Regional Politics in Economic Perspective: A Case Study of Shanghai Cooperation Organization

Abstract

This modern world cannot be encountered alone; therefore, states are preferring to involve in regional blocs. This is the century of trade and commerce. This is the era of economic development. It is due to regionalism in politics that SCO formed in the last decade of the 20th century with the initial name of Shanghai five with the purpose of the economic integration of Central Asian Republics. CARs were facing serious economic depression, and ethnic diversity in these states made the situation worse. Islamic fundamentalism was also posing a challenge to the ruling authorities in this whole region. On the other hand, the US wants to access the energy recourses of Central Asia. Although SCO members have a common interest in the exploitation of energy resources, expansion and improvement of transportation, expansion of trade links will move further towards the formation of a common economic market.