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Indo Pacific Economic Framework

Indo Pacific Economic Framework:

India has decided to join at least one of the four cooperative work programmes unveiled last week under the ‘clean energy pillar’ of the U.S.-led Indo Pacific Economic Framework (IPEF) – the one on facilitating and promoting carbon-market activities.

  • The Indo-Pacific Economic Framework for Prosperity (IPEF) is an economic initiative launched by U.S. President Joe Biden on May 23, 2022.
  • The framework launched with fourteen participating founding member nations in the Indo-Pacific region with an open invitation for other countries to join.
  • Indo Pacific Economic Framework (IPEF) was launched jointly by the USA and other partner countries of the Indo-Pacific region on May 23, 2022 at Tokyo.
  • IPEF has 14 partner countries including Australia, Brunei, Fiji, India, Indonesia, Japan, Republic of Korea, Malaysia, New Zealand, Philippines, Singapore, Thailand, Vietnam & USA.
  • It seeks to strengthen economic engagement among partner countries with the goal of advancing growth, peace and prosperity in the region.
  • The framework is structured around four pillars relating to Trade (Pillar I); Supply Chains (Pillar II); Clean Economy (Pillar III); and Fair Economy (Pillar IV).
  • Seen by many analysts as an attempt by the U.S. to counter China’s growing influence in the region, the IPEF aims at having a common set of rules and standards around the four pillars.