In order to achieve a robust global economic growth, the countries which represent and contribute more than 80% of the global GDP came at the Premier forum for International economic cooperation, which was agreed by leaders at the Pittsburgh Summit in September 2009. These countries co-operated to discuss and were known as the “Summit on Financial Markets and the World Economy” which is now the G20 Summit.
Recently G20 summits started focusing not only on macroeconomy and trade; but also on a wide range of global issues which have an immense impact on the global economy since globalization started progressing and various issues became more intricately intertwined. Those issues included overall development, climate change and energy, health, counter-terrorism, as well as migration and refugees.
The G20 has sought to realize an inclusive and sustainable world through its contributions towards resolving these global issues.
This is an important topic for the UPSC 2020 exam.
|Republic of Korea||Republic of South Africa|
|United States of America||European Union (EU)|
History of G20
When the Asian Financial Crisis of 1997-1998 ended, it was acknowledged that the participation of major emerging market countries was necessary for a discussion on the international financial system. Hence, the G7 Finance ministers agree to establish the G20 Finance Ministers and Central Bank Governors meeting in 1999.
The meeting of G20 Finance ministers and the Central Bank Governors was centred on major economic and monetary policy issues amongst major countries in the global financial system. Their aim was to promote cooperation towards achieving stable and sustainable global economic growth for the benefit of all countries.
They upgraded to the head of the state level, as a forum for leaders from major developed and emerging market countries. In September 2009, the third summit was held in Pittsburgh where the leaders designated the G20 as the “premier forum for international economic cooperation.” The summit meetings were, henceforth held semiannually until 2010 and annually from 2011 onwards.
What is G20+?
The G20 developing nations, also called G21/G23/G20+ is a bloc of developing nations which was established on August 20, 2003. It is distinct from the G20 major economies.
- The G20+ originated in September 2003 at the 5th ministerial conference of the WTO held at Cancun, Mexico.
- Its origins can be traced to the Brasilia Declaration signed by the foreign ministers of India, Brazil and South Africa on 6th June 2003.
- The declaration stated that the major economies were still practising protectionist policies especially in sectors they were less competitive in and that it was important to see to it that the trade negotiations that took place provided for the reversal of those policies.
- The G20+ is responsible for 60% of the world population, 26% of the world’s agricultural exports and 70% of its farmers.
What did India do in the G20 2019 Summit?
|Type||India’s discussion with||Topic of Discussion|
|Bilateral Meetings||Japanese PM Shinzo Abe||Defence, digital economy, infrastructure, space, and startups.
Click here to know more about Indo- Japan relations.
|American President Donald Trump||The situation with Iran, trade tariffs, defence, and 5G communication network & data storage.
Click here to know more about Indo- American relations
|President Joko Widodo of Indonesia||Ways to deepen India-Indonesia cooperation in a host of sectors|
|Brazilian President Jair M. Bolsonaro||Means to improve business linkages and overcome climate change.|
|President Recep Tayyip Erdogan of Turkey||Building a strong development partnership between the two nations.|
|Australian Prime Minister Scott Morrison||Ways to expand cooperation in a range of sectors.|
|Crown Prince Mohammed bin Salman of Saudi Arabia||To strengthen bilateral ties between the two nations and discussing energy security.|
|South Korean President Moon Jae-in||to enhance trade, economic, and people-to-people relations.|
|German Chancellor Angela Merkel||means to diversify and deepen Indo-German ties in areas like cybersecurity and AI.|
|Pull aside meetings||The World Bank, UNSG, Thailand, Vietnam, France, Italy, Singapore, and Chile.|
|Trilateral talks||Japan – America – India (JAI)||Issues related to Indo-Pacific region, connectivity and infrastructure development, peace & security.|
|Russia – India – China (RIC)||Promotion of counter-terrorism, reformed multilateralism, climate change, and international hot-spot issues.|
|Multilateral talk||BRICS nations – Brazil, Russia, India, China, & South Africa||A series of global issues and concerns.|
|Community event||PM Modi interacted with the Indians living in Japan.|
Upcoming G20 summits
|Year||Country Hosting the Summit|