Daily Times

Pakistan’s hosting of the Shanghai Cooperation Organisation (SCO) conference amid security and economic challenges marks a significant diplomatic achievement. The participation of 11 heads of state and 900 delegates of regional players is a demonstration of the world community’s trust in Pakistan’s security and stability.

Being the world’s largest organization, SCO represents 40 percent of the world’s population, 80 percent of the geographical area, and 32 percent combined GDP. It was established by China and Russia in 2001 with the aim of economic cooperation and regional connectivity. Initially comprising 5 members, the organization later expanded in 2017 to include India and Pakistan, with Iran joining in 2023 followed by Belarus in 2024. The primary objectives of the SCO are to strengthen regional cooperation, security, political stability, economic development, and counter-terrorism efforts.

The consistent growth of Pakistan’s stock exchange and the decrease in the inflation rate is a step towards the revival of the economy.

In the lead-up to this momentous event, the signing of agreements worth $2 billion with Saudi Arabia in different sectors has provided Islamabad with an opportunity to showcase its economic stability to world leaders and investors. Besides this, the consistent growth of Pakistan’s stock exchange and the decrease in the inflation rate is a step towards the revival of the economy.

Furthermore, the government has also secured commitments for foreign loans totalling $3.2 billion from international creditors, including a $1.2 billion Saudi Oil Facility for the next year.

World leaders present at the summit are expected to address pressing issues like terrorism and climate change and adopt organizational decisions to further enhance cooperation among member states and improve the intergovernmental body’s budget. However, the real objectives of regional cooperation for combating terrorism, poverty, climate change and other important issues could not gain the required attention and cooperation earlier due to the Modi-led regime’s lacklustre approach which was adopted as an attempt to counterbalance Chinese dominance while fostering constructive ties with Central Asian nations.

Pakistan’s active participation in SCO demonstrates its commitment to regional peace, stability, and socio-economic development. The emerging economies can benefit immensely from cooperation within the SCO, particularly in areas like energy, security, resource sharing, and access to Central Asian gas and oil reserves. Greater cooperation within the SCO can open avenues for trade and investment, benefiting the economy and creating a more integrated regional market.

The writer is a freelance columnist with special focus on issues concerning national security.