China's $84B+ SCO Investment; Development Bank to Reduce US Dollar Reliance
Key Takeaways
- China commits $84B+ investment, $500B+ trade to SCO, plus grants, loans, and training.
- China, Russia, India to establish SCO development bank, reducing reliance on US dollar.
- CPEC Phase-II focuses on industrial cooperation, agricultural development, and high-tech sectors.
- SCO summit: China, India, Russia deepen ties, challenge US-led order; tensions remain.
- Pakistan, China enhance financial cooperation across banking, investment, and capital markets in September 2025.
Top Stories
China's SCO commitment: $84B+ investment, $500B+ trade, grants, and loans.
At the SCO summit on September 1, 2025, China announced commitments to the SCO's development, including over $84 billion in investment stock and over $500 billion in annual trade with other member states. China will provide grants and loans, double scholarships, implement projects, establish workshops, and offer training opportunities.
China, Russia, India to establish SCO development bank.
China, Russia, and India agreed to establish a development bank under the SCO to reduce reliance on the US dollar. The bank, proposed by China in 2010, aims to boost economic and security cooperation among member states.
CPEC Phase-II focuses on industrial cooperation and high-tech sectors.
Dr. Hassan Daud Butt discussed CPEC Phase-II, which will focus on industrial cooperation, agricultural development, and high-technology sectors. Phase-II aims to boost foreign direct investment, create jobs, and increase national exports.
SCO summit: China, India, Russia deepen ties, challenge US-led order.
The SCO summit in Tianjin, China, brought together Indian Prime Minister Narendra Modi, Chinese President Xi Jinping, and Russian President Vladimir Putin. The meeting aimed to deepen ties and challenge the US-led global order, but tensions exist among China, Iran, and India within the SCO.
Pakistan, China enhance financial cooperation.
In September 2025, Pakistan’s Finance Minister met with PBOC Governor and ICBC Chairman in Beijing to enhance financial cooperation. Both sides agreed the Pakistan–China economic partnership had entered a “new phase” with opportunities to expand cooperation across banking, investment, and capital markets.