Pakistan China and Russia decide to conduct trade in local currencies

[Chakar The Great]

The eight-member countries of the Shanghai Cooperation Organization (SCO), including China, Russia, and Pakistan, have made the principle decision to conduct bilateral trade and investment and issue bonds in local and national currencies instead of US dollars.

As per details, a road map will be finalized and signed at SCO’s Finance Ministers’ meeting in Moscow on March 18th.

Russia, as chairman of the Shanghai Cooperation Organization, has called for suggestions from all member states for trade and investment in local currencies. After a detailed review of these proposals in Moscow’s meeting, a system of mutual settlement of national currencies will be introduced for the member countries of the SCO.

All member states will sign a roadmap for trade and investment in national currencies between member states. Russia has issued the agenda for the SCO’s Finance Ministers’ meeting summoned in Moscow on March 18.

As per reports, the finance ministry of Pakistan has completed preparations in light of the agenda of the conference of finance ministers.

Representatives from the finance ministries and central banks of China, India, Russia, Pakistan, Kyrgyzstan, Russia, Tajikistan and Uzbekistan will attend the SCO conference in Moscow.

In addition, Iran, Afghanistan, Belarus, and Mongolia are the observer countries of the SCO who wish to become a regular member of the organization.

Reports say that if the trade and investment between the member states of the SCO begin in national currencies instead of dollars and pounds, it will be a big breakthrough. It will also strengthen the national currencies of the member countries and promote mutual trade and investment.

 

[Hakikat ve Hikmet]

It's like detonating the "Little Boy" on the petro-dollar....

And, it's like a nail on the coffins of MBS/MBZ....

 

[Pakistansdefender]

Ministers’ meeting in Moscow on March 18th

i think this is old article? Or you mean next march?

 

[Shehr Abbasi]

Let there be an Islamic “Euro” in place of dozens of country’s currencies.

The Dinar, Dirham, Lira, Rupe, Rial, Ruble should be replaced forever with ONE CURRENCY. The Islamic “Euro” for Mütāhidā Riyāstāyn-i-Islām!!!

 

[GumNaam]

rip usd!

 

[idune]

This is a decision of long time coming. This should prevent further FATA shenanigans on Pakistan. Further bright side, Iran is already trading using local currency as well as in Russian and Chinese currency. Turkey somewhat started. Looking at big picture there are endless possibilities without sanction regime. IP gas pipeline could be real possibility now.

This also give Pakistan opportunity to develop own home grown payment systems, remittance services etc. Keep visa, amex, mastercard, paypal buggers out. Could anyone can post kind of online payment system consumers in Pakistan use?

 

[masterchief_mirza]

This would be huge if it actually happens.

 

[Pakistan Space Agency]

They need to kick-out India out of SCO.

This hard-core American Poodle doesn't deserve to be in this alliance.

 

[TheDarkKnight]

They need to kick-out India out of SCO.

This hard-core American Poodle doesn't deserve to be in this alliance.

India will need to choose which ship it wants to ride. There will come a time when you cant have a foot in each ship as both ships start diverging in direction; same is true for Pakistan.

 

[aziqbal]

hope they get serous about it

small scale trades are useless

they need to now challenge the US dollars openly

 

[Pakistan Space Agency]

India will need to choose which ship it wants to ride. There will come a time when you cant have a foot in each ship as both ships start diverging in direction; same is true for Pakistan.

Pakistan has already chosen a side brother by accepting CPEC and the US is trying to wean off India off Russia, while Chinese boycott by India is also happening reluctantly so they are being pushed away anyway.

So, I don't know how and for what purpose Indian voice still needs to be heard in SCO. Iran and Turkey can be it's replacement.

Originally it was thought that SCO will not accept one of the two (Pakistan and India) and both will be granted membership at the same time, so that way if only one was a member, that country could use SCO against the other, hence both joined at the same time.

But now everything has changed so much after Indian annexation of Indian Occupied Kashmir and Chinese liberation of Galwan Valley, so I don't know for how long China / Russia will tolerate India the way it has been behaving on American agenda in the region.

 

[TheDarkKnight]

Pakistan has already chosen a side brother by accepting CPEC and the US is trying to wean off India off Russia, while Chinese boycott by India is also happening reluctantly so they are being pushed away anyway.

So, I don't know how and for what purpose Indian voice still needs to be heard in SCO. Iran and Turkey can be it's replacement.

Originally it was thought that SCO will not accept one of the two (Pakistan and India) and both will be granted membership at the same time, so that way if only one was a member, that country could use SCO against the other, hence both joined at the same time.

But now everything has changed so much after Indian annexation of Indian Occupied Kashmir and Chinese liberation of Galwan Valley, so I don't know for how long China / Russia will tolerate India the way it has been behaving on American agenda in the region.

Well both camps desire India to be in their side and behave as per expectations. So far India is trying to balance as the expectations are manageable, but if something as major such as use of other currencies comes then automatically they will be pushed away from US camp or pushed away from SCO camp (if they don’t accept the proposal). But this will be a gradual process, and looks like India will be acting more as an observer rather than an active participant in SCO as it is increasing its coop with western block.

Pakistan as you said choose the side of CPEC but we cannot be 100% committed as US and western power still have a lot of influence and power eg IMF and WB for our finance needs, defence needs etc - China and SCO still cannot provide us alternative to these financial institutions yet. Pakistan must try to get all the benefits and fulfill the obligations of SCO without inviting a harsh reaction from US and EU block. I mean if we cant reap the benefits from West at least we should not be getting harm - in short try to be something a little less than Turkey but definitely not like Iran.