Fresh blood in SCO as Iran joins Eastern bloc
By Javad Mohammad Ali
Staff writer
Iran’s recent inclusion in the Shanghai Cooperation Organization (SCO) marks a historic milestone for the Islamic Republic, opening up new avenues to strengthen its economy and shape its foreign policy. By aligning with the SCO, Iran strategically prioritizes its relations with Eastern powerhouses – Russia, China and India – in an effort to mitigate the impact of US sanctions and establish regional partnerships as alternatives to Western counterparts. One of the key benefits of Iran’s SCO membership lies in the economic sphere. The Islamic Republic aims to enhance its energy sector, particularly oil sales, by fostering collaborations with other SCO member states. By leveraging its SCO attachment, Iran envisions transforming into a pivotal energy hub in the region, attracting foreign investments and improving its oil and gas infrastructure. This move not only bolsters its economic structures but also augments its competitive position.
Moreover, the SCO’s emphasis on economic cooperation, under China’s leadership, gives Iran opportunities to reduce its reliance on the US dollar in global trade.
By facilitating economic exchanges that minimize dollar dependency, the SCO can help shield Iran from the impact of sanctions and provide a platform for diversifying its trade partnerships.
Javad Mansouri, former Iranian ambassador to China, has said that Iran has proposed the creation of a unified currency within the SCO to break the monopoly of the US dollar in global trade and counter the repercussions of banking sanctions and SWIFT measures.
Iran’s permanent membership in the SCO also carries significant political implications, particularly in relation to Western nations, notably the United States. With the SCO being dubbed the “NATO of the East,” the organization’s collaborative nature and sensitivity to regional concerns are highlighted. Iran’s inclusion further enhances the capabilities of the SCO and sends a strong political message to Western nations about the growing influence of the organization and its member states.
The affirmation of Iran’s accession to the SCO signifies a political stride, showcasing the member nations’ willingness to deepen interactions with Iran. By participating in the SCO, Iran elevates its international stature, placing itself on a global scale. Furthermore, Iran’s presence in the SCO creates an environment conducive to open dialogue and engagement, reinforcing its commitment to pursuing a multilateral approach in its foreign policy.
Iran’s SCO membership can serve as a stepping stone for its potential involvement in other regional and international institutions such as BRICS.