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SCO Summit: China Aims to Consolidate Economic Leadership

Xi announces loans and investments of about $1.5 billion for the organization's partners

An increasingly united and united Russia and Asia, both economically and geopolitically. This is what is emerging from the SCO summit, which began today in Tianjin, China. The key objectives of the Shanghai Cooperation Organization meeting are, first and foremost, a rapprochement between China and India, a challenge to Western supremacy, a condemnation of the US and Israeli attacks on Iran and the Israeli genocide in Gaza, and a convergence of interests with other countries in the Global South.

Founded in 2001, the SCO includes China, India, Russia, Pakistan, Iran, Kazakhstan, Kyrgyzstan, Tajikistan, Uzbekistan, and Belarus, while it has consolidated close cooperation with 16 other countries. Among the latter, Turkey stands out, having sent President Recep Tayyip Erdogan to Tianjin. Erdogan, in addition to Presidents Vladimir Putin (Russia) and Xi Jinping (China), met with Armenian Prime Minister Nikol Pashinyan .

The summit marked the first bilateral talks. Chinese President Xi Jinping and Indian Prime Minister Narendra Modi took the first step toward thawing relations between their respective countries, following the dispute that emerged in 2025 over the Himalayan border. "It is essential to be friends, good neighbors, and for the 'dragon' and the 'elephant' to unite," Xi said, while Modi confirmed: "After the disengagement at the border, a climate of peace and stability has been created."

The Chinese president also met with his Belarusian counterpart Alexander Lukashenko , while the Indian prime minister held a lengthy meeting with Russian President Vladimir Putin , who even let him ride in his limousine. The meeting confirmed the good relations between the two countries, with India continuing to purchase Russian gas. Modi expressed his hope to Putin for a swift end to the conflict in Ukraine and for a "lasting peace."

Alongside geopolitical developments, economic cooperation stands out. Chinese President Xi Jinping announced increased investments and loans to SCO partner countries to strengthen "a larger regional security bloc" and "a new stage of high-quality development and cooperation." Xi then highlighted the 2 billion yuan ($275 million) in grants for 2025, which will be complemented by another $1.3 billion in loans to an interbank consortium over the next three years. China "has invested $84 billion in SCO countries and will support the participation of 10,000 students" in Beijing's "Luban" vocational training program.

The Chinese president hopes for aligning development strategies among SCO members, along with the promotion and implementation of the Belt and Road Initiative. Xi favors strengthening economic complementarity between partners by encouraging more developed markets so that trade relations can always be a win-win situation.

For his part, Chinese Vice Foreign Minister Liu Bin announced the imminent implementation of the "Tianjin Declaration" and "a ten-year development strategy," based on themes such as "neighborhood diplomacy, increased regional cooperation, institution-building, and countering transnational threats."

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EFA News - European Food Agency
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