Ushering Towards Trade Integration: Capitalizing on the SCO Opportunity
Shoukat Ali Randhawa
ISLAMABAD: The recent Shanghai Cooperation Organisation (SCO) summit was a significant milestone for the current government. Despite the prevailing political turbulence, the summit proceeded smoothly, showcasing the government’s ability to manage such high-profile events effectively.
Successful Execution of the SCO Summit
The smooth execution of the SCO summit, held in Islamabad on October 15-16, 2023, is a testament to the government’s organizational capabilities. The event, chaired by Pakistan’s Prime Minister, covered a comprehensive range of subjects under the SCO’s mandate, including cultural, humanitarian, trade, economic, political, and diplomatic cooperation.
Regional Cooperation Through SCO
Established in 2001, the SCO now includes 26 countries: 10 members, 2 observers, and 14 dialogue partners. This extensive network offers a platform for regional integration, particularly in trade. The summit emphasized the importance of using regional potential and international collaboration to foster an inclusive and equitable multilateral trading system, adhering to World Trade Organization (WTO) principles.
Exploring Other Regional Platforms
CAREC: Central Asia Regional Economic Cooperation
Launched in 2001, CAREC is a partnership of 11 countries aimed at promoting regional development through cooperation. Pakistan, a member since 2010, actively participates in CAREC initiatives, which align with the vision of “Good Neighbours, Good Partners, and Good Prospects.”
BRICS: Emerging Economic Powerhouse
BRICS, comprising Brazil, Russia, India, China, and South Africa, aims to counter the economic dominance of the developed North. Pakistan aspires to join BRICS, and recent SCO summit discussions suggest that Russia and India may support this bid. Diplomatic efforts are crucial to advancing this objective.
SAARC: Potential Yet Unrealized
The South Asian Association for Regional Cooperation (SAARC), formed in 1987, has struggled to make significant progress due to strained relations between its major members. Revitalizing SAARC, particularly in trade and commerce, is essential for regional economic growth.
Leveraging Pakistan’s Diplomatic and Technocratic Expertise
Pakistan possesses considerable diplomatic and technocratic expertise, which, if harnessed effectively, can significantly advance its economic and trade interests. The country has played a leading role in multilateral trade negotiations under the WTO, contributing to discussions on agriculture, intellectual property rights, and services.
Strategic Use of SCO for Economic Integration
The recent SCO summit presents an opportunity for Pakistan to enhance its regional trade integration efforts. Key ministries, including Foreign Affairs, Commerce, and Climate Change, should collaborate with agencies like TDAP and PEPA to develop a strategic action plan. Support from Planning and Finance ministries, along with non-governmental organizations, is also vital.
Political Cooperation for Economic Stability
Political cooperation is essential for economic stability. Both government and opposition must work together in the national interest. The opposition should avoid undermining economic achievements, while the government should strive to include opposition in mainstream national affairs.
FAQs
1. What is the SCO and why is it important for Pakistan?
The Shanghai Cooperation Organisation (SCO) is a regional intergovernmental organization focused on political, economic, and security-related cooperation. It provides Pakistan with a platform for enhancing regional trade integration and economic collaboration.
2. How can Pakistan benefit from CAREC?
CAREC promotes regional cooperation for accelerated economic growth and poverty reduction. Pakistan can leverage CAREC initiatives to enhance trade and economic ties with Central Asian countries.
3. What are Pakistan’s prospects of joining BRICS?
Pakistan aspires to join BRICS to strengthen its economic position. Recent discussions suggest that Russia and India may support Pakistan’s bid, but diplomatic efforts are crucial for progress.
4. What challenges does SAARC face in achieving economic integration?
SAARC’s progress is hindered by strained relations between its major members, particularly India and Pakistan. Revitalizing SAARC requires addressing these political challenges to foster regional economic cooperation.
5. How can political cooperation enhance economic stability in Pakistan?
Political cooperation between government and opposition can lead to a stable economic environment. Collaborative efforts can help implement effective economic policies, attract investment, and promote sustainable growth.
Conclusion
Capitalizing on the SCO summit’s success requires a strategic approach to regional integration and trade cooperation. Pakistan’s diplomatic and technocratic expertise, combined with political cooperation, can drive economic stability and growth. By leveraging platforms like SCO, CAREC, and BRICS, Pakistan can enhance its regional and global economic standing.
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