Shanghai Cooperation Organisation (SCO) – Members, Structure, India’s Role | UPSC Notes

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Shanghai Cooperation Organisation (SCO)

The Shanghai Cooperation Organisation (SCO) is a Eurasian political, economic and international security organization of ten member states.

Basic Facts

  • Founded: 2001 (Shanghai, China).
  • Origin: Successor to “Shanghai Five” (formed in 1996 between China, Kazakhstan, Kyrgyzstan, Russia, and Tajikistan).
    • The Shanghai Five group was formed on 26 April 1996 with the signing of the Treaty on Deepening Military Trust in Border Regions. 
    • 2001: After adding Uzbekistan in 2001, the Shanghai Five was renamed the SCO
  • Members: 10 
    • China, Russia, Kazakhstan, Kyrgyzstan, Tajikistan, Uzbekistan (joined 2001).
    • India & Pakistan (joined 2017, Astana Summit).
    • Iran (joined 2023).
    • Belarus( joined 2024).

Members(Other than Permanent Members)

  • 2 Observer states – the Islamic Republic of Afghanistan, Mongolia;
  • 14 Dialogue Partners – the Republic of Azerbaijan, the Republic of Armenia, the Kingdom of Bahrain, the Arab Republic of Egypt, the Kingdom of Cambodia, the State of Qatar, the State of Kuwait, the Republic of Maldives, the Republic of the Union of Myanmar, the Federal Democratic Republic of Nepal, the United Arab Emirates, the Kingdom of Saudi Arabia, the Republic of Turkey, the Democratic Socialist Republic of Sri Lanka.

  • Secretariat HQ: Beijing, China.
  • The SCO is governed by the Heads of State Council (HSC), its supreme decision-making body, which meets once a year. 
  • Regional Anti-Terrorist Structure (RATS): Tashkent, Uzbekistan.
  • Official languages: Russian & Chinese.
  • The Chairmanship of SCO is by rotation for a year by Member States.

SCO Charter

  • In 2002, the Charter of the Shanghai Cooperation Organization was signed at the meeting of the Council of Heads of States in St. Petersburg, which entered into force on September 19, 2003. 
  • It is a statute that stipulates the goals, principles, structure and major areas of activities of the organization.

Goals

The goals of the SCO are:

  • to strengthen mutual trust, friendship and good-neighborliness between the Member States;
  • to encourage the effective cooperation between the Member States in such spheres as politics, trade, economy, science and technology, culture, education, energy, transport, tourism, environmental protection, etc;
  • to jointly ensure and maintain peace, security and stability in the region; and
  • to promote a new democratic, fair and rational international political and economic international order.

Internally, the SCO adheres to the “Shanghai spirit”, namely, mutual trust, mutual benefit, equality, consultation, respect for diversity of civilizations and pursuit of common development; and externally, it upholds non-alignment, non-targeting at other countries or regions and the principle of openness.

Key Mechanisms & Structure

Council of Heads of States (CHS)

  • The Heads of State Council (HSC) is the highest decision-making body in the SCO. It meets once every year to take decisions and give instructions on all important issues regarding SCO activity.

The Council of Heads of Government (Prime Ministers) (CHG) 

  • It meets once a year to discuss the strategy of multilateral cooperation and priority areas within the Organization, determine fundamental and topical issues in economic and other spheres, and approve the budget of the SCO.

The Council of Ministers of Foreign Affairs

  • The Council of Ministers of Foreign Affairs considers issues related to day-to-today activities of the Organisation, preparation of meetings of the Heads of State Council and holding of consultations on international problems within the Organisation. 
  • The Council may, as appropriate, make statements on behalf of SCO.

 Secretariat:

  • The Secretariat of the SCO is the primary executive body of the organization. 
  • It serves to implement organizational decisions and decrees, documents (such as declarations and agendas), functions as a document depository for the organization, arranges specific activities within the SCO framework, and promotes and disseminates information about the SCO.
  •  It is located in Beijing. 
  • Each Member State has a Permanent Representative to the SCO

Regional Anti-Terrorist Structure (RATS):

  • It is  headquartered in Tashkent, Uzbekistan
  • It is a permanent organ of the SCO which serves to promote cooperation of member states against terrorism, separatism and extremism. 
  • Each member state also sends a permanent representative to RATS

The SCO Secretary General and the Director of the RATS Executive Committee are appointed by the CHS for a three-year term.

