Economic Cooperation Organization (ECO)

Economic Cooperation Organization is a regional organization, created in 1992 in the aftermath of the collapse of the Soviet Union. ECO encompasses countries from Europe, Caucuses and Central Asia, Middle East and South Asia serving as an economic corridor connecting Russia to the Persian Gulf and China to Europe to develop a sustainable economic development among its member states. The economic cooperation Organization currently consists of 10 member countries, these member countries are Afghanistan, Azerbaijan, Iran Kazakhstan, Kyrgyz Republic, Pakistan, Tajikistan, Turkey, Turkmenistan, and Uzbekistan.

Overview

Nevertheless, ECO was a huge step forward to strengthen economic development and trade among its member countries. The ECO symbolize a region acting as a bridge from the Indian Ocean to the Persian Gulf linking one country to another through highways, rail track and connecting the region to the world through the Indian ocean. Above all, these countries also share a historical and cultural affinity. Despite being an organization with such potentials it has not come up to its expectations. The intra trade among member country of ECO as per 2005 was 6% which increased only to 1% till 2010, while it was recorded 20% in 2015 as compared to intra trade of EU which was recorded 65%. These statistics show a low overall performance of ECO, that needs improvement to a great extent. The political instability in the region, internal and external conflicts, terrorist activities, and lack of will in political leaders of member states are some of the reasons for ECOs' poor performance in the region. In order to ensure that ECO work to its full potential, its member states shall show a high level of political will and make necessary amendments that ensure an increase in intra-trade and increased support among its member states.

Trade potential

In addition to sizeable human resources, ECO Countries possess significant natural resources. Pakistan has a strong textile base and the 5th largest milk producer, Iran and Azerbaijan, Kazakhstan, and Turkmenistan have Oil & Gas reserves while Afghanistan is enriched with precious and semi-precious gems and famous for hand-woven carpets. Uzbekistan has gold and mineral resources. Kyrgyzstan is naturally endowed with Uranium and precious metal. Tajikistan is blessed by nature with minerals and Turkey is one of the largest exporters of transport equipment.

ECO organs

Summits

According to Article IV of the Treaty of Izmir, the head of the state meat biennially or more often if necessary. In these meetings the objectives and progress in implementation of different ECO projects are reviewed, moreover, views regarding regional and global issues of common interest are also discussed among member states.

Council of ministers

The highest decision-making body of ECO is the council of ministers which compromises foreign affair minister of member countries. The meeting of the council of ministers is held in regular, informal, and extraordinary sessions. The council of the minister may also hold meetings with other relevant ministers in the formulation of plans and projects.

The main responsibilities of the council of ministers are decisions on policies, strategies, work programs, the appointment of senior management, the establishment of subsidiary committees, and approval of the annual budget and audit reports.

The council of permanent representatives

The council of permanent Representatives is a standing inter-governmental body responsible for pushing forward the policies charted by the council of ministers and also make necessary preparation for the implementation of the decision taken by the council of ministers. This council constitutes permanent representatives of member states. These member states meet as often as necessary under the chairpersonship of the representative of the member state holding the chairpersonship of the council ministers.

Regional planning council

This is the main technical planning body in ECO. The regional planning compromises of heads of planning organization of member states and experts from the national sectoral ministries and agencies. The annual meetings are convened before a regular meeting of the council of ministers under the present chairpersonship of the council of ministers of ECO. The main responsibilities of the regional planning council are preparing a method of action for realizing the objectives. Its annual meetings are normally held in the ECO headquarter in Tehran.