Shanghai India and Pakistan are accepted as permanent members.

   Shanghai Cooperation Organization is the organization
which from the first days of the activity positions as the open and balanced
international organization. Today the whole world faces a set of calls and
threats in political, economic, military spheres. Formation and strengthening
of good neighbourhood with bordering states becomes the vital factor of the
international relations. In this regard participation of the countries in the
Shanghai Cooperation Organization is of particular importance. The purposes of
SCO remain invariable, and simple, they are stability and development on space
of state members of the organization. Steady following to these purposes
allowed SCO to make a powerful contribution to stabilization of a situation on
the Eurasian continent, having confirmed the simple truth “to resist to
new calls and threats the world community can only together”1.

  Besides the sphere of security, SCO pays
special attention to the sphere of economy for strengthening of cooperation
between the countries – members of SCO. From the economic point of view the
general attractive aspect for all applicant countries on membership in SCO is
the aspiration to develop and strengthen cooperation in power industry.

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  Is Shanghai
Cooperation Organization guarantee of stability of the region any more?

   SCO attaches particular importance to
interaction in the sphere of safety. It is known that after formation of this
organization, the mechanism of cooperation in fight was against three forces of
evil as extremism, separatism and terrorism and also with drugs and cross-border
organized crime as the main goal. Owing to joint anti-terrorist exercises are
regularly staged, active efforts for settlement of a situation in hot spots are
made that allowed to protect effectively safety and stability in the region.

   On June 9, 2017 in the capital city of
Kazakhstan took place the historical summit, then the Shanghai Cooperation
Organization entered a new stage of the institutional development as “The
Shanghai eight”2.
Really, the structure of the organization created in Shanghai which was founded
by China, Russia, Kazakhstan, Tajikistan, Kyrgyzstan and Uzbekistan already
more than fifteen years ago is for the first time expanded. And as it is
expanded! In its ranks – at their request – two powerful nuclear powers of Asia
– India and Pakistan are accepted as permanent members. As a result, SCO
includes four nuclear powers.

  It is hardly possible that India and Pakistan
which are in a situation of conflict to this day, after the accession to SCO
will increase capacity of the organization. The symbolical weight of the
organization grew, but there is fear that the real efficiency of activity of
SCO will fall. Let’s give several
facts about minuses of the entry of India and Pakistan into SCO according to Associate
professor of faculty of worldwide policy at Lomonosov Moscow State University
Alexey Fenenko. According to him we
distinguish two serious problems which can become a base cause of destruction
of SCO. First, the problem of Kashmir is a critical question of strife of the
Indo-Pakistani conflict. Concerns of the countries founders of SCO are caused
by a possibility that India and Pakistan will introduce the bilateral
disagreements in the Organization that considerably will complicate
possibilities of its functioning. The answer to this call it is possible to
find possible desire of all participants to normalize the Indian-Pakistani
relations. It is important to focus on addition of values in the general
moneybox of SCO, on search of joint interests especially as in to the sphere of
economy and safety in Central and Southern Asia they substantially coincide. The
second one is India and China still have unresolved boundary problems. Here are on the one hand being the
border in Tibet, and a problem of two adjacent countries — Nepal and Bhutan,
there too is very serious contradictions. China has boundary contradictions
with Bhutan, and India has the agreement on its protection3.
these key questions promote emergence of doubts in relation to stability of
maintaining safety in the territory of the countries – participants of SCO.

     Is
it Cooperation or Soft Power of China?

  In economic terms energy constitutes the main
basis of cooperation. China needs energy to feed its giant economy, on the
other hand energy rich members of the SCO such as Russia, Kazakhstan and to
some extent Uzbekistan needs to sell their energy. Consequently SCO creates the
forum for energy rich and energy demanding states. On the other hand, its increasing
dialogue within SCO, trade volume between members is increasing gradually
although there are still some problems. Besides energy issue, Central Asia
constitutes the western gate of China in the historical “Silk Road” to
economically developed Western markets. As an economy oriented state, China
needs to sell commodities that it has manufactured and developing countries of
Central Asia, just in the other side of the border, constitutes great market
for them. Central Asia is located in the middle of two important economically
important regions; China and Europe. Therefore, Central Asia is the region that
bounds China to European markets. As it can be seen Central Asia is vital for
China in terms of increasing its commercial ties both with Europe and newly
independent states in the region4.
Central Asia is not only important for Beijing because of energy and commerce
but also this region is important in terms of territorial integrity of China.

   In the concept of Chinese “soft
power” it is possible to allocate three main directions. The first of them
is carrying out the security policy directed to prevention of aggravation of an
international situation. According to it China seeks to separate from any
military conflicts if they do not infringe directly on its territorial
interests, as in case of Taiwan or islands in the South China Sea. The second
direction is relief action in economic and social area, health care, education,
the humanitarian sphere. Unlike the West, Beijing at the same time does not
connect assistance with political and ideological affairs. The third direction
are actually the actions of cultural character designed to show all to the
world modern achievements of the People’s Republic of China.

