The Shanghai Cooperation Organization (SCO) is set to hold its 24th Meeting of the Council of Heads of State in Astana, Kazakhstan, on July 3-4, 2024. This summit arrives at a pivotal moment for Eurasia, as developing nations intensify efforts to coordinate policies on pressing global issues such as rising security tensions, increased protectionism, and competition in the high-tech arena.
In light of these challenges, SCO member states are poised to elevate economic cooperation on their agenda. The focus will be on enhancing collaboration in trade, financial sectors, investment flows, and labor migration. By strengthening these areas, the SCO aims to foster stability and growth across the Eurasian region.
The SCO has the potential to serve as the primary platform for economic integration among Eurasian developing economies. The momentum for closer South-South integration is evident, with an increasing number of developing countries joining the SCO. Since the inclusion of India and Pakistan in 2017, the organization welcomed Iran as a full member in 2023. Belarus is also on the path to membership, potentially joining as early as the upcoming summit in Kazakhstan.
Beyond its full members, the SCO has expanded its network of dialogue partners. In 2022 and 2023, countries such as Bahrain, Saudi Arabia, and the United Arab Emirates joined as dialogue partners, reflecting the organization’s growing influence in the Middle East.
This expansion aligns with recent developments in the BRICS group. Several nations, including the United Arab Emirates and Iran, have increased their involvement with both the SCO and BRICS. Such overlapping memberships present an opportunity for enhanced coordination between these regional organizations. The current Russian presidency of BRICS is advocating for greater integration among the Eurasian Economic Union (EAEU), the SCO, and BRICS.
Looking ahead, the SCO could broaden its outreach by creating a platform that brings together the main regional blocs of the developing world in Eurasia. This platform could include the EAEU, the Gulf Cooperation Council, the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC), and the Association of Southeast Asian Nations (ASEAN). By uniting these groups, the SCO could develop a roadmap for regional trade liberalization and serve as a framework for advancing South-South cooperation through an “integration of integrations” approach.
As the world navigates a period of turbulence and change, the upcoming SCO summit represents a significant opportunity for Eurasian nations to strengthen economic ties and collaborate on shared challenges. The decisions made in Astana could have far-reaching implications for regional development, peace, and stability.
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SCO to drive economic cooperation of developing countries in Eurasia
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