The digital economy is no longer a secondary component of national development. It has become a defining force shaping productivity, trade, public services, employment and competitiveness. For the countries of the Shanghai Cooperation Organisation (SCO), closer cooperation in digital technology and artificial intelligence can provide a much-needed pathway towards faster growth and more balanced development. Federal Minister for Planning, Development and Special Initiatives Professor Ahsan Iqbal’s call for stronger cooperation among SCO member states in the digital economy therefore comes at an important time. Speaking at a ministerial-level meeting in Urumqi, he rightly highlighted the enormous potential of digital transformation to narrow development gaps and create new opportunities across the region.
Pakistan’s own experience demonstrates why digital transformation must now be treated as a development priority. The government has placed E-Pakistan among the principal pillars of its URAAN Pakistan agenda, while the Digital Nation Pakistan Act 2025, the Pakistan Digital Authority and the National AI Policy represent attempts to build an institutional framework for the country’s digital future. The real challenge, however, lies not merely in introducing policies and legislation but in translating them into practical improvements in the lives of ordinary citizens.
This is where regional cooperation can make a significant difference. The SCO brings together countries with enormous markets, technological capabilities, human resources and geographical reach. Yet these advantages can only produce meaningful results if member states develop stronger digital links and share expertise.
The proposed SCO Digital Connectivity and Compute Corridor is particularly worth considering. Better cross-border fibre networks, data centres, satellite connectivity and interoperable cloud infrastructure could help create a more integrated digital market. Such cooperation would also reduce the technological isolation of less-developed regions and enable businesses, universities and entrepreneurs to participate more effectively in the digital economy.
Equally important is the emphasis on inclusion. Digital infrastructure should not become another avenue through which economic opportunities remain concentrated in major cities and among already privileged groups. Universities, startups, small businesses, women, young people and communities in remote areas must all be able to benefit. Affordable connectivity, digital skills and access to computing resources will be as important as physical infrastructure.
Artificial intelligence presents an even greater opportunity, but also a serious governance challenge. The SCO’s discussion of sovereign AI infrastructure and governance should therefore focus on building capacity while maintaining privacy, cybersecurity, transparency and accountability. AI cannot be allowed to become a race for technological dominance without adequate safeguards for citizens and national interests.
Pakistan’s assumption of the SCO Council of Heads of State presidency provides an opportunity to turn these ideas into measurable initiatives. The theme of “Connectivity, Innovation and Shared Prosperity” will have credibility only if it produces concrete projects, stronger trade links, skilled workers, better public services and wider access to technology.
The digital future of the SCO region should not be defined by competition alone. It should be built around cooperation, trust and shared opportunity. Pakistan can play a constructive role by helping convert the organisation’s ambitious vision into practical digital partnerships.