credit risk on foreign direct investment (FDI hereafter), thereby focusing on a completely unexplored area in the existing empirical literature.

To provide a comprehensive understanding of the relationship between credit risk and FDI inflows, the study incorporates all the eight-member economies of the South Asian Association of Regional Cooperation (SAARC hereafter) and analyzes a panel data set, over the period 2011 to 2019, extracted from the World Development Indicators, using the suitable econometric techniques for the efficient estimations of the specified models.

The results indicate a negative and statistically significant relationship between the credit risk of the banking sectors and FDI inflows. Similarly, market size and inflation rate appear to be the two other main factors behind the increasing FDI inflows in the SAARC member economies. Interestingly, the size of the market became irrelevant in attracting FDI inflows when the Indian economy is excluded from the sample due to its higher economic weight. On the other hand, FDI inflows are not dependent on the level of trade openness, with most of the specifications showing either an insignificant or negative coefficient of the variable.

The obtained results are unique and robust to alternative methodologies, and hence, the SAARC economies could consider them as the critical inputs in formulating the appropriate policies on FDI inflows.

The findings are unique and original. The authors have established a relationship between credit risk and FDI for the first time in the SAARC context.

The present study aims to examine the moderating impact of governance quality on the tourism poverty nexus using a panel of six South Asian Association for Regional Cooperation (SAARC) countries during the period 2002 to 2019.

For the soundness of the results, fully modified ordinary least square (FMOLS) and dynamic ordinary least square (DOLS) econometric models were applied to determine the long-run relationship.

The findings confirmed the positive and significant impact of tourism development (international tourism arrival) and governance quality (effectiveness of governmental services) on poverty (per capita household consumption) reduction. Interestingly results confirm that governance quality and tourism development have complementary impacts on poverty reduction.

The present study has twofold contributions; First, despite the high potential of SAARC tourism, research remains limited in studies examining the role of tourism and governance quality on poverty reduction within the SAARC region. As a result, the present paper presents critical insights into the impact of tourism inflow and governance quality on poverty reduction in South Asian countries. Second, to the best of the author's knowledge, this is the first attempt to conduct an econometric analysis to examine the role of governance quality on the relationship between tourism inflow and poverty reduction in SAARC countries.

Exchange rate uncertainty leads to an indecisive environment for imports and exports that would condense international trade, foreign direct investment, trade earnings, trade volumes, economic growth and welfare. This study aims to examine, empirically, the effect of exchange rate uncertainty on bilateral trade performance, focusing on eight SAARC member economies using the popular modified gravity model of trade.

The paper includes eight SAARC members – Afghanistan, Bangladesh, Bhutan, Maldives, Nepal, Pakistan and Sri Lanka panel data set over the period 2005–2018. The authors consider both standardized value (standard deviation) and conditional variance model to determine volatility of exchange rate. Primarily, ordinary least squares, random effects and fixed effects estimation techniques are employed to investigate the impact of exchange rate volatility. Endogeneity and robustness of the findings have been tested using the simultaneity-adjusted model and dynamic panel data two-step system GMM estimation techniques.

Empirical findings endorse the view that exchange rate volatility lowers trade flows in the SAARC regions. However, this adverse effect of exchange rate uncertainty on trade is pretty small. The negative correlation between exchange rate volatility and bilateral trade remains consistent and significant after controlling of simultaneous causality, autocorrelation, year effects, country-pair heterogeneity and endogeneity irrespective of panel data estimation techniques and different measures of volatility.

The present paper is original work.

The main purpose of this research is to examine the influence of macroeconomic stability on economic growth of SAARC (South Asian Association for Regional Cooperation) countries.

Using panel data of 1991–2020, fixed effect regression analysis, pooled ordinary least squares and generalized method of moments techniques have been conducted to demonstrate whether macroeconomic stability contributes to economic growth. Moreover, cross-sectional dependency test, unit root test, correlation analysis and granger causality tests have been run.

Robust findings indicate that inflation has negative impacts on economic growth which indicates that lower level of macroeconomic instability promotes countries’ economic growth. This study also observed that foreign direct investment, domestic credit delivered to private sector, currency exchange and institutional difference across countries are affirmatively connected while labor force is negatively associated with economic growth.

Empirical findings of this study signify that macroeconomic stability have significant effects on economic growth. Findings of this study have superior contributions for the policy makers to achieve sustainable economic growth.

With climate change and environmental degradation being major issues in the world today, it is imperative for governments within a regional setting to collaborate on initiatives, harmonize their policies and develop strategies to counter threats. In South Asia, several attempts have been made to create a common framework for action in implementing synchronized policies. However, both political and technical deterrents have thwarted moves to accommodate priorities and interests of collaborating states. The purpose of this paper is to assess these issues and existing policies/strategies in selected South Asian countries and evaluate integrated plans of action based on collaborative partnerships.

