A conference on the development and co-operation amongst the South Asian countries was held at Maryland University in USA. The conference discussed various aspects of development and political hindrances to such development. It noted that with market economy policy now being followed in all South Asian countries, United State can play an increasingly important role. It assessed the vast potentiality of natural resources in the area and its possible exploitation to meet the ever- increasing energy needs. It also focused on building up infra-structural facilities and the internal security issues. The conference, on the 20th Anniversary of SAARC, noted that both under the auspices of SAARC as well through bi-lateral and tri-lateral understandings something positive can be done. This is the First Part of the report.