The G20 summit which opens this Monday in Rio, Brazil. It is a meeting that brings together the largest economies on the planet with this ambition: to organize global economic cooperation. Is it still like this? Decipherment.
THE G20 it represents 85% of global GDP and three-quarters of international trade. However, it faces many crises and tensions. Furthermore, this economic forum was born out of crises. Without going into details, it was born in 1999 with the Asian financial crisis two years earlier but it was only in 2008 that we knew it as it is today after the financial crisis. subprime.
Meanwhile the global situation has changed. Some members of the G20 have joined another group, which is also very influential: the Brics group, which has now become the Bric+ after being expanded. Included areSouth AfricaTHE ChinesetheIndTHE BrazilTHE Russia. The subtlety is that these powers now carry very high weight in the G20 community.
Become a member of the Brics and the G20
States belonging to these two groups have much to gain. Being part of such a group, with all Western economies, means first and foremost making your voice heard. With this ambition in mind, to demonstrate solidarity between all these economies that do not all have the same priorities, UNITED STATES to China via Russia.
However, some requests are making their way onto the agendas of Western powers, with a certain pragmatism it must be said. Because Westerners do not want the gap to widen with representatives of the “Global South”, countries that reject Western domination. The reason? Context of tensions, for different reasons, with protagonists: Russia and China.
Two essential issues for this G20 summit
THE Brazilian President Lulawhich this year occupies the rotating presidency of the G20, demonstrates this: it wants to dedicate the group’s forces to the fight against poverty and the strengthening of international taxation. This requires better representation of developing country members of the G20 in international institutions. But also with the desire to better use the resources of regional banks to increase the volume of loans and the level of intervention in favor of the most vulnerable countries.
And as far as international taxation is concerned, taxation of the most profitable large companies but also of people is a big problem. Concretely, it involves taxing the richest people on the planet at 2%, which could yield 250 billion dollars a year.
Two ambitions not so simple to explain, due to the diversity of G20 member countries and economies which do not have the same priority or the same approach. There are also conflicts inside Ukraine and in the Middle East which will weigh on the debates. And then in everyone’s mind also the arrival in two months of the Donald Trump at the White House. The future American president could further undermine multilateralism, which risks showing its limits once again during the Rio summit.
How do geopolitical tensions influence the discussions and outcomes of G20 summits?
Interview Between Time.news Editor and Economic Expert
Time.news Editor: Good day, and thank you for joining us today as we discuss the G20 summit opening this Monday in Rio, Brazil. With us is Dr. Elena Torres, an expert in international economics and global cooperation. Dr. Torres, as we approach this year’s summit, can you give us an overview of the G20’s significance in today’s economic landscape?
Dr. Elena Torres: Thank you for having me. The G20 is incredibly significant; it represents a staggering 85% of global GDP and three-quarters of international trade. This collective makes it one of the most powerful economic forums in the world, serving as a platform for major economies to discuss global cooperation and address pressing economic issues.
Time.news Editor: That’s impressive. However, as we’ve seen, the G20 also faces many challenges and crises. What are some of the most pressing issues that the G20 will need to tackle in this summit?
Dr. Elena Torres: Absolutely, the G20’s ability to operate effectively is often hindered by global tensions and crises. We have ongoing economic disparities, geopolitical conflicts, and environmental concerns. In particular, the recent economic slowdown in various nations, inflation, and the effects of climate change are high on the agenda. The G20 must navigate these challenges with a unified approach to foster cooperation and stability.
Time.news Editor: You mentioned geopolitical conflicts. Recently, we’ve seen some members of the G20 aligning themselves with the BRICS group. How does this relationship impact the dynamics within the G20?
Dr. Elena Torres: The emergence of BRICS, now expanded to BRIC+, has altered the power balance in global economic discussions. Members like China, India, and South Africa bring significant economic weight and perspective to the table. Their participation in both the G20 and BRICS allows these nations to amplify their voices and interests, which may differ from Western priorities. This dual membership creates a complex interplay of alliances that could either lead to more inclusive dialogue or exacerbate divisions.
Time.news Editor: Very insightful. What are the motivations for countries to be part of both forums?
Dr. Elena Torres: Membership in both forums offers countries the unique opportunity to leverage their standing on multiple fronts. On one hand, being part of the G20 allows them to engage with Western economies and align with global development goals. On the other hand, being part of BRICS provides a platform to address issues more pertinent to emerging economies, thus helping them maintain influence and demonstrate solidarity with like-minded nations.
Time.news Editor: That makes sense. As the G20 seeks to address diverse economic priorities, how do we anticipate Western nations will engage with emerging economies during this summit?
Dr. Elena Torres: There’s a pragmatic approach emerging, especially among Western nations. They recognize the importance of not alienating powerful voices like China and Russia. We may see a willingness to incorporate certain demands from these nations to build bridges and narrow gaps. However, reconciling varied interests will remain a crucial challenge.
Time.news Editor: In light of this, what can we expect regarding the outcomes of the summit? Are there any key areas where you anticipate significant progress?
Dr. Elena Torres: One of the major areas for potential progress is climate action. Given its global implications, there is common ground here that could lead to commitments towards sustainability and green technology. Additionally, addressing supply chain disruptions and global health initiatives post-pandemic are likely to be focal points. However, the effectiveness of these talks will depend on the willingness of all parties to compromise and collaborate.
Time.news Editor: Fascinating insights, Dr. Torres. As we look to the future, what would be your final thoughts on the evolution of the G20 amidst these changes?
Dr. Elena Torres: The G20 is at a pivotal juncture. Its relevance in a multipolar world hinges on its ability to evolve with the changing dynamics of global power. Building stronger partnerships, embracing diverse priorities, and focusing on collective action will be crucial for the G20 to maintain its status as a crucial forum for global economic cooperation.
Time.news Editor: Thank you, Dr. Torres, for sharing your expertise on these important topics. Your insights will help our audience understand the complexities of this year’s G20 summit. We look forward to seeing how these discussions unfold in Rio!
Dr. Elena Torres: Thank you for having me! I too am eager to see the outcomes of this summit and how it will shape our global economic future.