G20 Summit Explained What Is It And Why Is It Important

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World leaders from 19 countries and the European Union will meet between June 28-29 in Osaka, Japan for the latest Group of 20 summit. Much of the talk leading up to the summit surrounded a meeting between Chinese President Xi Jinping and US counterpart Donald Trump due to the ongoing trade war.
(SCMP) – All eyes will be on Osaka, Japan this week as the world’s most powerful leaders meet between June 28-29 for the latest G20 summit to discuss a wide range of topics.
However, much of the media attention will be devoted to whether Chinese President Xi Jinping and US counterpart Donald Trump can strike a deal to end or postpone the trade war.
What is the G20?
The Group of 20 nations (G20) is an international grouping made up of Argentina, Australia, Brazil, Canada, China, the European Union, France, Germany, India, Indonesia, Italy, Japan, Mexico, Russia, Saudi Arabia, South Africa, South Korea, Turkey, the United Kingdom, and the United States.
Spain is a permanent guest invitee. It was established in 1999 to broaden the remit of the G7 – a grouping of the world’s most powerful nations, and its primary mandate is to “prevent future international financial crises”.
How often does the G20 meet?
The G20 rotates chairpersons and the members’ leaders initially met twice a year, but this was reduced to once a year since 2011. The leaders’ meetings are usually preceded by ministerial meetings by trade ministers, finance ministers and central bank governors, which are designed to set the agenda for the meetings of the world’s most powerful leaders.
What have been the G20’s perceived achievements?
The leaders’ summits usually have a number of overarching themes. In Buenos Aires last year, these were “the future of work, infrastructure for development and a sustainable food future”. However, the real work often occurs on the sidelines, such as when Presidents Xi and Trump held a working dinner in Argentina and postponed a tariff increase in the trade war. There is hope that the G20 in Osaka will lead to a similar arrangement. The G20 was also credited with helping avert a shift to protectionism post-global financial crisis in 2008, tripling the International Monetary Fund’s budget and giving development banks more remit.
What have been the G20’s perceived failings?
The G20 is widely perceived to have failed to address global inequality. The expansion of the G7 to include more emerging economies brought hope that this would be addressed, but in most member states, inequality is widening. The G20, like many plurilateral organisations, is often dismissed as a “talking shop”, where leaders offer plenty of bluster, but achieve very little material progress.
 

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