Tianjin (CHINA), Sep 1: Chinese Foreign Minister Wang Yi on Monday announced that the Shanghai Cooperation Organisation (SCO) member states have decided to set up a Development Bank to increase the efficiency and social development of the region.
The approval to set up the bank, a Chinese proposal, came after 10 years of deliberations among the member countries, Wang said.
He added that the new bank will increase the efficiency and social development of the region. He, however, did not indicate any timeline to set up the bank.
The SCO will launch this important process, and there will be one more multilateral platform in the EuroAsian region, he said.
It is a good thing to celebrate not only for the member states but also for our region, Wang said.
Chinese President Xi Jinping, in his inaugural address earlier, urged SCO member states to accelerate the creation of a development bank, considering the growing appeal of the 10-nation bloc.
China had been pushing the grouping to set up a development bank on the lines of the New Development Bank (NDB) of the BRICS and the Asian Investment Infrastructure Bank (AIIB), in which India is the second largest shareholder. Both banks, based in China, which were initially regarded as competitors to the IMF, World Bank and the Asian Development Bank (ADB), are now working with them with a co-financing pattern.
Wang said SCO has also approved the admission of Lao as a new SCO partner.
Also, the summit has decided to merge the observer states and dialogue partners into one unified state as the SCO partner. This is aimed at improving the efficiency of the organisation, he said.
Founded in 2001, the SCO now includes Russia, Kazakhstan, Kyrgyzstan, China, Tajikistan, Uzbekistan, India, Pakistan, Iran and Belarus. Afghanistan and Mongolia are observer states, and 14 other countries serve as dialogue partners. (PTI)