Using a broad exploratory and interpretive approach, this paper evaluates how harmonization of environmental principles and synergies among countries can help reduce the effect of climate change and environmental hazards. Based on a review of ideas and concepts as well as both primary and secondary sources, including official records, legislation, inter-state and regional agreements, evaluation reports, impact studies (social, economic and ecological), and commentaries, it highlights several initiatives and processes geared to creating environmental protection standards and practices for the South Asian region.

Climate change has resulted in devastating impacts on people. It contributed to the proliferation of climate refugees and high incidence of poverty in South Asia. The region faces both political and technical obstacles in developing a sustainable approach to combat climate change. This is exacerbated by non-availability of information as well as reluctance to acknowledge the problem by key actors. The best strategy will be to integrate policies and regulations in the various countries of the region to develop strategic plans. The approach of prevention and protection should replace the existing emphasis on relief and rehabilitation.

The paper provides a critical overview of the climatic and environmental problems encountered in the South Asian region and provides pointers to resolving shared problems through the use of policy instruments for regulating the problems within the gamut of regional environmental governance. It attempts to identify solutions to offset regulatory and institutional barriers in achieving preferred results by emphasizing the need for redesigning regulatory structures and policy approaches for ecological well-being.

International climate politics are gradually changing in terms of new and ground-breaking policies and decision-making spearheaded by national governments. The growing global demand to combat climate change reflects the current challenges the world is facing. India’s negotiations at United Nations Conference on Climate Change are based on “equity,” “historical responsibility” and the “polluter pays” agenda, until a shift in the voluntary reduction of carbon emissions takes place. The purpose of this study is to understand why India, a “deal breaker”, is seen as a “deal maker” in climate governance?

For a state like India, domestic preferences are equally important in introducing climate policies alongside its concerns over poverty reduction and economic development, which also stand with its sustainable development goals. This paper explains India’s decision-making using a two-level approach focusing on “domestic preferences.” This rationale is based on India’s historical background as well as new upcoming challenges.

This paper shows that India has both the domestic needs and long-term benefits of combating climate change to cut carbon emissions, which gives the responsibility primarily to domestic audiences and international societies.

This paper uses an international political lens to critically analyze India’s climate positions and politics from both domestic and international levels, demonstrating the importance of considering both short- and long-term goals. The outcome benefits not only the policymakers in India but also stakeholders in the Asia-Pacific and beyond.

The purpose of this paper is to deliver a detailed analysis of the functioning of upstream–downstream interface process of the tsunami early warning and mitigation system in Sri Lanka. It also gives an understanding of the social, administrative, political and cultural complexities attached to the operation of interface mechanism, and introduces an analytical framework highlighting the significant dynamics of the interface of tsunami early warning system in Sri Lanka.

Through the initial literature review, a conceptual framework was developed, highlighting the criteria against which the interface process can be assessed. This framework was used as the basis for developing data collection tools, namely, documentary analysis, semi-structured interviews and observations that focused on the key stakeholder institutions in Sri Lanka. Thematic analysis was used to analyze the data according to the conceptual framework, and an improved and detailed framework was developed deriving from the findings.

The manner in which the interface mechanism operates in Sri Lanka’s tsunami early warning system is discussed, providing a detailed understanding of the decision-making structures; key actors; standardisation; technical and human capacities; socio-spatial dynamics; coordination among actors; communication and information dissemination; and the evaluation processes. Several gaps and shortcomings were identified with relation to some of these aspects, and the significance of addressing these gaps is highlighted in the paper.

A number of recommendations are provided to address the existing shortcomings and to improve the overall performance of tsunami warning system in Sri Lanka.

Based on the findings, a framework was developed into a more detailed analytical framework that depicts the interface operationalisation in Sri Lanka, and can also be potentially applied to similar cases across the world. The new analytical framework was validated through a focus group discussion held in Sri Lanka with the participation of experts and practitioners.

The purpose of this paper is to empirically test the economic convergence that operate between five selected Asian countries (namely Thailand, Singapore, Malaysia, the Philippines and Indonesia). In particular, it seeks to investigate how increased economic integration has impacted the inter-country income levels among the five founding members of ASEAN.

A new Machine Learning (ML) approach is applied along with a panel data analysis (GMM), and the application of KOF Globalization Index.

The Generalized Method of Moments (GMM) results highlight that the endogenous growth theory seems to be supported for the selected Asian countries, indicating evidence of diverging forces resulting from unequal growth and polarization dynamics. Overcoming the technical issues raised by the econometric approach, the new ML algorithm brings contrasted but interesting results. Using the KOF Globalization Index, the authors confirm how the last phase of globalization set the conditions for an economic convergence among sample members.

Using the KOF Globalization Index, the authors confirm how the last phase of globalization set the conditions for an economic convergence among sample members. As a matter of fact, the new LSTM algorithm has provided consistent evidence supporting the existence of converging forces. In fact, the results highlighted the effectiveness of the experiments and the algorithm we chose. The high predictability of the authors’ model and the absence of self-alignment in the values showed a convergence be-tween the economies.