Algeria’s Quest for Economic Integration: Joining the Shanghai Organization to Foster Stronger Ties

BY: Hana Saada

ALGIERS- Algeria’ strategic push to strengthen its economic ties and foster international relations has taken a significant step forward with its formal request to join the Shanghai Cooperation Organization (SCO) as a “partner for dialogue.” President Abdelmadjid Tebboune’s prioritization of major partnerships aligns with the country’s ongoing reforms and renewal efforts, showcasing Algeria’s commitment to developing a comprehensive national strategy rather than sporadic inter-relationships.

The strategic dimensions of Algeria’s pursuit of SCO membership reflect a global landscape characterized by shifting power dynamics and the rise of new blocs. As the world witnesses a redistribution of power and influence, Algeria aims to position itself in line with these global transformations, leveraging its capabilities and rich array of resources. Notably, with the gradual transition of power from the West to the East, Algeria’s desire to join the SCO demonstrates its aspirations to secure a significant role on the international stage.

Dr. Belkasmi Mouloud, an international studies specialist, emphasizes that Algeria’s application to join the SCO aligns with President Tebboune’s new strategic vision, centered around deepening strategic partnerships and alliances. This approach aims to bolster Algeria’s presence in the international arena and effectively address current challenges and threats. Algeria’s diplomatic efforts, therefore, focus primarily on political and security aspects, while also highlighting economic considerations.

Established in 2001, the SCO initially comprised Russia, China, Kazakhstan, Kyrgyzstan, Tajikistan, and Uzbekistan. Over time, India, Pakistan, and Iran joined the organization, which sought to ensure regional security, unite efforts against emerging challenges, and promote regional development. With half of the world’s population, emerging economic countries, and four significant nuclear states, the SCO provides Algeria with a security umbrella to confront political risks. As the world’s largest regional political alliance, the organization prioritizes strategic self-direction within the framework of security cooperation.

Furthermore, the SCO, viewed by strategic experts as a counterbalance to Western hegemony, offers opportunities for Algeria to address strategic challenges and threats posed by Western dominance. The mutual and intertwined nature of strategic interests between the SCO, led by China and Russia, and Algeria underscores the need for support in regional and international geopolitical affairs. Given Algeria’s distinguished diplomatic legacy, its important natural and geopolitical capabilities, and the economic prowess of China and Russia, this partnership holds immense potential.

Additionally, Algeria recognizes the growing influence of emerging centers of power represented by groups like the BRICS and the SCO. Through membership in these organizations, Algeria aims to secure gains that guarantee the continuity of supply chains for raw materials and consumer goods in the face of global scarcity and inflation. Joining the SCO and the BRICS would also facilitate the flow of investment projects, particularly from China, thereby mitigating economic risks and bolstering technological and competitive capabilities.

The rise of a multipolar economic system and the growth of the BRICS economies make finding an alternative to international trade imperative. The BRICS group’s contribution to global GDP reached 31.59 percent in 2022, surpassing the industrial sector of the Group of Seven. Notably, both the SCO and the BRICS group comprise key energy producers and consumers, presenting real opportunities for Algeria to leverage its energy and economic capabilities for economic gains. With countries like China and India experiencing high growth rates, Algeria can contribute to meeting the rising energy demand while attracting more investments and facilitating commercial, financial, and economic cooperation.

With Algeria’ strategic ambition and its strong ties to Russia and China, the only two countries participating in both the SCO and the BRICS group, significant strategic gains can be realized. In addition, the Shanghai Cooperation Organization (SCO) is widely acknowledged as being more effective and powerful than the BRICS group. Unlike BRICS, the SCO excels in its ability to safeguard its member states, utilizing a comprehensive approach that encompasses security, economics, and politics. This strategic positioning presents a valuable opportunity for Algerian diplomacy to exert influence in numerous regional and international matters.

The aftermath of the Ukrainian crisis and the pressure exerted by Western countries on Arab nations to alter their stance towards the crisis further amplifies the significance of Algeria’s role. If handled skillfully and efficiently, this ambitious Algerian initiative will serve the state’ strategic interests, especially considering Algeria’s longstanding strong ties with these countries and its advantageous geostrategic position. However, it is crucial to acknowledge that such a positioning also brings forth various economic challenges and security threats that need to be carefully addressed.

Translated with adaptation from:

http://www.echchaab.com/ar/%D8%A7%D9%84%D8%AD%D8%AF%D8%AB/%D8%A7%D9%84%D9%88%D8%B7%D9%86%D9%8A/item/211962.html?tmpl=component&print=1