[Title] Statements by EAM Mr. Natwar Singh and Foreign Minister of Japan Ms. Yoriko Kawaguchi at Joint Press Interaction, Hyderabad House, New Delhi

Ms. Yoriko Kawaguchi: I have come to India this time to truly substantiate our Global Partnership, namely to elevate the existing relationship to a higher terrain.

I told my dear friend Minister Singh that Japan identifies India as a major power in Asia and the world for international peace, stability and prosperity around the globe.

We agreed to begin preparations for setting up a Joint Study Group (JSG) to strengthen and reinvigorate the Japan-India economic relations.

We agreed to cooperate closely on UN reform. We shared the understanding that the expansion of the membership of the Security Council, both in non-permanent and permanent seats, needs to be realized. We shared the recognition that both countries are legitimate candidates for the permanent members of the Security Council. In particular, we agreed to support each other's candidature for the permanent membership of the UN Security Council.

I am pleased to note that India has become the largest partner in Japan's ODA. I was assured that India's priorities and policy on bilateral economic relations and ODA coming from Japan has not changed. So the continuity is there. We certainly look forward to continuing our good economic relationship and cooperation with India in this regard.

Before this press interaction, I did not quite get to talk about the India-Pakistan relationship, which I hope to discuss over dinner. Here, I would like to say that we welcome the progress which is being made between India and Pakistan.

Thank you very much.

Mr. Natwar Singh: Foreign Minister Kawaguchi and I had very productive discussions just now on a wide range of bilateral, multilateral and global issues. We will continue our discussions over the working dinner.

The main focus of our discussions has been on how to strengthen the India-Japan Global Partnership, proceeding from a strategic perspective. We have exchanged useful ideas on further development of our multi-faceted cooperation centering on broadening and deepening of bilateral relations and cooperating with each other in meeting global challenges.

We are going to step up our efforts to take our economic partnership to a higher level, taking advantage of complementarities in our economies and synergies in trade, investment and hi-tech areas, so that the full potential in this regard can be realized.

We have also agreed to enhance our dialogue and cooperation on security issues. There is a broad convergence in our long-term security concerns and objectives, and our cooperation in this area will be a positive, stabilizing factor in Asia and the world at large. Among other things, we have agreed to cooperate in protection of sea-lanes of communication.

Our Global Partnership also involves closer collaboration in contributing to solutions to issues of global concern. In this context, we had a detailed exchange of views on the need for UN reforms. We have agreed on the following approach on this important issue:

"Japan and India share the understanding that it is of great importance to enhance the effectiveness and credibility of the Security Council, particularly through expanding the membership of the Security Council, both in non-permanent and permanent seats. Japan and India, based on the firmly-shared recognition that both countries are legitimate candidates for the permanent membership of the Security Council in the light of the current realities of the international community, will support each other's candidature, and make utmost efforts and closely work together towards realizing the reform of the Security Council."

We have also agreed to institute a DG-level dialogue on UN reforms for exchange of views and coordination of positions on this key issue, and Joint Secretary (UN) in the Ministry of External Affairs, Mr. B.S. Prakash will be visiting Tokyo for the first meeting on August 23.

My colleague, Foreign Minister Kawaguchi and I also had useful exchanges on another key global challenge facing the international community, namely, the scourge of terrorism. We have agreed to set up a Joint Working Group on Counter-terrorism to promote effective cooperation between our two countries in this regard.