Why in news?
India and the five-member Eurasian Economic Union (EAEU), led by Russia, are preparing to begin negotiations for a free trade agreement (FTA).
Background:
This proposed agreement aims to boost India’s exports to the EAEU countries, particularly in sectors such as engineering goods, electronics, and agriculture.
About Eurasian Economic Union (EAEU or EEU)
- The Eurasian Economic Union (EAEU or EEU) is an economic union of five post-
- The Eurasian Economic Union (EAEU) comprises Armenia, Belarus, Kazakhstan, Kyrgyzstan, and Russia. Its establishment aims to promote the free movement of goods, persons, services, and capital.
Key facts about the EAEU:
- The EAEU was officially established on January 1, 2015.
- The union operates through supranational and intergovernmental institutions.
- The EAEU has an integrated single market.
- As of 2023, it consists of 183 million people and a gross domestic product of over $2.4 trillion.
- The EAEU encourages the free movement of goods and services, and provides for common policies in the macroeconomic sphere, transport, industry and agriculture, energy, foreign trade and investment, customs, technical regulation, competition, and antitrust regulation.
- Provisions for a single currency and greater integration are envisioned for the future.
- The EAEU’s formal objectives are to create a common market much like the European Union (EU).
- However, unlike the EU, the EAEU does not share a common currency.
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