Economic Diplomacy and SCO

 

Economic Diplomacy and SCO

  Mubasher Mir

Economic Diplomacy is the key part of the Chinese dream and vision of the President of China Xi Jinping. He told in his speech on October 24, 2013, “Good diplomacy with neighboring Countries is a requirement for realizing the two centenary goals and the Chinese dream of the rejuvenation of the Chinese nation. We need to work, harder to promote our diplomacy with neighboring countries, strive for a sound regional environment for our development, apply over own development for the benefit of neighboring countries and achieve common development with them.”.

 Keeping in view of this philosophy, we are witnessing that china started the sharing of its destiny with developing and neighboring countries. Shanghai Cooperation Organization (SCO) is the best example of its kind. Although it was started in 1996 with five basic members but in July 2002, it was elevated into a larger scale institution and enforced on 19^th September, 2003 as SCO. Right now, this is the largest regional organization of the world.  

 Its main concerns are Political, Economic and Security. The member countries consist of 42% population of the world with covering 60% area. It’s worth mentioning that GDP of SCO countries is about 30% of the world. Pakistan and India have full member status while. Iran submitted its application properly for full membership. President of Turkiya Tayyab Erdogan is considering seriously for full membership of SCO as well.

 Now-a-days security Threats for every nation is the reality of this world, because if there are friends, there could be FOE’s as well.  So, SCO is working on Counter Terrorism, Combat against separatism and extremism.  It’s a huge challenge, that’s why Collective Security Treaty Organization (CSTO) is closely working on these issues and challenges.

 Economic Diplomacy is the key factor of this organization. The Chinese leadership eager’s  to expand its cooperation with member countries.

 We all know that the Belt and Road Initiative (BRI) is the appreciatable project of Chinese vision. This depicts in Shanghai Cooperation Organization (SCO)  as well, because the idea’s for economic cooperation among the member countries are coming up. China already proposed the free trade area and Joint energy and water resources projects. SCO Energy Club is a unique idea, which has been proposed.

In 2019, then Prime Minister of Pakistan Imran Khan, has been suggested that trade would be in local currencies among the member countries of SCO. He also proposed to develop the financial institutions. A unique proposal from Iran was proposed, which was single currency for trade among SCO countries. This encouraging situation is developing day by day.

 In Samarkand, Uzbekistan, 22^nd Annual Conference was held and SCO Leaders adopted the Summit declaration including four Joint Statements, on climate change, food security, energy security and the statement on maintaining reliable International Supply Chains. All these issues are very important in this present scenario.

 Although, it was proposed by Pakistan in 2019 Summit, now this time the leadership of SCO, agreed to take steps to increase the use of national currencies in trade between their member countries. This decision will help to reduce the dependence on other currencies in trade. This policy will support to increase the trade volume as well.

 The aim of the Economic Diplomacy of the SCO leadership is peace and stability in the region. The path of the peaceful development is the leadership’s strategic choice.

 The success of SCO will be the success of the people of this region. This is the most effective platform for sharing the destiny among the member countries. This will lead this region into peace and prosperity.

 Although Ukraine war has been discussed in Samarkand Summit but unfortunately the issues between India and Pakistan were not even on side lines.

SCO has the mandate to address the security issues in the region but the leadership of Pakistan and India was not on the terms to even talk or say Hello to each other.

SCO is a forum to solve the issues by diplomatic efforts but both sides are showing their ego’s

 It is worth mentioning that the previous history between the India and Pakistan regarding bilateral talks was not result oriented in Pakistan’s prospective. But the diplomatic efforts are the best way to step forward.

The SCO countries should offer some special initiatives regarding GtoG, BtoB and Ptop areas to promote economic and cultural diplomacy among their people. Being the largest regional   organization there are many opportunities to reduce the poverty in low income groups of the population.

This region has large water and energy resources and likewise the consumers so it’s a win win situation for member countries.

If Political issues and disputes will discuss then the economic diplomacy will work. Prosperity comes after peace and it can be stabilized with continuous progress. Engagement is a first step to resolve the issue.

All members countries should think about the first step especially Pakistan and India.