India and Afghanistan have agreed to intensify co-operation with special focus on deepening economic engagement in areas ranging from agriculture and small businesses to mining and infrastructure.

Addressing the media after a meeting with Afghan President Hamid Karzai, Prime Minister Manmohan Singh said, “We discussed the need to develop a strategic economic partnership, which will build on our economic synergies for mutual benefit. I also reiterated to President Karzai our belief that Afghanistan’s regional economic integration will contribute to overall prosperity and stability in the region.”

The Prime Minister said India was committed to supporting Afghanistan in its development efforts.

“Our development assistance commitment to Afghanistan currently stands at approximately $2 billion. We have expanded our programmes for capacity-building, institution-building and human resource development. With the signing of the memorandum of understanding on Monday, we will launch the third phase of small development projects to address the socio-economic needs of people throughout Afghanistan,” Singh said.

India and Afghanistan signed four memoranda of understanding, including one on co-operation in the development of coal resources.

ashwini.phadnis@thehindu.co.in

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