THE Shanghai Cooperation Organization (SCO) and the Shanghai Spirit (SS) function as deeply interconnected pillars of regional cooperation.
Grounded in principles of openness, inclusiveness, mutual trust, political coordination and economic collaboration, the Shanghai Spirit serves as the ideological backbone of the SCO. Over the years, the organization has emerged as a driving force in promoting regional stability and global engagement, with China playing a pivotal role in shaping its development through trusted, strategic partnerships.
The SCO has achieved multiple landmark accomplishments in global governance, security and development. In security cooperation, the SCO has continuously deepened collaboration on counter-terrorism, non-proliferation and cybersecurity, enhancing its capacity to jointly combat the ‘three evil forces’ of terrorism, extremism and separatism. The announcement of 2025 as the “SCO year of sustainable development” with member states focusing on poverty alleviation, digital economy and green development vividly reflects its strategic importance. “In global governance, the SCO is committed to building a multipolar and democratic international order.
Through 24 years of relentless exploration, the SCO has found a new path for cooperation that differs from the cold war era. This path aligns with the trends of the times, fits the regional realities and serves the fundamental interests of the member states. Obviously it remained a foundation of regional stability, socio-economic integration, trans-regional connectivity, qualitative human development and last but not least great prosperity.
As a founding member, China continuously injects momentum into the development of the SCO through institutional innovation and experience sharing. Evidently, China’s proactive role, biggest economic support, largest financial assistance, immense development programs & projects, social cohesion, political insight and diplomatic shield has contributed to the SCO vividly reflecting its dedication to building a community with a shared future for universal humanity and mankind and its unwavering support for multilateralism and international cooperation.
It appears that most of the SCO member states are at a critical historical stage of development transformation. They need to achieve development goals in areas such as economic model conversion, social governance innovation and national cultural reconstruction as soon as possible. In this regard, launching of “SCO Plus” and sincerely sharing Chinese wisdom, experience and technological innovation models with member states has further consolidated economic stability, sustainability, qualitative industrialization and modernization in the member countries.
China’s development clearly provides various opportunities for SCO member states. Economically, the joint construction of the Belt and Road Initiative (BRI) promotes regional connectivity and trade facilitation, offering models for infrastructure development such as high-speed railways, highways and ports. In terms of technology, China’s experience in agricultural modernization, product processing and agricultural science and technology can help enhance agricultural productivity in member countries.
The rapid development in fields like artificial intelligence, 5G communication and big data offers cooperation opportunities for member states. Socially, China’s poverty alleviation experience and social governance model provide valuable references. In this connection, President Xi’s policies of openness, transparency, modernization, digitalization, artificial intelligence, qualitative industrialization and green transformation must be followed to make the SCO economically vibrant, industrially diversified, technologically innovative, ecologically green and financially integrated. Establishing a common banking and financial system with their own currency and payment mechanism can help mitigate economic sanctions and energy-related payment challenges, where the role of China, Russia, Uzbekistan, Kazakhstan, Pakistan and Iran could be a game changer in the days to come. In recent years, the establishment of the China-SCO local economic and trade cooperation demonstration area (SCODA) and the SCO demonstration base for agricultural technology exchange and training have become “new models” for promoting regional economic cooperation and governance. The writer suggests that the SCO states should jointly work to form a development bank, development fund and investment fund, SMES and industrial SCO bank and energy & food bank catering the requirements of the community based socio-economic development in the member countries.
Additionally, forming a green SCO bank would be a giant step toward green transformation within the SCO family. Additionally, SCO common stock and commodity exchanges, a digitized bank, metal and mining bank, lithium battery bank and an AI bank would expedite regionalism and economic integration, fostering mutual trust. Pooling resources to build ports, integrated railway systems and advancing pending trans-regional mega connectivity projects—especially the Pakistan-Afghanistan-Uzbekistan trilateral rail project, TAPI, promotion of cluster and container trading between Pakistan and Central Asian countries and Pakistan’s Wahkhan Corridor with Tajikistan—would significantly enhance the SCO’s connectivity, economic strength and trading potential in the days to come.
Deepening cooperation in areas such as cybersecurity, anti-terrorism public health, sustainable development, disaster management, space & science, AI, digitalization and green technologies may be useful for the SCO in which China would play an important role. Furthermore, the emerging triangle of SCO-BRI-CPEC would be an ideal combination to bring desired goals of trade, transport and logistics cooperation among the SCO states in the days to come. Therefore, geo-strategically it is further relevant for fostering friendly partnerships of mutual trust.
Since the SCO and the SS always speak highly about peaceful conflict resolution there it is recommended that an internal mechanism must be devised to solve the emerging crises within it. There is an urgent need to reactivate the SCO RATS system for the complete eradication of the terrorism and its threats in the SCO member countries. Last but not least, the formation of a joint “security policy” and “military shield” is the need of hour to successfully mitigate emerging threats from the western forces.
—The writer is President, Pak-China Corridor of Knowledge, Executive Director, CSAIS, regional expert: China, CPEC & BRI.