The following factors
prove attempts of China to extend influence within Shanghai Cooperation
Organization:

-every year extent of
influence of the Chinese economy on economy of neighboring states is increasing.
China actively carries out trade and investment activities, takes part in
implementation of energy and transport projects within SCO. In 2008 China
granted soft loans of 900 million US dollars for investment projects within
SCO;

– China actively uses
soft power for providing sources of power branch too. The cause is that in the
territory of the countries of SCO about 25% of world reserves of oil, more than
50% of world gas reserves, 35% of coal, about a half of world explored reserves
of uranium are concentrated5.

   Shanghai Cooperation Organization as the kernel of implementation of an
initiative “the Silk Road Economic belt”

    About the role of SCO in implementation of the
huge project it is possible to judge as follows:

-firstly, there is a probability that the concept of creation of “the
Silk Road Economic Belt” will become the catalyst of multilateral economic
cooperation of the states of SCO and to be carried out under the auspices of
this Organization. It would allow to concentrate the greatest number of
resources and also to stimulate economic development of the states of Central
Asia without intervention of extraregional forces;

-secondly, the concept is designed to promote geopolitical interests of
its participants. It is not by accident that the states, participating in the
Shanghai Cooperation organization of the state, or consisting in it as
observers (Iran and etc.) are attracted to it.

  The initiative of joint
construction of “one belt and one way” is aimed at assistance of the
free, ordered movement of economic factors, effective distribution of resources
and deepening of the market integration, on encouragement of coordination of
economic policy of the countries along routes of “one belt and one road”,
expansion and deepening of regional cooperation, on joint by efforts formation
of the open, inclusive and balanced architecture regional cooperation, within
similar architecture of partnership all have advantage and opportunities of
sustainable development.

   In these moments we can note
that practically all states which, from the point of view of China, have to be
connected to the project of  the SREB are
included into SCO, – the organization which deals with the questions which are
brought up by Xi Jinping. Not accidentally already on November 29, in a
half-month after the SREB project presentation, the Shanghai Cooperation
Organization was engaged concrete study of the program of “an economic
belt” on the 13th a meeting of heads of governments of member countries
where  were discussed various aspects of
transport cooperation6.

    The joining of Pakistan to the
SCO gives great opportunities and actively develops economic cooperation with
China. China actively invests in infrastructure in the territory of Pakistan.
It is remarkable if to look on an initiative “At one belt — one way”,
for all years of existence of this idea huge Chinese investments are connected
with Pakistan. There is couple of projects of Russia, but today the largest
investment projects in which the Fund of the Silk way is engaged, are connected
with Pakistan7.

  Realization of strategy of the
Economic belt of the Silk way will allow to reduce a share of unrealized
commodity turnover of China with camps – members of SCO by 2020 by 3,56% – from
8,89% to 5,33%8.

 Conclusion

   The lack of regional integration in Central Asia as it is
represented, in many respects is defined by a prevalence at the Central Asian
countries of short-term tightly national interests over vision of strategic
prospects of multilateral cooperation. In many respects this state of affairs
is connected with unavailability of the countries of the region to recognize
importance of supranational structures for integration development. The
aggravated feeling of national sovereignty in many respects interferes with
vision of multilateral cooperation as situations, advantageous for all parties.
Moreover, the Central Asian countries working it is separate, try to pursue
active policy of balancing between the main world and regional centers of
force.

   Among SCO countries besides
common problems, there are such questions as a lack of cooperation between the
countries – participants. For example, regional integration which would promote
increase in level of communication between the countries is interfered by what
Russia and China – natural leaders of SCO, – to put it mildly, pay not enough
attention to real economic strengthening of this organization where transport
and communications could occupy a worthy niche and provide steady functioning
of all branches of economies (and not just raw as today). As a result,
cooperation of China and Russia with the countries of Central Asia is carried
out mainly on a bilateral basis now, is focused in many respects on the oil and
gas sphere and the pipeline transport serving it. Numerous initiatives on
rehabilitation and development of uniform transport space of Central Asia, in
general economic integration, including within SCO remain low-productive so far
and go generally in line with political and propaganda rhetoric.

  SCO has been affected by needs
and policies of China and it has acted as a very beneficial instrument for
Beijing in its policies towards Central Asia. It can be said that China is the
most beneficiary member of the organization in comparison with other members.
Even name of the organization and location of secretariat are the indicators of
importance of the organization for China. Beijing has gained important benefits
through organization both in political, security and economical fields. SCO is
the main instrument of China in the West which gives suitable atmosphere to
China in order to realize their targets. All in all, SCO is a beneficial instrument
for China today, it is a question mark if it can continue its importance in the
future.

SCO cannot be a powerful and solid instrument for China if Beijing puts
new goals to its foreign policy. It can be foreseen that Beijing will look for
a greater influence in world politics in global level when it will complete its
economical a military evolution. In this case, SCO cannot play global role and
answer demands of China, because of internal problems of the organization. Attitude
of Russia in case China becomes a global power is unknown. Therefore, SCO is a beneficiary
tool for existing foreign policy goals and have made great contributions,
however it is not suitable for further moves.

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