Though the agreement signed in July 1996 is essentially of an administrative nature, no real progress has been made in attaining its objectives, said Ugo Alessi, principal administrator, DG1B (Director General External Relations).

The main objectives of the pact are to promote economic and social development in their respective member states through democratic integration.

Under the agreement, the EC has committed itself to sharing its experience in developing the regional block.

Since the creation of the first of the then European Communities in 1952, EC has acquired considerable experience in achieving integration in Europe in different areas. It believes that this experience may help Saarc achieve similar objectives in its own region.

EC has agreed to provide training and technicalaid to Saarc staff to strengthen the functioning of its institutions. This is to be achieved through seminars, conferences and in-house technical assistance.Both parties had decided to exchange information on issues of mutual interest.

According to the agreement, the two organisations are to co-operate to ensure optimum use of their resources in the gathering analysis, publication and dissemination of information. This is subject to any arrangements that may be necessary to protect the confidential status of certain information.

Apart from the general information, exchange of data and knowledge may also include extensive information in technical, economic and legal areas.The pact is kept flexible to include other areas for further development, said Alessi, adding that the institution, however, has to use the opportunity. The development fund for the Saarc earmarked by EU last year was also not used, he said.

Saarc needs to be more active to benefit from the co-operation programmes of various trade andregional blocks, he said, adding that it has a lot of potential to assert its opinion in international fora. Being a body of an important and growing market, it should be able to influence decision making at various global fora.

India, which is one of the major countries in the Saarc, should take a lead and be proactive in bringing the body forward to the international platform, he said. Unfortunately, the progress so far has not been satisfactory, Alessi added.

The MoU, which came into effect on July 10, 1996, shall be valid for three years and tacitly renewed, thereafter, on an annual basis unless one of the parties notifies the other in writing that it wishes to terminate the memorandum at least three months before it is due to expire.