"We hope that the SCO platform will become where we are able to gather together and look for compromises and solutions for disputed issues," Putin said during a press conference after the concluded BRICS and SCO summits.
He mentioned that the "full-fledged inclusion of India and Pakistan" could help solve the dispute between the two countries.
A resolution was passed Friday on starting the procedures of granting India and Pakistan the SCO full membership at the 15th bloc summit held in the southwestern Russian city of Ufa.
Currently, both India and Pakistan are observers of the SCO. Pakistan applied for a full membership in 2006 and India in 2014.
The expansion of the SCO "opens a new level in the bloc's development," Putin said, speaking highly of the strong momentum of the SCO in economic and financial cooperation.
"Improving financial cooperation is one of the priority tasks for the SCO," Putin said, noting the continuous preparation work of the bloc for the establishment of the SCO New Development Bank and the Contingent Reserve Arrangement.
Founded in 2001, the SCO now has China, Kazakhstan, Kyrgyzstan, Russia, Tajikistan and Uzbekistan as its full members, with Afghanistan, Belarus, India, Iran, Mongolia and Pakistan as observers, and Armenia, Azerbaijan, Cambodia, Nepal, Sri Lanka and Turkey as dialogue partners.
As Russia holds the rotating chairs of both the SCO and the BRICS, the summits of the two blocs were held together on July 8- 10.
During the press conference, Putin praised the BRICS, involving Brazil, Russia, India, China and South Africa, for its role in promoting more democratic rules of global economy.
"All participants (of the BRICS) feel an objective need for cooperation, especially for creating more democratic principles of the world economy," Putin said.
He added that facing with western sanctions, which were imposed on Moscow over its alleged intervention in the Ukraine crisis, Russia particularly values its cooperation with BRICS countries.
Still, Putin stressed that Russia is willing to cooperate in all kinds of mechanisms with any country that is interested in such cooperation, including the U.S. and European countries.
According to Putin, sanctions should not be used as economic weapons, which would not help with the resolving of international issues and problems.
"We all should live in normal and natural conditions. Only in this case is it possible to ensure the stable and safe development, " Putin said.
Also at the briefing, the president urged participants not to relax efforts in maintaining regional security and stability.
In particular, Putin called on the SCO to promptly start the implementation of the 2016-2018 cooperation agreement on the fight against terrorism and separatism.
"We should start drafting an SCO convention on fighting extremism," Putin stressed as he pointed out that the activities of the Islamic State and its forces spreading into Afghanistan have added to the security threats of the SCO countries.