Why In News?

In Bishkek, Kyrgyzstan, leaders of the Shanghai Cooperation Organisation (SCO) convened for the 26th SCO Summit under Kyrgyzstan's 2026 Presidency to advance Eurasian security, anti-terrorism efforts, and multimodal connectivity.

What is the Shanghai Cooperation Organisation (SCO)?

The SCO is a permanent intergovernmental political, economic, security, and defense organization spanning the Eurasian landmass.

Evolved from the "Shanghai Five" grouping (formed in 1996 between China, Russia, Kazakhstan, Kyrgyzstan, and Tajikistan to resolve post-Soviet border demarcation issues).

Formally established in June 2001 in Shanghai with the inclusion of Uzbekistan; the SCO Charter was signed in 2002 and entered into force in 2003.

Major Expansions:

  • India and Pakistan: Joined as full members in 2017 at the Astana Summit in Kazakhstan.

  • Iran: Admitted as the 9th full member in 2023 under India's SCO Presidency.

  • Belarus: Formally joined as the 10th full member in 2024 at the Astana Summit.

The "Shanghai Spirit": The core philosophy guiding the SCO, defined by mutual trust, mutual benefit, equality, mutual consultation, respect for cultural diversity, and pursuit of common development.

Objectives of the SCO

  • Regional Security & Stability: Maintaining peace across Central Asia and Eurasia.

  • Combating the "Three Evils": Eradicating terrorism, separatism, and extremism via joint intelligence and counter-terror operations.

  • Economic Cooperation: Fostering investments in energy, transport, telecom, agriculture, and digital payments.

  • Eurasian Connectivity: Linking landlocked Central Asian nations to ocean ports via transport corridors.

  • Cultural & Humanitarian Ties: Promoting people-to-people exchange, education, tourism, and traditional medicine.

SCO Institutions

  • Council of Heads of State (CHS): Supreme body; meets yearly to set priorities and adopt political declarations.

  • Council of Heads of Government (CHG): Meets yearly to approve budgets, economic strategies, and trade agreements.

  • Council of Ministers of Foreign Affairs (CFM): Prepares summit agendas and addresses regional and global crises.

  • Secretariat (Beijing): Main permanent executive organ, led by the Secretary-General.

  • Regional Anti-Terrorist Structure (RATS - Tashkent): Coordinates intelligence, tracks terrorist groups, and manages joint anti-terror drills.

Why is the SCO Important for India?

Strategic Bridge to Central Asia (Extended Neighbourhood): Reconnects India with resource-rich, landlocked Central Asian republics (Kazakhstan, Uzbekistan, Tajikistan, Kyrgyzstan), advancing India’s Connect Central Asia Policy.

Access to Critical Energy & Strategic Minerals: Central Asia supplies vital energy inputs, including uranium for civil nuclear reactors from Kazakhstan and Uzbekistan, as well as hydrocarbons from the Caspian basin.

Robust Multilateral Counter-Terrorism Mechanism: Provides India with access to the SCO-RATS database to counter cross-border terrorism, radicalization, narco-trafficking, and cyber-extremism emanating from Afghanistan and Pakistan.

Unlocking Alternative Eurasian Connectivity: Promotes the operationalization of the International North-South Transport Corridor (INSTC) and the integration of Iran's Chabahar Port to bypass Pakistani transit blockades.

Preserving Strategic Autonomy & Multi-Alignment: Enables India to maintain strong, independent diplomatic ties with Eurasian powers (Russia and Central Asia) while balancing partnerships with Western coalitions (like the Quad).

Stabilising Afghanistan: Engages through the SCO-Afghanistan Contact Group to prevent the resurgence of terror outfits (LeT, JeM, ISKP) and ensure regional peace.

What are India’s Major Interests in the SCO?

  • Security & Counter-Terrorism: Enforcing zero-tolerance for state-sponsored terror and curbing terror financing.

  • Non-Dollar Multilateral Trade: Promoting local currency settlements and UPI-like digital infrastructure.

  • Sovereignty & Borders: Ensuring regional connectivity projects respect national borders and sovereignty.

  • Cultural Heritage: Revitalizing Silk Route ties via initiatives like naming Varanasi as SCO Cultural Capital (2022–23).

  • Start-up & Innovation Leadership: Heading SCO working groups on startups, innovation, and traditional medicine.

What are the Major Challenges for India in the SCO?

Persistent India-China Border Standoffs: Ongoing military tensions along the Line of Actual Control (LAC) and strategic competition strain bilateral trust within the multilateral forum.

Principled Rejection of China’s Belt and Road Initiative (BRI): India is the only SCO member state that consistently refuses to endorse the BRI due to the China-Pakistan Economic Corridor (CPEC) violating Indian sovereignty in Pakistan-occupied Kashmir (PoK).

Pakistan’s Obstructive Bilateral Agenda: Pakistan’s persistent attempts to raise bilateral territorial disputes and sponsor cross-border proxy terror undermine collective security cooperation.

Diverging Strategic Alignments: The growing anti-Western axis between China, Russia, Iran, and Belarus clashes with India’s multi-aligned foreign policy and close economic partnerships with Western democracies.

Physical Land Connectivity Bottlenecks: Pakistan’s refusal to grant transit rights forces India to rely on complex sea-rail routes through the Persian Gulf and Iran.

What SCO Can Learn from ASEAN? 

ASEAN Consensus-Based Decision Architecture (Global Benchmark): The Association of Southeast Asian Nations (ASEAN) maintains institutional neutrality and economic integration amidst intense US-China rivalry by adhering strictly to consensus diplomacy and non-interference.

Way Forward For India

Deepen Bilateral Strategic Ties with Central Asian Republics (CARs): Institutionalize annual India-Central Asia summits and scale up credit lines for infrastructure, mining, and pharmaceutical manufacturing in Kazakhstan, Uzbekistan, and Kyrgyzstan.

Accelerate the Operationalisation of the INSTC & Chabahar Route: Expedite rail links connecting Chabahar to Zahedan and harmonize customs and digital documentation across INSTC member states.

Champion Reform and Modernisation of SCO Institutions: Advocate for making English an official working language of the SCO (alongside Russian and Chinese) to improve operational efficiency and administrative equity.

Strengthen Counter-Terror Intelligence Sharing in SCO-RATS: Propose binding international protocols within RATS to dismantle terrorist financing networks, crypto-hawala channels, and drone-based arms smuggling.

Promote Indian Digital Public Infrastructure (DPI) Rails: Export India's open-source digital architecture (Aadhaar, UPI, Open Network for Digital Commerce) to Central Asian partners to enhance financial inclusion and bilateral trade.

Maintain Resolute Strategic Autonomy & Issue-Based Coalition Building: Continue engaging constructively within the SCO to safeguard Eurasian security interests while rejecting unilateral hegemony and preserving freedom of foreign policy action.

Conclusion

India’s active engagement in the Shanghai Cooperation Organisation reinforces its strategic autonomy, secures its Eurasian energy and security interests, and strengthens multi-aligned diplomacy in an evolving multipolar world.

Source: DDINDIA

PRACTICE QUESTION

Q. "The Shanghai Cooperation Organisation (SCO) presents India with a delicate diplomatic paradox: an indispensable platform for Central Asian security and energy access, yet increasingly constrained by Chinese dominance and anti-Western rhetoric." Discuss (15 Marks, 250 Words)