SCO has two Permanent Bodies – (i) SCO Secretariat in Beijing and (ii) Executive Committee of the Regional Anti-Terrorist Structure (RATS) in Tashkent.


SCO Business Council:

  • The Business Council of the Shanghai Cooperation Organisation was founded on June 14, 2006 in Shanghai. 
  • It is a nongovernment entity that unites the highly authoritative business community representatives of the SCO member states with an eye towards expanding economic cooperation, establishing direct relations and a dialogue between the business and financial communities, and facilitating the practical promotion of multilateral projects.
  • The SCO Business Council is an independent institution capable of taking advisory decisions and giving expert assessments regarding the involvement of members of the business communities of the SCO member states in trade, economic and investment interaction within the framework of the Organisation.
  • Annual Session is the highest body of the Business Council that sets priorities and formulates the primary targets for its activity and decides on important issues concerning links with business associations from other states.
  • The SCO Business Council’s Permanent Secretariat is headquartered in Moscow.

SCO Interbank Consortium:

  • The SCO Interbank Consortium (SCO IBC) was established by the Council of Heads of Government on 26 October 2005 to provide funding and bank services for investment projects sponsored by the governments of the SCO member states. 
  • The SCO IBC Council meets ad hoc upon the consensus of all of the parties at least once per year. 
  • The Presidency of the Council is carried out on a rotational basis.
  • The members of the SCO IBC are 
    • The Development Bank of Kazakhstan
    • The State Development Bank of China
    • The Settlement & Savings Company of the Kyrgyz Republic “RSK Bank”
    • The Bank for Development and Foreign Economic Affairs of the Russian Federation “Vnesheconombank”
    • The State Savings Bank of the Republic of Tajikistan “Amonatbonk”
    • The National Bank for Foreign Economic Activity of the Republic of Uzbekistan

The Council of National Coordinators 

  • It is the SCO coordination mechanism.
  • Key body coordinating and managing the SCO’s current activities.
  • Conducts the necessary preparations for the meetings of the Council of Heads of State, the Council of Heads of Government, and the Council of Foreign Ministers

India and SCO

  • India was granted Observer status at the July 2005 Astana Summit, and subsequently participated in all SCO forums open to Observers.
  • India formally submitted an application for full membership to the then SCO Chair, Tajikistan, prior to the SCO Summit in Dushanbe in September 2014. 
  • Thereafter, the next SCO Summit in July 2015 in Ufa (Russia), declared the initiation of the process of accession of India’s (and Pakistan’s) full membership in SCO. 
  • India was granted the status of full member (along with Pakistan) on June 9, 2017 at the SCO Summit in Astana, Kazakhstan.

SCO & Other Bodies

  • The SCO has established relations with the United Nations in 2004 (where it is an observer in the General Assembly), Commonwealth of Independent States in 2005, Association of Southeast Asian Nations (ASEAN) in 2005, the Collective Security Treaty Organization in 2007, the Economic Cooperation Organization in 2007, the United Nations Office on Drugs and Crime in 2011, the Conference on Interaction and ConfidenceBuilding Measures in Asia (CICA) in 2014, and the United Nations Economic and Social Commission for Asia and the Pacific in 2015 (ESCAP), United Nations Educational Scientific and Cultural Organisation (UNESCO) in 2018.

FAQs 

1. What is the Shanghai Cooperation Organisation (SCO)?

The SCO is a Eurasian political, economic, and security alliance founded in 2001. It is the successor of the Shanghai Five and aims to foster regional cooperation and combat threats like terrorism.

2. Where is the SCO Secretariat located?

The SCO Secretariat is headquartered in Beijing, China. It functions as the executive body of the organization.

3. Who are the permanent members of the SCO?

As of 2024, SCO has 10 member countries: China, Russia, Kazakhstan, Kyrgyzstan, Tajikistan, Uzbekistan, India, Pakistan, Iran, and Belarus.

4. What are the official languages of the SCO?

The official languages of the SCO are Russian and Chinese.

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