What is Indian Ocean Rim Association (IORA) and its significance?

Indian Ocean Rim Association (IORA)

• IORA is an inter-governmental organisation which was established on 7 March 1997.
• It was formerly known as the Indian Ocean Rim Initiative and the Indian Ocean Rim Association for Regional Cooperation (IOR-ARC).
• The IORA Secretariat is based in Mauritius. It became an observer to the UN General Assembly and the African Union in 2015.
• Members – It has 23 Member States and 11 Dialogue Partners.
• China is a dialogue partner in the IORA.

Objectives

• To promote sustainable growth and balanced development of the region; 
• To focus on those areas of economic cooperation which provide maximum opportunities for development, shared interest and mutual benefits;
• To promote liberalisation, remove impediments and lower barriers towards a freer and enhanced flow of goods, services, investment, and technology within the Indian Ocean rim.

Significance of IORA

• The IOR has always made significant contributions to the world economy. 
• The region is home to 35% of the world’s population and also accounts for 19% of total gross domestic product.
• Moreover, 80% of seaborne trade uses routes through the Indian Ocean. 
• Furthermore, 80% of seaborne oil trade and 100,000 commercial vessels depend on this route every year.