The 24th SCO Summit took place in Astana on July 3rd and 4th of this year. This SCO summit is a very important event, as it aims at improving regional cooperation. The Shangai Cooperation Organization Summit’s most important action was the adoption of the Astana Declaration. This declaration was designed to improve the economic and security collaboration among its member states.
President Kassym-Jomart Tokayev of Kazakhstan also made a statement on the importance of the summit:
“We expect strategically important decisions to be taken to improve the SCO further. The main areas of interaction for the medium term will be defined, and initiatives will be developed for an adequate and timely response to current challenges and threats.”
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Financial Implications of the SCO Summit’s Astana Agreement
Key Economic Outcomes
The SCO Summit in Astana had some great economic outcomes. The member states Adopted the Astana Declaration and approved 25 strategic documents covering trade, finance, and energy cooperation.
Kazakhstan has evidentiated the goal of this summit by proposing a very interesting idea: “On World Unity for a Just Peace, Harmony and Development.” This statement aims at global economic stability.
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Economic Cooperation Strategies
Central to the summit’s economic agenda was the development of the Association of Investors, which is designed to deal with cross-border investments in the SECO region. This mechanism is expected to improve economic integration and also create new investment opportunities.
If we consider the fact that the SCO represents 40% of the world’s population, and contributes $23 trillion to the global GDP, we can conclude that the impact of the member states is significant.
Furthermore, an optimized cooperation agreement could create large economic growth. For example, Kazakhstan’s turnover with SCO countries has been boosted by 56.5% in only five years. It has reached $66 billion.
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Future Economic Directions
The SCO create a long-term development strategy until 2035, covering collective economic goals and specially designed frameworks. I love the fact that the SCO understood that the only way to a brighter future is to plan for it.
The Astana Declaration states:
“Member states underscored the SCO’s role in bolstering global peace, security, and stability and shaping a new democratic, equitable international political and economic order, inviting the global community to join the initiative.”
The SCO Summit in Astana and the Astana Declaration mark a very important moment in the history of the world. The same can be said in terms of regional cooperation.
By focusing on investment opportunities, economic integration, and long-term strategies, the SCO will certainly play an important role in the global economic theater.
China has also assumed the chairmanship of SCO, which is expected to bring a new perspective on economic initiatives for the members.