India, China in clash at summit

[Lilo]

India, China in clash at summit

* Bruce Loudon, South Asia correspondent
* April 04, 2007

RIVALRY between India and China has marred the opening in New Delhi of a South Asian summit, after Beijing vowed to "dilute India's hold in the region as a major economic power".
The dispute between the two Asian powers was one of several that underlined the discord within the region's top body, the eight-nation South Asian Association for Regional Co-operation.

The meeting is aimed at injecting new momentum into an underperforming regional bloc by boosting trade and co-operation.

The feud between New Delhi and Beijing began over the establishment of a regional development fund, seen as a key initiative for SAARC and expected to receive automatic approval. But the proposal appeared in trouble yesterday over whether observer nations - in this instance, China - should be allowed to contribute to the fund.

The bloc, grouping countries that account for nearly 1.5billion people, is made up of Bangladesh, Bhutan, India, the Maldives, Nepal, Pakistan and Sri Lanka.

China, the European Union, Japan, South Korea and the US are attending as observers. Iran has been given preliminary approval to join as an observer, despite Western objections.

But New Delhi is opposed to Beijing's participation in the development fund, believing China is moving to strengthen its position in the organisation.

Indian apprehensions intensified after Chinese Foreign Minister Li Zhaoxing travelled to the summit via Islamabad, where he spoke enthusiastically about using the summit to "develop relations with South Asian countries".

China also offered to contribute to the development fund and, according to reports, "eclipse and dilute India's hold in the region as a major economic power".

China has previously made much of its enthusiasm for the regional bloc, applying for full membership status.

The face-off over the development fund was one of a number of issues causing friction.

Washington has privately "warned" member states over the move to give Tehran observer status.

But by all accounts, not a single SAARC member has raised any objection to having Iran included, an indication of just how little influence Washington wields in the region.

The summit opened with leaders of the seven countries signing a declaration that formally brings in Afghanistan as a new member.

But Afghan President Hamid Karzai took his place around the summit table after causing profound offence to Pakistan on the eve of the meeting by accusing Islamabad of trying to colonise his country and of knowingly harbouring the Taliban leader, Mullah Omar.

His charges were rejected by Pakistan's Prime Minister, Shaukat Aziz, and his glowering Foreign Minister, Khurshed Mehmood Kasuri.

On terrorism, Sri Lanka, battling Tamil Tigers, wants an undertaking from the meeting that regional co-operation will include an extradition treaty.

India, sources say, cannot accept this because of possible "repercussions" in the South Indian state of Tamil Nadu.

In promoting the issue of terrorism within SAARC, India was seeking to corral Pakistan over its support for jihadist organisations such as Lashkar-e-Toiba.

http://www.theaustralian.news.com.au/story/0,20867,21501453-31477,00.html

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A highly sensationalist article but interesting though..

 

[Awesome]

These are development funds, not military or economic ties. What's India's problem if China pays let's say Bangladesh or Sri Lanka via SAARC? At least that way SAARC would be doing something rather than China doing it all alone and still taking the credit.

India gets bad publicity anyway for putting the snag into some much needed funds. Fail-fail policy by whoever is calling the shots over there.

 

[Lilo]

These are development funds, not military or economic ties. What's India's problem if China pays let's say Bangladesh or Sri Lanka via SAARC? At least that way SAARC would be doing something rather than China doing it all alone and still taking the credit.

India gets bad publicity anyway for putting the snag into some much needed funds. Fail-fail policy by whoever is calling the shots over there.

development funds...?? dont you mean slush funds..?

china has set up many slush funds and supported rogue regimes in Africa...
it wont be any different here... with their "non-interventionist" policy they'll funnel money to dictators and tyrants with out asking a single question....south asia can do without such funds

We indians are far better than china in this case ..even if we provide aid to military junta of Myanmar... we provide it with lot of strings attached ..
Like we frequently bring up questions about its democracy and state of Su kyi
..we do this because we have a stake in the well being of south asia

a stable and prosperous southasia is i n our interest.

and what is china's stake in Southasia..??

let me guess ...a more riled up southasia is better for them coz that will keep us occupied in trying to stabilize our surroundings and they will get stategic milage out of it...

 

[Contrarian]

Couldnt have said it better myself Lilo.