G20 Summit

News

G20 Summit Occurred at New Delhi. It was a successful summit. Its a diplomatic and foreign policy success for India. It enhanced Indian Global Position in the world

In the absence of Putin and Xi Jinping, blessing in disguise, India got many opportunities to build general consensus

India became default leader of Global South, China wanted that position by its BRI.

India became a prominent player in the global high table. No country can deny indian position in UNSC, can prevent it with their veto but cannot deny it

Quote

1. The G 20 has contributed to making India world ready and world India ready - MEA S Jai Shankar
2. Amitabh Kant Indian Official G20 Sherpa - Instead of War Path the G 20 should focus on the Economic Growth Path

G20 - Details

1. Origin

   UNSC is Security council so, G 20 is also called as an Economic Security Council. With inclusion of African Union, it clearly became a Inclusive Representative Forum

   Originated in 1999, it established as a measure to address the then Asia Financial Crisis, since the objective was to address economic crisis, the grouping was comprised of the then finance ministers and central bank governors

   initial focus was on economic viability and stability

   in 2008 - US enhanced G 20 to a Summit Level Meetings, because of the realisation that G7 is not in position to address global economic challenges alone

   Starting from Eco Aspects, now it focuses on allmost everything

2. Structure

   Currently it includes 19 countries + African Union and European Union

   Includes Countries from All Continents. With Inclusion of African Union it became more Inclusive Forum unlike elitist G7 or OECD (Developed Countries Grouping)

   G20 is an Informal Forum - There is no permanent secretariat and presidency is rotated amongst the member countries. The presidency is done for a term of one year and passed on so on

   Since it is not having a permanent secretariat, in order to ensure a continuity in agenda, G 20 has G 20 TOIKA which comprises of past president, present president & future president.

   Currently it is : Indonesia, India & Brazil → India Brazil & South Africa

   Meetings are conducted in different Tracks, which are

   1. Finance Minsters Track → Including Central Bank Governors
   2. Sherpa Track → Official Responsible to conduct the Summit
   3. Engagement Track → B20(Business Track), C20(Civil Society), W20(Women), Y20(Youth People)

3. Objective (Original)

   1. Policy Coordination between members to achieve financial stability

   2. To Promote Financial Regulations

      For Example : Mechanism like BEPS (Based Erosion and Profit Shifting)

   3. Create New International Financial Architecture

      To Ensure Financial Stability and Cooperation on Issues

Significance

1. Controls 85% of World GDP - 19 Countries and 1 EU - With Addition of African Union it will become 88%
2. Presently Control 75% of World Trade - with AU it becomes 79%
3. Earlier it was 67% of World Population and Now it will control 80% of World Population
4. with 5 more countries coming in → Total 100 Countries will be there, thus almost 50% of the countries in its fold
5. Wider Agendra
   1. Important Role in Provision of Global Public Goods (GPG)
   2. Contain Global Public Bad’s and Manage Polycrisis
6. Decision by Consensus
7. Developed and Developing Countries - Hence a Good Mix and Rep of Both the worlds

Delhi Summit

1. Theme → “Vasudhaiv Kutumbakam” or “One Earth, One Family & One Future”
2. New Delhi Leaders Declaration is divided into
   1. One Earth

      1. Life Principles

         1. Lifestyle for Environment
         2. Circular Economy
         3. Reduce Reuse Recycle

      2. Blue Economy

         Chennai HLP (High Level Principles) - To Conserve Protect and Restore and Sustainable use of Ocean Resources or Marine Eco System

      3. Climate Finance

         Declaration mentioned that developing nations require 6 trillion dollars in pre 2030 period & reach net zero targets by 2050

         It is based on Hybrid Model → Govt & Pub & Pvt Sector will be involved

      4. Gandhinagar Roadmap

         Agreement on

         1. Building Disaster Resistant Infrastructure
         2. reducing Land degradation by 50% by 2040
         3. Reducing Plastic Population
   2. One Family

      1. Gender Equality

         Agreement to close gender gaps, promote equal participation of women in the economy

      2. Global Value Chains

         Talked about “Jaipur Call for Action” to integrate MSME’s to global value chain. The summit endorsed, G20 TAAP - Technical Assistance Action Plan to overcome the data related barriers

      3. An Action Plan to speed up the progress on SDG’s

      4. It also discussed the plan to harness the data for development i.e D for D

      5. Deccan HLP on Food Security - Research on Millets

   3. One Future

      1. Inclusion of AU (55 member) granted permanent membership

      2. Consensuses Statement on Russia Ukraine Conflict

         West is ready to give a concession to ensure consensuses

      3. New Definition of GDP - Green Development Pact. This GDP calls for Sustainable Growth.

         Acc to Abhishek Banerjee - Growth is a means to an end

      4. Regulation of Crypto

      5. DPI

      6. Reforms in Multilateral Institutions - Like IMF, WTO, World Bank etc

   4. Side Deal → Standalone Ques Possibility

      1. Global Biofuel Alliance

         Initiated by India US Brazil Italy South Africa Argentina Mauritius UAE and Bangladesh

         Aim of GBA is to make global cooperation in the sustainable production and use of bio fuels

      2. IMEE - EC → India Middle East Europe Economic Corridor

         It was announced by PM during G 20 summit and India USA Saudi Arabia UAE France Germany Italy etc have signed an MoU to establish IMEE-EC

         Its a multi modal connectivity project connecting india to Europe through middle east

Positives of Summit

1. Diplomatic Success

   1. Diplomatic Success for India due to Consensus Declaration. It is a communique agreed upon by all the member states.

   2. 3M Acc to Iyer → Multi Lateralism, Multi Polarity and Middle Way

      Multi Lateralism→ There was a growing acceptance of Mini Lateralism like I2U2, Quad and AuKUs. this was success for multi lateralism in general.

      Multi Polarism→ There were both Global South and Global North and Developing and Developed

      Middle Way→ Success of Indian Middle Way

2. Inclusive G20

   1. Addition of AU 55 Countries

      AU coming in via India solidifies India position as a leader of Global Souths. will help in deepening of Indian relation with Africa Continent. Endorsements of the wight India carries in G20 i.e we are exceptional and hence we can be called as Swing States

   2. Voice of Global South

3. Promotion of Indias Influence

   1. DPI of India

      World is divided into Technology Unilateralism v.s Technology Multilateralism

      Indian UPI in Italy and Singapore. Aadhar model in African Countries

      Vivek Katju Former Ambassador - Another Uniqueness of India is India is positioned between Management Systems v/s Trade Unions

      Hence Indian Advantage is They relate to management systems like G7 countries in corporate managements but at the same time we also relate and work with Trade Union Countries like

   2. Indian Soft Power Shown as Meetings were done throughout India

Challenges with G20

https://app.notion.com

Economic Challenges

1. Economic Protectionism

   Near Shoring, Friend Shoring Fortress Economy are against Globalisation. and this will not help in Food Security

2. G Zero World → A World w/o clear leadership

Institutional

1. Informal Forum - No Permanent Secretariat
2. No Enforcement Mechanism - Review Meet in November

Way Forward

1. Provision GPG prevent GPB
2. Formalisation of G20 is needed
3. Multi Lateralism should be promoted

Question

G20 summit in India has brought about significant decisions and initiatives aimed at global prosperity and stability. Elaborate on the Strategic Advantages for India as a result of successful New Delhi Leaders Declaration