Consider the following statements on SAFTA: 1. SAFTA is a trade liberalisation programme among the South- Eastern countries of Asia. 2. According to SAFTA, the Ministerial Council shall meet at least once every year or more often as and when considered necessary by the Contracting States. Select the correct answer using the code given below:

Statement 1 is incorrect because SAFTA is a trade liberalisation programme among South Asian countries, not South-Eastern countries [1]. Its members include Afghanistan, Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan, and Sri Lanka. Statement 2 is correct. According to Article 10 of the SAFTA Agreement, the SAFTA Ministerial Council (SMC) is the highest decision-making body and is mandated to meet at least once every year, or more frequently as deemed necessary by the Contracting States [1]. The SMC is supported by the Committee of Experts (COE), which reports to it [1]. While the broader SAARC Council of Ministers meets twice a year, the specific institutional arrangement for SAFTA (the SMC) follows the annual meeting requirement to oversee the Trade Liberalisation Programme and implementation of the agreement [1].

Sources

1. [1] Contemporary World Politics, Textbook in political science for Class XII (NCERT 2025 ed.) > Chapter 3: Contemporary South Asia > Peace and Cooperation > p. 42