G-20 Summit – Its Potential Impact on Indian & Global Economy

• India will host the G-20 Summit in Delhi from September 9 to 10, 2023. 
• Member nations and invitees will be discussing various issues of global importance. 

Between September 9-10 2023, India will host heads of states & officials for the G-20 Summit; with potential impact on Indian & Global Economy. Every year under rotational presidency, these member countries along with invitees brainstorm on the current global issues and discuss future growth plans. Such gatherings have huge potential to impact the economies of the member nations along with other nations in the world. 

G-20 Summit – The Group Determined for Holistic Development

G-20, or the Group of Twenty, was founded in 1999 after the Asian financial crisis as a ‘Forum for the Finance Ministers & Central Bank Governors’ to talk about global financial and economic issues. After the global recession of 2007, it was upgraded to the levels of heads of states and governments. In 2009, it became “Premier forum for International Economic Cooperation.” 

The member nations include, Argentina, Australia, Brazil, Canada, China, France, Germany, India, Indonesia, Italy, Japan, Mexico, Republic of Korea, Russia, Saudi Arabia, South Africa, Turkey, United Kingdom, the United States of America, and the European Union. Together these nations contribute to 85% of global GDP, over 75% of global trade and are home to nearly two-third of world population. 

India took the presidency for G20 Summit, from Indonesia, and will pass on the baton to the next host Brazil in December 2023. It should be noted that there is no headquarters for the G-20, its presidency is rotated on a yearly basis. Every year the group focuses on certain issues and releases declarations on issues like global warming, etc. 

Together this group contributes 85% of the global GDP, and has the potential to seriously impact the global economy. Considering the current global macroeconomic scenario, Russia-Ukraine war, U.S. avoiding the breach of debt ceiling, inflation, looming fear of recession, etc. the importance of this summit increases. 

Agenda for G-20 Summit 2023

The theme for this year’s G-20 Summit under India’s presidency is “Vasudhaiva Kutumbakam” or “One Earth. One Family. One Future.” The officials of the member nations partake in various meetings throughout the year, gathering data and pointers for the heads of state to discuss in the Summit. 

G20-Summit 2023 will revolve around the issues of; increasing loans to developing nations, altering the international debt structure, addressing the impact of geopolitical uncertainties on energy, food and security. This year they would also discuss having a global comprehensive framework for crypto regulation. 

The key focus areas India shall be concentrating on include; green development, climate finance, and Lifestyle Environment (LiFE). India has reiterated its commitment to addressing climate change, green and sustainable development. Introduction to LiFE would align our age-old sustainable development tradition to promote environmentally conscious practices. 

Accelerated, Inclusive & Resilient Growth; a point to focus on facilitating structural transformation. It would have the potential to support small and medium size enterprises to enter the global trade. Working on labor rights and welfare, along with bridging the skill gap. Accelerating progress on SDGs; realigning goals and development to align with the 2030 agenda for sustainable development. 

Technological Transformation & Digital Public Infrastructure; advocacy for a human-centric approach for technological development. Encouraging knowledge sharing for robust digital public infrastructure, and others. Multilateral Institutions for the 21st Century; creating more accountability, inclusivity and representation of international framework capable of addressing contemporary challenges. 

Women-led Development; the group is committed to emphasize women;s empowerment and their representation to boost socio-economic advancement. All these agendas have potential to influence global economic development, along with strengthening the diplomatic relationships between the member nations and invitees. 

How Can G-20 Influence Indian and Global Economy?

The member nations for G-20 are home to over two-third of the global population, and control over 75% of global trade. Such meetups boost the partnership between member nations, and have a serious impact on their combined economies. 

New trade agreements, strengthening old agreements, should boost the overall economic prowess. Increased foreign investments, business and trade partnerships, loan reforms, support to developing countries, etc. would facilitate increased capital flow, and boost the overall economic as well as global prowess of G-20 member nations. 

India is expected to invite foreign investment for solar and sustainable energy projects. Also, the recent escalation of India as a fastest growing economy shall gain more speed. The nation under the leadership of Narendra Modi is proud to host the G-20 Summit between September 9 & 10, 2023 at Bharat Mandapam International Exhibition Convention Center (IECC).