and Beijing. We also have traffic rights to Guangzhou and Shanghai. We also have had some discussions with China on the exploitation of offshore oil.

Is it important for China and SAARC to strengthen their cooperation in dealing with non-traditional security threats such as cross-border crimes and terrorism? Why?

At the last SAARC Summit in New Delhi, the main theme was connectivity-linking up transport networks, connecting people and trading goods, and so on. But there is also a deadly type of connectivity-terrorism. Terrorism does not stay in one country. The United States says Sri Lanka's terrorist group LTTE, or Liberation Tigers of Tamil Eelam, is the deadliest terrorism group in the world. It is illegally collecting money and trafficking drugs in the United States and Europe. It has been banned in about 30 countries to date. So we have to closely cooperate to address terrorism. In SAARC, we have signed agreements on the prevention of terrorism, money laundering, drug trafficking and human trafficking.

We would like to have more cooperation with the Shanghai Cooperation Organization. India and Pakistan are observers of this organization. Sri Lanka has also applied for observer status. There is cooperation between China and Sri Lanka on dealing with security threats. Both countries are opposed to the three evils of terrorism, extremism and separatism. We need cooperation right across the Asian region and even beyond.

Like other regional organizations such as the Association of Southeast Asian Nations (ASEAN), SAARC is trying to promote regional economic integration. Looking ahead, what do you think of the prospects of Asian integration?

South Asia and SAARC started the process of our regional integration only in 1985. We have not developed as much as the ASEAN project, which started in the 1960s. We have some discussions with ASEAN. One of the matters discussed at the Beijing conference was the historical and cultural identity of Asia. It is important to look at the two countries-China in East Asia and India in South Asia. These two countries together account for about one third of the world population and are developing rapidly. We hope we will have an Asian grouping sometime in the future like the European Union now. China, Japan and South Korea are now observers of SAARC.

The private sector is also interested in more regional cooperation. For example, we have established a SAARC-China Economic Forum between the private sectors of SAARC and China that meets in Kunming [in south China's Yunnan Province]. With greater coordination within SAARC and closer linkages with China, Japan and South Korea, and of course ASEAN, Asia will obviously have great chances to give practical content and economic meaning to the "Asian Century."

What do you think about China's development achievements over the past three decades?

Considering radical changes over three decades of opening up, China's example is encouraging for all developing countries. It has made great progress in poverty alleviation. The UN described China's achievements in poverty reduction as one of mankind's greatest achievements. Within a few years, about 200 million people have been brought out of poverty. China has carried out many projects to reduce imbalance between urban and rural areas. It is also dealing with environmental problems caused by rapid development.

Like China, Sri Lanka has a program to develop the countryside. We have had some exchanges on our experiences, which have been very helpful.

What are your expectations for the upcoming Beijing Olympics?

We share all of China's hopes. We like the theme of the Beijing Olympics, which is "One World, One Dream." In fact, I would say "one reality" instead of "one dream." The Olympic Games bring all countries together. Sri Lankan President Mahinda Rajapaksa has clearly said he will be attending the opening ceremony of the Olympics in Beijing. Sri Lankan athletes in training look forward very much to participating in the Games.

What are the Sri Lankan Govern-ment's positions on China's handling of the recent riots in Tibet and Western countries' calls for China to hold talks with the Dalai Lama?

I'm very unhappy about the demonstrations that took place during the torch relay. The protests in Western countries were tied to the Dalai Lama and the Tibet issue. Politics and religion are getting entangled very badly, and they should not.

Sri Lanka is a Buddhist country. We recognize that Tibet is clearly part of China. If they (the Tibetans) want to strengthen their religious identity, that's perfectly acceptable. But they should not resort to violence. Buddhism does not believe in violence. We were surprised when rioters attacked cars, houses and people precipitating the current situation.

I understand there is a dialogue going on between representatives of the Dalai Lama and the Chinese Government. Such discussions on religious and cultural issues could continue but not on issues of separation.