The unstable situation in the world dictates the urgent need for countries to find new partners and support. In a situation where economic and political instability has become hypothetical, the creation of alliances has become an indispensable condition for survival. The associations of the SCO and the BRICS, the decipherment of which will be given below, work with the same goal - the creation of a balance of power in the world.
The era of integration
The 21st century is considered to be the era of integration and unification. That is why the associations of the SCO and the BRICS have entered into a struggle for the balance of power in the world. The Shanghai Cooperation Organization, or SCO, has nothing to do with NATO or with ASEAN, a regular security meeting. Coalition belongs to an intermediate position. A certain Eurasian space is being formed, which intends to actively defend its interests before the West. America keeps its hand on the pulse and is actively engaged in several alliances at the same time:
- Transatlantic trade association.
- The trans-Pacific trade pact between Asia and America.
Russia and China are left out. And if we take into account aggressive sanctions against Russia on the part of the West, then the significance of the SCO acquires a completely different meaning. The role of BRICS in the world economy is no less justified.
The role of the SCO and the BRICS
The SCO structure includes Russia and China, Kazakhstan and Kyrgyzstan, Tajikistan and Uzbekistan. In the near future, the tandem is planned to be replenished by India and Pakistan. According to the Russian government, it is this association that will allow solving a number of topical domestic problems. The representation of China is perfectly aware of the situation in the country, since it itself is experiencing inconveniences because of sanctions from America and Europe. The restrictions imposed in 1989 were only partially lifted.
The BRICS goal, which includes Russia and China, Brazil and India, South Africa, is moving forward. The abbreviation is formed from the English abbreviation BRICS - the first letters of the grouping states (Brazil, Russia, India, China, South Africa). The economic potential of these countries is very high, since they own half of world production. On the dominance of the world market, according to representatives of organizations, it does not go. The issue of associations affects only the topic of complete independence from Europe and America.
The forecasters say that in the near future the SCO and the BRICS, the decoding of which is given above, will significantly push the world economic elite due to rich natural resources, a strong production base and developed agriculture. It's also worth adding a good intellectual potential.
The Shanghai Cooperation Organization is governed by the Council of Heads of State, which it includes. Any decisions are taken within the framework of summits held annually in the territory of one of the member countries of the association. This year, the SCO summit and BRICS will be held in June in Ufa. The conference will discuss issues of multilateral cooperation. The council plans to approve the budget and establish relations with other international associations. The executive body of the association is the secretariat. One of the permanent bodies is the RATS in Tashkent, the decisive antiterrorist task.
A bit from the history of BRICS
BRICS includes five countries, which are classified as new industrial ones. They are characterized not only by powerful but also rapidly developing economies, active influence on regional and global markets. Each of the members of the association is a member of the G-20. Already by 2013, the total GDP of countries reached a figure of 16.039 trillion dollars. The first BRICS summit, whose countries are able to influence the economy, caused the dollar to fall, as the heads of state raised the issue of creating a single stable and predictable currency. The association encourages commercial and political, cultural cooperation between peoples. Moreover, today the member countries of the union are taking active steps to establish their own financial institution, which would be able to compose worthy competition to the West.
The associations of the SCO and the BRICS, the decoding of which indicates that they include countries with great potential, signed a framework agreement. Its goal is to improve the productivity of economic partnership. Back in 2004, an agreement was signed on the formation of a free trade zone , which largely balanced the flow of goods in the regions.
In 2005, member countries of the groups agreed on joint projects in the oil and gas segment, rational distribution of water resources and carbon stocks. In order to finance joint activities, the Interbank Council was formed.
Each SCO summit and BRICS brings good results and foretells global changes. So, in 2009, representatives of China received a proposal to provide $ 10 billion to partner countries for active development, which allowed them to support their economy in the conditions of the then global crisis.
Relations with the West
In the opinion of the media and many world experts, it is the SCO and the BRICS in the first place that should be worthy of competition not only for America, but for NATO as well. This will avoid a number of conflicts that could open the way for the US to the economies of states that border China and Russia. Representatives of associations actively monitor the situation on the world stage. Despite the total lack of open criticism towards America in general and Washington in particular, the summits often discuss problems of this category. For example, in 2005, the issue of finding the US military on the territory of Uzbekistan and Kyrgyzstan was actively raised. The SCO asked the US to establish clear deadlines for the withdrawal of troops from the territory of the member countries of the association. Moreover, the closure of the K-2 airbase was stimulated.
The BRICS States
The countries-members of BRICS occupy the positions of the leading and actively developing markets of the world. The main interest is caused by India, Brazil and China. In the next five years their significance will only increase. States such as Indonesia and South Africa are potential candidates for joining the association. The main priorities set by the member countries of the alliance are not the reduction of production costs, but the formation of a material base that should stimulate long-term success in the markets of states. The SCO and BRICS volunteers take an active part in research and in analysis to make the partnership even more fruitful.
Development Bank - a revolution in the global economy
For many years now, the unification of the SCO and the BRICS, the decoding of which shows that they are defending their interests before the West, are aimed at creating a single financial institution. In connection with the situation in the world in 2014-2015, this area of partnership has become more active. The project, which began in 2009, based on existing factors, is finally coming to its logical conclusion. The Development Bank has already been approved. Moreover, numerous issues have been resolved: the management has been selected, the contribution to the financial institution from all participating countries has been determined, the location of the organization and its first headquarters has been determined. At the moment, the structure is actively filled with representatives of each of the member states of the association. The SCO and BRICS countries, whose list is very limited, are actively tuned in this issue. On the agenda were secondary tasks, in particular regarding the right to participate in the financial institutions of states that are not part of the structure of associations. Priority is given to a minimum of bureaucratic processes for the most accelerated procedure for consideration and acceptance of investment projects. If the plan succeeds, the world markets will be radically changed.