10 SCO Countries Ready To Ditch US Dollar For Trade

Vinod Dsouza
SCO Flags
Source: e-cis.info

The SCO 2024 summit is currently being held in Kazakhstan and the 10 member countries are participating in the event. China is pushing for de-dollarization and is trying its best to convince other SCO countries to ditch the US dollar for trade. The Communist nation wants other developing countries to use local currencies for cross-border transactions and not the US dollar. Read here to know how many sectors in the US will be affected if SCO ditches the dollar for trade.

Also Read: BRICS: Start of De-Dollarization, 52% Trade in China Settled in Yuan

SCO is an abbreviation for Shanghai Cooperation Organization and was formed in 2001. The Eastern European country Belarus joined SCO in July 2024 and is now part of the grouping. Belarus was sanctioned by the European Union and therefore joined the SCO to protect its economy and promote local currencies and not the US dollar.

Also Read: China Advances De-Dollarization Agenda At the SCO 2024 Summit

SCO Summit 2024: 10 Countries Look To Trade in Local Currencies, Not US Dollar

SCO Leaders Summit
Source: RIA Novosti via Reuters

China is serious about the de-dollarization agenda and is discussing the prospects at every summit it attends. If China convinces the SCO to ditch the US dollar, 10 countries will fall in line and use local currencies. The 10 countries in SCO that could ditch the US dollar are Belarus, China, India, Iran, Kazakhstan, Kyrgyzstan, Pakistan, Russia, Tajikistan, and Uzbekistan. Russia and China are already in the process of de-dollarization.

Also Read: SCO Summit: India Doesn’t Want To Replace US Dollar With Chinese Yuan

However, India might be the only odd one out in the SCO as it might not agree to China’s demands. India wants to trade in the US dollar and reduce paying in the Chinese yuan for trade. The Modi government has already stopped buying oil from Russia at discounted prices because they demanded to pay in the Chinese yuan. India purchased US oil instead of paying in the dollar as it believes China is using alliances to further its global agenda against the US dollar.