The year book aims to provide a comprehensive overview of the security environment in South Asia. International focus on the region and its increasing engagement by the comity of nations are ample indications of its emergence as the next power center in global politics. And yet, while it continues to grow in economic, industrial and military potential, its peculiar security environment, ridden with inter and intra-state disputes, insurgency, terrorism, rise of fundamentalism and other flash points continues to intrigue the world. The year book focuses on these and other relevant strategic issues to analyse and provide a better understanding of the region. It is a multi-dimensional, issue-based review of events that impact defence and security in South Asia. Over the years strict definition of south Asia has got diffused due to strategic linkages and interdependence of nation states. The year Book, therefore, includes China and other Southeast Asian nations, in order to provide holistic approach to the region. The region's centrality to the global war on terrorism is undeniable. The united States has engaged the region aggressively with a wide variety of initiatives. More importantly, India and China are driving transformation of trends on the international economic horizon. Other geostrategic factors also contribute to its rising importance. The need for information on the region is thus keenly felt and this publication aims to address that.