According to the Economic Times, India is actively participating in negotiations to establish a new development bank under the auspices of the Shanghai Cooperation Organisation (SCO). The proposal reportedly received backing from all member states during the recently concluded summit in Bishkek, Kyrgyzstan. Discussions are currently focused on determining the governance structure and capital requirements for the proposed financial institution.
The initiative was a key topic of discussion during a meeting between Indian Finance Minister Nirmala Sitharaman and her Russian counterpart, Anton Siluanov, held on the sidelines of the G20 Finance Ministers' meeting in the United States. The push for this bank builds upon preliminary agreements reached at the previous SCO summit in Tianjin, with member states now aiming to finalize the founding documents as expeditiously as possible.
While the project remains in the consultation phase, the host nation, Kyrgyzstan, has formally expressed interest in serving as the headquarters for the new institution. The establishment of an SCO-led development bank is viewed by observers as a significant step toward deepening financial integration among member nations, potentially providing an alternative framework for regional infrastructure and economic development projects.
The report is based on information from individuals familiar with the matter and aligns with recent diplomatic activity involving SCO member states. While not yet confirmed by an official joint declaration from the SCO secretariat, the details regarding the Bishkek summit and ministerial discussions are consistent with ongoing regional economic cooperation efforts.
No corroborating trusted sources found.
Original report: Economic Times