SCO Summit in a Shifting World: Pragmatism Amid Turbulence
By
Qaiser Nawab, Chairman BRISD
The 25th Heads of State Council meeting of the Shanghai Cooperation Organisation (SCO) convenes in Tianjin from August 31 to September 1, marking a critical moment in Eurasian diplomacy. With more than 20 world leaders and delegations from 10 international organizations in attendance, this summit comes at a time of deepening global uncertainty and a pronounced shift towards multipolarity.
The summit’s optics are striking. China, India, and Russia — the so-called RIC troika — are expected to engage in high-level dialogue, signaling a renewed willingness to coordinate on regional and global issues. For Russia, represented by President Vladimir Putin, this platform offers a means to counter diplomatic isolation and consolidate economic ties with China while navigating the impact of sustained Western sanctions.
India’s participation, led by Prime Minister Narendra Modi, reflects both pragmatism and caution. After years of strained relations with China, a tentative thaw has emerged through trade recalibration, border de-escalation measures, and the restoration of direct flights. Yet India remains wary of being drawn into any overt anti-Western alignment. The Tianjin meeting provides an opportunity for New Delhi to balance its strategic autonomy with its growing economic interests in Eurasia.
The SCO has gradually evolved into a substantive stabilizer in Eurasia, relying less on formal institutional power and more on functional cooperation. Its Regional Anti-Terrorist Structure (RATS) continues to deliver tangible outcomes in combating terrorism, extremism and narcotics trafficking. These successes have bolstered the bloc’s credibility as a security partner at a time when conventional alliances are under stress.
The choice of Tianjin — a hub of industrial modernization and global trade — underscores the SCO’s economic priorities. This year has been declared the SCO Year of Sustainable Development, signaling a collective shift towards green growth, digital infrastructure, and inclusive economic recovery. Leaders are expected to endorse a new ten-year development strategy aimed at deepening trade links, harmonizing customs frameworks, and creating mechanisms for pooled funding to strengthen institutional depth and resilience.
Financial cooperation is another pillar gaining momentum. China’s promotion of yuan-based digital payment systems and pilot projects for cross-border settlements is drawing interest from members seeking to insulate themselves from currency volatility and unilateral sanctions. While proposals for an SCO Development Bank and an expanded interbank consortium have progressed slowly, they reflect a shared ambition to gradually reduce reliance on the U.S. dollar without provoking open confrontation. This quiet financial experimentation could lay the groundwork for a more autonomous regional trading system.
The SCO has also emerged as an important forum for amplifying the voice of the Global South. In a world of intensifying geopolitical rivalry, the absence of Western participation highlights its character as a platform for dialogue outside traditional power blocs. For many member states, the organisation provides a way to safeguard sovereignty, pursue development goals, and balance relations with both East and West. Analysts note that the SCO functions less as an ideological alliance and more as a pragmatic forum where diverse actors — from sanction-hit economies to reformist emerging markets — can coordinate policy and manage disputes. At the same time, Western critics often portray the bloc as a challenge to existing power structures, sometimes overstating its cohesion by casting it as an “axis of upheaval.” Such interpretations rarely account for the deep divergences that persist among members, particularly between India and China, or India and Pakistan.
The SCO’s foundational ethos, the “Shanghai Spirit,” emphasizes mutual trust, equality, respect for diversity, and shared benefit. Chinese diplomacy has recently renewed calls to strengthen these principles through a five-point plan for deeper cooperation. This vision complements practical measures such as enhanced transport links, regional trade corridors, and security dialogues that allow even historical rivals to engage constructively.
Connectivity initiatives — including the integration of ports, industrial zones, and overland corridors — demonstrate the organisation’s ability to translate political dialogue into developmental outcomes. These projects enhance energy flows, improve market access, and foster investment opportunities, providing tangible incentives for cooperation. Such incremental successes serve as a reminder that the SCO’s strength lies in pragmatism rather than ideological posturing.
The Tianjin summit comes at a time when the international system is defined by shifting alliances, economic fragmentation, and rising global fault lines. The SCO is not a geopolitical crusader, nor does it aspire to function as a formal counterweight to Western institutions. Rather, it acts as a diplomatic stabilizer — a platform for managing complexity rather than masking it. The agenda in Tianjin reflects a commitment to security, sustainable development and financial resilience, coupled with a clear ambition to evolve from a consultative “talk shop” into a more results-oriented institution.
Yet challenges remain. Internal rivalries limit cohesion. Divergent economic priorities — between rapidly growing economies seeking open trade and sanction-hit members seeking protection — also test consensus. Even so, the SCO has shown an ability to endure and adapt by focusing on functional cooperation over sweeping political agendas. Its incremental approach, though often understated, has allowed it to avoid paralysis and maintain credibility.
As the leaders gather in Tianjin, the SCO appears poised to play a more assertive role in shaping a multipolar order. It’s quiet, pragmatic diplomacy — grounded in security cooperation, economic connectivity, and cultural understanding — offers an alternative path for regional stability in a world increasingly defined by turbulence. The summit’s outcomes are unlikely to produce dramatic headlines, but they may signal steady progress towards a model of cooperation that privileges practical solutions over ideological confrontation.
In a turbulent era, the SCO represents a forum where complex realities can be managed without forcing members into rigid camps. Whether discussing counterterrorism, trade, energy, or financial reform, its relevance lies in its ability to keep dialogue open when global divisions are sharpening elsewhere. The Tianjin summit may not rewrite the rules of the international order, but it will reinforce a crucial message: in a fragmented world, incremental cooperation still matters.
