The 18 July Bush-Manmohan Agreement is currently being implemented, in bits and pieces. At the time of the signing of the agreement it was stated by different officials that both governments would proceed to unilaterally implement the provisions that pertained to them and there would be no expectations of reciprocity.

Different views have been expressed by the American non-proliferation lobbyists on possible loss or gain from the Indo-US nuclear agreement. Would the agreement complicate global non-proliferation efforts as the critics argue or would it lead to a stronger front to deal with emerging non-proliferation challenges? To answer these questions it is necessary to examine the merits of the arguments put forward by the US non-proliferation lobby carefully.

The developments after 9/11 and the rise of neo-conservative thinking in United States accelerated a process that culminated in the US invasion of Iraq in 2003. The rapid collapse of Saddam Hussein’s regime marked a defining moment in international relations. ‘Operation Iraqi Freedom’ and its aftermath created an entirely new geopolitical context not only in Iraq but also in the wider West Asia. Huge challenges have emerged as a result of the invasion of Iraq, regime change, and the political reconstruction in Iraq.

In India, the defence budgeting system is incremental and input-based. Yearly allocations of funds are made without reference to the defence plans. In effect, the budget does not get linked to any established goals or outputs. Resource planning beyond a one-year period is not carried out. Some have even called it an archaic system. The five-year defence plans have lost their utility for resource planning. This article brings out the shortcomings in the present budgeting system and recommends some options for a goal-oriented budgeting system.

World over, differences exist about the impact of military expenditure. While development economists consider excessive military expenditure as wastage, many defence economists have a different view. With the defence versus1 development debate unending, China makes a unique contribution. While China’s defence expenditure is not well known, the hinese experience shows that investments in development do provide an expanded economic base subsequently, which will take care of defence needs.

There are embryonic signs that Washington is all set to turn the heat on Myanmar. In a marked departure, UN Security Council unanimously agreed on December 2, 2005 to a US request for a “one-off” briefing by Secretary-General on “the deteriorating situation” in Myanmar. The US request followed Tatmadow’s extension of Aung San Suu Kyi’s (ASSK) house arrest and General Assembly Committee’s recent approval of a resolution condemning human rights in Myanmar.

The inaugural East Asian Summit (EAS), touted as groundbreaking, commenced on December 14 in Kuala Lumpur comprising 16 nations— the 10 ASEAN countries, China, Japan, India, Australia and New Zealand with Russian President Vladimir Putin making a special appearance. The EAS Declaration, like many issued before in the region, is wide-ranging: from political and security cooperation, infrastructure development, financial issues, further liberalisation of regional trade and investment, poverty eradication to fighting epidemics. Nonetheless, inter alia, three points need underscoring.

A series of bomb blasts in Delhi on October 29, 2005, that left 66 dead and 220 injured has, once again, underlined the acute vulnerability of major Indian cities to international terrorism. The blasts in Sarojini Nagar, Paharganj and a Delhi Transport Corporation (DTC) bus in Govindpuri were well-orchestrated, nearly simultaneous, and targeted crowed markets and city centres.

The thrice postponed Afghan parliamentary and provincial council elections are finally over. But, is the Bonn-mandated political process over? With the US intent on cutting down its troop levels in Afghanistan this year, is the ‘war on terror’ in Afghanistan also over? It is being said that the Bonn process has concluded with the September 18, 2005 elections. If so, then it is pertinent to examine the end-result of the four-year political process and the recently concluded elections.

Prime Minister Manmohan Singh’s visit to Moscow from December 4-6, 2005 highlights the continued importance of Indo-Russian cooperation in a changing geopolitical scenario. Beginning with President Vladimir Putin’s first visit to India in October 2000, bilateral summits between the Indian Prime Minister and the Russian President, alternatively in each other’s capital, have become an annual feature. In contrast, President Putin’s predecessor, President Boris Yeltsin visited India only once, in January 1993.