Pakistan’s inclusion in SCO to bring funds for energy projects

SCO to hold summit later this month, Islamabad may gain its full membership

ISLAMABAD: The Shanghai Cooperation Organisation (SCO) is scheduled to hold a summit on June 23 and 24 in Tashkent, Uzbekistan that will pave way for opening new avenues for Pakistan to secure funds for energy and other infrastructure projects.

“SCO membership remains a trump card for Pakistan that should do its best to timely meet obligations and adopt all required procedures in order to join the regional body during the upcoming summit or in the near future,” a senior government official said.

“Pakistan’s future activities should also be within the framework of the organisation that will open new avenues for investment inflow.”

The process of granting Pakistan the full membership of SCO got under way in July 2015 during Prime Minister Nawaz Sharif’s visit to Ufa, Russia for a summit.

It outlined the organisation’s status as an important and effective multilateral forum that discusses actual problems of international policy, economy, regional stability and security. These four elements have been very important in stimulating investment.

SCO was founded in Shanghai on June 15, 2001 by six countries including China, Russia, Kazakhstan, Kyrgyzstan, Tajikistan and Uzbekistan. Afghanistan, India, Iran, Mongolia and Pakistan have been accorded observer status.

Heads of member states will attend the upcoming meeting in Tashkent. Prime Minister Nawaz Sharif has also been invited, but he may not attend it due to medical treatment in London. However, Indian Prime Minister Narendra Modi is expected to participate in the summit.

According to officials, the summit holds great significance as it will further develop relations between Pakistan, Russia, China and the central Asian states.

A full SCO membership will help Pakistan strengthen its role in regional and global politics, economies and infrastructure by promoting regional connectivity through the One Belt One Road and Eurasian Economic Union projects, they say.

With plans under way to connect the Silk Road Economic Belt with the Eurasian Economic Union, the role of Pakistan in regional economy and infrastructure projects will definitely increase because of the China-Pakistan Economic Corridor (CPEC), which is part of the Silk Road belt.

Pakistan has already suffered a lot because of the US influence in the region. The Iran-Pakistan gas pipeline was the most viable option to resolve the energy crisis, but Washington pushed Islamabad to opt for the Tapi pipeline that was insecure as it would pass through war-torn Afghanistan.

According to the officials, Pakistan, after becoming part of the SCO, could easily make up for the political and economic loss caused by recent tensions in relations with the US and Gulf states and the forum will also help resolve the energy crisis.

SCO has set up an energy club aimed at providing financial support to energy projects in different countries including Pakistan.

Moreover, Pakistan will be able to develop fruitful relations with neighbouring countries including Iran.

This will provide the country an opportunity to play its cards strongly with conventional development partners like the US, World Bank, International Monetary Fund and Asian Development Bank. There is a common perception that the US uses these multilateral forums for political gains globally.

Published in The Express Tribune, June 10^th, 2016.

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