G 20 Summit

 

The G20 or Group of 20 is an intergovernmental forum comprising 19 sovereign countries, the European Union (EU), and the African Union (AU). It works to address major issues related to the global economy, such as international financial stability, climate change mitigation and sustainable developmentG20 summit has just been concluded in New Delhi. The summit witnessed many significant developments, underscoring the rapidly changing landscape of the international order.

First, the G20, which comprise the world's 19 leading economies and the EU, made a noteworthy decision to admit the African Union as a member. Xi Jinping and Vladimir Putin were absent from the summit, sending unmistakable messages to the host nation and Western members of the group.

Originally, India was scheduled to host the G20 summit in 2021 and Italy in 2022. At the 2018 G20 Buenos Aires summit in Argentina, Prime Minister Narendra Modi said he had requested Italy to host the summit in 2021 and allow India to host it in 2022, on the occasion of the 75th year of India’s independence. Italy agreed to let India host the G20 summit in 2022 in its place, owing to the momentum in bilateral ties. However, after a request made by Indonesian Foreign Minister Retno Marsudi, India exchanged its presidency of the G20 with Indonesia because Indonesia would also chair the Association of Southeast Asian Nations (ASEAN) in 2023. 

While the official summit declaration condemned the use of force and violations of territorial sovereignty, it notably  refrained from explicit criticism of the Russian invasion of Ukraine. This compromise solution aimed to bridge the vast geopolitical differences among G20 members.

Another major announcement centered on the launch of the India-Middle East-Europe Economic Corridor, a colossal  project often referred to as a contemporary 'Spice Route.' This initiative seeks to connect India with Europe through the Arabian Peninsula and received high praise from Joe Biden. It is seen as a rival to China's Belt and Road Initiative, encompassing transcontinental transportation, energy, and data networks.

Agenda priorities

G20 India has put forth six agenda priorities for the G20 dialogue in 2023:^[14]

• Green Development, Climate Finance & LiFE
• Accelerated, Inclusive & Resilient Growth
• Accelerating progress on SDGs
• Technological Transformation & Digital Public Infrastructure
• Multilateral Institutions for the 21st century
• Women-led development

In an interview on 26 August 2023, Prime Minister Modi expressed optimism about the G20 countries' evolving agenda under India's presidency, shifting toward a human-centric development approach that aligns with the concerns of the Global South, including addressing climate change, debt restructuring through the G20's Common Framework for Debt, and a strategy for regulation of global cryptocurrencies.

These developments highlight a shift in the G20 and G7 dynamics, moving away from their traditional Western-centric composition toward a more 'inclusive' approach,  inviting more nations from the Global South. The expansion of groups like BRICS and the SCO may have influenced this shift, explaining the African Union's inclusion as a partner. Geopolitical and geo-economic considerations also play a significant role, with the India-Middle East-Europe Economic Corridor directly challenging the Belt and Road Initiative and the Russia-led International North-South Transport Corridor.

Interestingly, despite its G20 membership, Beijing was not invited to participate in the new project connecting India  and Europe. This initiative also holds promise in bridging Israel with Arab states.

The creation of multiple transcontinental energy and trade corridors can be seen as a positive development, fostering healthy competition and offering opportunities for  developing nations to attract investments and serve as vital links within these expansive networks.