After the resounding success of the G20 Leaders’ Summit in New Delhi, India is gearing up for the upcoming G20 Virtual Summit, marking the culmination of India’s presidency. Brazil is poised to assume the G20 presidency from December 1st.
Reflecting India’s ethos of Vasudhaiva Kutumbukam – the world is one family – the New Delhi Leaders’ Declaration embodies this inclusive spirit through eight overarching themes. These themes transcend boundaries, languages, and ideologies, fostering a collective vision for global progress.
Foremost among the commitments made by G20 leaders is the pursuit of robust, sustainable, balanced, and inclusive growth. This commitment underscores addressing the global economic landscape, unlocking trade potential for enhanced growth, promoting financial inclusivity, and combatting corruption.
Global Economic Situation:
- Cascading Crises and Long-Term Growth:
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- Challenges to long-term growth have emerged due to cascading crises.
- Addressing this issue requires the implementation of well-calibrated macroeconomic and structural policies.
- The focus will be on protecting vulnerable populations, promoting equitable growth, and enhancing macroeconomic and financial stability.
- This approach aims to resolve the cost-of-living crisis and unlock strong, sustainable, balanced, and inclusive growth.
- Global Economic Growth and Uncertainty:
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- Global economic growth is currently below its long-run average and remains uneven.
- High uncertainty surrounds the economic outlook.
- Notable tightening in global financial conditions, potential debt vulnerabilities, persistent inflation, and geoeconomic tensions contribute to downside risk.
- Well-calibrated monetary, fiscal, financial, and structural policies are emphasized to promote growth, reduce inequalities, and maintain macroeconomic and financial stability.
- Cooperation in macro policy and support for the 2030 Agenda for Sustainable Development are key goals.
India’s Efforts:
- For rebuilding the trust the need of the hour was to take the fruits of the multilateralism to the doors of developing countries.
- India did this by incorporating the African Union into the G20 grouping.
- Though G20 is perceived as the voice of the economic powers India’s presidency ensured that growth should not be for the few rather it should be all-encompassing.
- The comprehensive outcome of the G20 summit is an exercise in restoring trust, faith, and cooperation among the countries.
G20 Declaration on Inclusive Growth:
- Unlocking Trade for Growth:
- Commitment to a Rules-Based Multilateral Trading System:
- Members reaffirmed the importance of a rules-based, non-discriminatory, fair, open, inclusive, equitable, sustainable, and transparent multilateral trading system, with the WTO at its core.
- Commitment to pursuing WTO reform, aiming for a fully functioning dispute settlement system accessible to all members by 2024.
- Facilitating Global Value Chains and Digitalization:
- Members welcomed the adoption of the G20 Generic Framework for Mapping Global Value Chains (GVC) to enhance resilience in trade.
- Support for High-Level Principles on Digitalization of Trade Documents.
- Trade, Environment, and Development Support:
- Ensuring trade and environment policies are mutually supportive and consistent with WTO and multilateral environmental agreements.
- Recognizing the significance of the WTO's 'Aid for Trade' initiative in enabling developing countries to participate effectively in global trade.
- Preparing for the Future of Work:
- Promoting Skill-Based Migration:
- Commitment to well-managed, regular, and skills-based migration pathways.
- Efforts to identify global skill gaps and address them through improved data collection and analysis.
- Ensuring Social Protection, Inclusive Growth, and Workers' Rights:
- Aims to achieve sustainably financed universal social protection coverage.
- Stress on portability of social security benefits and implementing the UN Global Accelerator on Jobs and Social Protection.
- Ensuring adequate social protection and decent working conditions for gig and platform workers.
- Advancing Financial Inclusion:
- Endorsement of G20 Remittance Target update.
- Support for enhancing digital financial inclusion of Micro, Small, and Medium Enterprises (MSMEs).
- Endorsement of G20 Policy Recommendations for Advancing Financial Inclusion and Productivity Gains through Digital Public Infrastructure.
- Fighting Corruption:
- Reaffirmation of zero tolerance for corruption.
- Endorsement of G20 High-Level Principles on Strengthening Law Enforcement, Asset Recovery, and Promoting Integrity.
- Accelerating Progress on Sustainable Development Goals (SDGs):
- Commitment to effective and timely implementation of the G20 2023 Action Plan to Accelerate Progress on the SDGs.
- Endorsement of G20 Principles on Harnessing Data for Development (D4D) and launch of Data for Development Capacity Building Initiative.
- Commitment to mobilizing financing to support developing countries in implementing the 2030 Agenda.
- Sustainable Finance and Reporting:
- Reiteration of commitment to scale up sustainable finance and welcomed the G20 Sustainable Finance Roadmap.
- Encouragement for adoption of social impact investment instruments and improving nature-related data and reporting.
Conclusion:
To ensure consensus translates into action:
- Effective follow-up mechanisms.
- Timely execution with clear action plans.
- Monitoring, reporting, and accountability.
- International cooperation and partnerships.
- Inclusive dialogue with all stakeholders.
- Targeted policies and reforms addressing specific challenges.
