India announces USD one million to IOR-ARC fund

B D Narayankar

Press Trust of India

Bangalore, Nov 15: India today announced an additional
funding of USD one million to make the Indian Ocean Rim
Association for Regional Cooperation Special Fund an effective
instrument for financing projects and studies of common
interest among member-nations.
"To make the IOR-ARC Special Fund an effective instrument
for financing projects and studies of common interest, India
has decided to provide additional funding of USD one million
to the fund," , External Affairs Minister S M Krishna told the
Council of Ministers' Meeting of the 11th IOR-ARC here.
Describing piracy at seas as a "priority challenge", he
stressed the need for building on the existing national,
regional and multi-lateral measures to enhance coordination to
combat it.
"Piracy is a priority challenge. It increases the direct
cost of trade. It adds indirect costs through increased
insurance premium and a human cost to many of our nationals
involved in shipping industry," he said.
Krishna also emphasised the need for building functional
relationship between Navies and Coast Guards to enhance
security in Indian Ocean waters. "Our port and customs
authorities, as well as our shipping firms, need to be address
issues of transport infrastructure and connectivity that
hinder trade."
He said initiatives should be promoted to improve
intra-regional trade among Indian Ocean countries, which has
been dogged by poor connectivity, market complexities and
inadequate trade facilitation.
"Our intra-regional investment flows are modest, though
many of our economies are important destinations for FDI from
outside of our region," he said.
Referring to disaster management agencies, Krishna
expressed India's willingness to share its experiences with
the Tsunami Warning System for the Indian Ocean."We should
strengthen connections between our disaster management
agencies".
The sustainability of economic development in an
ecologically challenged world required efficient management of
the Indian Ocean, Krishna said.
The 18-member IOR-ARC grouping comprises India, Yemen,
Australia, Bangladesh, Indonesia, Iran, Kenya, Madagascar,
Malaysia, Mauritius, Mozambique,Oman, Singapore, South Africa,
Sri Lanka, Tanzania, Thailand and the UAE.