I am very pleased to take part for the third time in the opening of the Urumqi Foreign Economic Relations and Trade Fair and the Forum on Regional Economic Cooperation of the Central, Western and Southern Asia, as well as for the first time in the Investment Forum of the SCO member states.
I am very much obliged to the Ministry of Commerce of the People's Republic of China, China International Trade Promotion Committee, governance and People's Government of the Xinjiang Uygur Autonomous Region of PRC for the excellent projects organization and warm hospitality.
In the name of the Shanghai Cooperation Organization Secretariat – co-organizer of the Forum – I welcome with all my heart all the participants of this representative event that became traditional, attracting attention of our entire vast region.
During the SCO summit in Yekaterinburg in June 2009 the member states of our Organization demonstrated again their positions consolidation when responding to challenges and security and stability threats in the zone of responsibility. The Shanghai Organization is increasing its influence as a positive factor of the international and regional policy, constructive mechanism of creation of favorable conditions for ensuring the political stability and economic growth in our countries.
The SCO member states, invariably adhering to the principle of respect for priority of everyone to self-selection of development strategy, on basis of national interests and specific features of each country, in practice show the commitment to all fundamental documents of our Organization, including the SCO Charter and the Agreement on good neighborly relations and friendly cooperation.
In the current international situation considerable changes are taking place. The international and regional cooperation is a basis for counteraction to new challenges and threats, ensuring financial, energy and food security. The regional aspect’s significance in solving global problems is being increased, which the more so is actual against the background of the financial crisis. At the Yekaterinburg summit Heads of state found it reasonable to take efficient measures for the purpose of minimization of the world financial crisis consequences and encouragement of closer trade and economic and investment cooperation in the SCO region.
Within the Shanghai Organization 20 specialized authorities function, competent to solve the questions of economic cooperation, particularly, the Committee of Senior Officials of the ministries, responsible for foreign-economic and foreign-trade activity, special working groups on investments, customs cooperation, up-to-date information and telecommunication technologies, transit potential development and others.
Our countries are implementing the pilot projects “Organization of cross-border electronic cooperation with the use of digital signature” and “SCO information superhighway”, which will make it possible to bring the trade and economic cooperation to higher level and facilitate the cooperation by creation of an electronic trading platform within the Organization.
Transport infrastructure modernization is being carried out in our countries’ territories. Thus, building, reconstruction and rehabilitation of sections of the international transport corridor Е-40 and sections of motor roads running through Uzbekistan, Kyrgyzstan, Tajikistan and China are in progress. Preparations for building in the territory of a number of the SCO member states of international logistics centers along the mentioned route have begun.
In the partnership with the Asian Development Bank and the Economic and ESCAP the preparations of relevant appendixes to the Agreement between the SCO Governments on the Creation of Favorable Conditions for International Motor Transportation are under way. The consummation of work on relevant appendixes to this Agreement will formalize the legal base of parity conditions for hauliers, as well as a uniform base for carrying out international road transportation between the Organization member states.
The fuel-energy complex experts have reached agreements to carry out joint research works and seminars, exchange of information about the course of reforming in the field of power industry, regulatory and legislative control of the fuel-energy complex.
The agricultural cooperation is being successfully improved. The parties discuss the development of trade in agricultural products, exchange of information about the regulatory and legal framework regarding agricultural production, as well as formation of a profile expert working group. A multilateral agreement of agriculture cooperation is being prepared.
An important factor is the activity of structures such as the SCO Business Council and the SCO Interbank Association.
The Business Council is engaged in development of the investment cooperation, optimization of insurance regulation in national and regional markets, and, certainly, in implementation of specific projects in the field of infrastructure, technologies, as well as public health and education.
Within the Interbank Association relevant joint projects are being selected with a view to financial participation of the SCO countries banks in their implementation. Last June the Interbank Association approved a Regulation of work with authorized bank and financial institutions of the observer states. I think that the economic cooperation with India, Iran, Mongolia and Pakistan will become more active thereupon.
The above said just partly illustrates the state and prospects of the economic cooperation within our Organization. The SCO countries intend to undertake more active efforts to stabilize favorable conditions in the area of its responsibility for the development of trade, modernization of infrastructure, transportation communications, and encouragement of investments and other spheres of mutual interest.
In this connection I shall emphasize a special role of the People's Republic of China in promotion of the SCO member states economic ties. 1 billion dollars of preferential credits granted by the Chinese party have been already drawn for specific infrastructure projects in Kyrgyzstan, Tajikistan and Uzbekistan. Recently, at the Yekaterinburg summit the President of PRC Hu Jintao said that China would allocate a credit to the SCO countries to maintain financial stability and overcome the world crisis consequences. This time the amount has been increased to 10 billion dollars.
I am sure that such a powerful financial support will contribute to development and consolidation of the regional economy, become a catalyst of effective cooperation between the SCO countries in the industrial, agricultural, financial, energy, transport, innovative and other important fields.
The Xinjiang Uygur Autonomous Region of PRC situated in the neighborhood of the states of the Central and Southern Asia, is justly a nodal point of the renascent Silk Route. SUAR’s economic and social progress of the recent decades is impressive enough. In 18 years after the 1st Urumqi Fair there are obvious high results in all the spheres, including market promotion of high quality products, empowerment of intensive export-import operations. The Fair became a big comprehensive international trade and economic event in the Western region of China. It like a solid bridge contributes to activation of trade and economic ties between China and the countries of the Central, Western and Southern Asia.
The efforts made by the People's Government of the Xinjiang Uygur Autonomous Region of the People's Republic of China for the development of trade and economic and humanitarian cooperation with neighborhood areas of the Shanghai Organization are effective.
The SCO member states attach great importance to deepening of practical cooperation in struggle against terrorism, separatism, extremism and transnational organized crime in favor of the region security and stability.
In connection with the events on July 5 of this year the SCO Secretary-General made a statement of sincere condolence to family members and close ones of the innocently killed, as well as to persons injured by actions of instigators of conflicts.
It is emphasized in the Statement that the SCO member states consider SUAR as an integral part of the People's Republic of China and believe that what is going on is solely the interior of PRC. The SCO countries solidarity in the following will just become stronger. We support the PRC government’s efforts for ensuring the social stability in Xinjiang, interethnic unity and joint prosperity of all ethnic groups living in SUAR.
I am confident that SUAR will continue to play an efficient role in the activation of trade and economic and humanitarian cooperation not only between China and other SCO member states, but almost with all adjoining states of the Central, Western and Southern Asia region.
Today's first Investment Forum of the SCO member states will undoubtedly make for it. Prospects of economic development of the region are also connected with the involvement in multilateral investment cooperation of the SCO observer states, dialogue partner states, as well as other countries interested in SCO.
An important area of the Organization’s activity is the development of mutually advantageous economic cooperation with international and regional associations. SCO supports active ties with organizations such as the Commonwealth of Independent States, Eurasian Economic Community, UN Development Programme, Economic Cooperation Organization, ASEAN, Economic and Social Commission for Asia and the Pacific, Asian Development Bank and others. We intend thereupon to establish a wide network of regional partnership.
The abridgement of the speech is given by publication of the SCO Secretariat website.