INTRODUCTION

The Group of Twenty (G20) is a premier international forum comprising 19 countries and the
European Union (EU), representing the world's major economies. G-20 is a group of finance
ministers and central bank governors from 19 of the world’s largest economies along with the
European Union.Established in 1999 in response to Asian financial crises, the G20 aims to
foster global economic cooperation and policy coordination. India plays a significant role within
this group, contributing to discussions and decisions that impact global economic governance
and development.India’s G-20 presidency with representation from world’s most powerful
countries accounting for 85 % of the global GDP and 75 % of global exports, has provided a
platform for international economic cooperation & also an opportunity for India.

G20 countries

Argentina Australia

Brazil Canada

China France

Germany India

Indonesia Italy

Japan Mexico

Republic of Korea Republic of South Africa

 Russia Saudi Arabia

Turkey United Kingdom

United States of America European Un

International Organizations invited as Guests

United Nations, International Monitory Fund (IMF), World Bank (WB), World Health Organization
(WHO), World Trade Organization (WTO), International Labour Organization (ILO), Financial
Stability Board (FSB) Organization for Economic Co-operation and Development (OECD) and
many more regional organizations like the Asian Development Bank (ADB).

G20 Theme

Vasudhaiva Kutumba-Kam,” or “One Earth, One Family, One Future,” is the focus of
India’s G20 Presidency.

● India will work to ensure that there is “just one world,” not a “first world or third world.”
● The G20 Theme embodies India’s efforts to realize its vision of uniting the entire world in
pursuit of a common goal and a better future.

History of G20

When the Asian Financial Crisis of 1997-1998 ended, it was acknowledged that the participation
of major emerging market countries was necessary for a discussion on the international
financial system. Hence, the G7 Finance ministers agreed to establish the G20 Finance
Ministers and Central Bank Governors meeting in 1999.

The meeting of G20 Finance ministers and the Central Bank Governors was centered on major
economic and monetary policy issues amongst major countries in the global financial system
Role of the G20

1. Economic Governance:The G20 serves as a platform for member nations to discuss and
address pressing global economic issues. This includes fostering economic growth, financial
stability, trade, investment, and tackling challenges like poverty, inequality, and climate change.

2. Policy Coordination: It facilitates dialogue and cooperation among member nations to align
their economic policies, aiming for sustainable and inclusive growth while addressing
macroeconomic imbalances.

3. Financial Regulation and Stability: After the 2008 global financial crisis, the G20 played a vital
role in implementing financial reforms to enhance the resilience of the global financial system,
including measures to regulate banks and improve transparency in financial markets.

4. Trade and Investment:The G20 promotes open and fair trade practices while addressing
trade imbalances and protectionism. It seeks to facilitate global trade and investment flows to
bolster economic growth.

India's Role within the G20:

1. Economic Growth: India is one of the fastest-growing major economies globally. Its inclusion
in the G20 reflects its economic significance and potential. India's inputs in discussions on
fostering growth, infrastructure development, and investment play a crucial role.

2. Development Perspectives: India advocates for inclusive and sustainable development,

emphasizing the need for policies that benefit not just developed nations but also emerging
economies and the underprivileged sections of society.

3. Climate Change and Renewable Energy: India actively participates in discussions on climate
change mitigation and adaptation. Given its commitment to renewable energy and addressing
climate challenges, India's perspective contributes to shaping global climate policies.

4. Digital Economy and Innovation: India, with its thriving technology sector and digital
initiatives, contributes ideas on fostering innovation, digital inclusivity, and cybersecurity within
the G20 discussions.

Prospects and Challenges:

1. Leadership Opportunities:India's growing economic prowess positions it to take on more

significant leadership roles within the G20, influencing policies aligned with its interests and
those of other developing nations.

2. Global Partnerships: Within the G20, India has the chance to strengthen diplomatic ties and
strategic partnerships, fostering collaborations beyond economic matters.
3. Challenges:India faces challenges like balancing its domestic priorities with global
commitments, addressing inequality, ensuring sustainable development while navigating the
complex geopolitical landscape within the G20.

In summary, the G20 serves as a vital platform for global economic governance, and India, with
its growing economy and diverse perspectives, plays an increasingly significant role within this
forum. Its contributions help shape policies aimed at fostering inclusive growth, addressing
global challenges, and promoting cooperation among nations for a more stable and prosperous
world.

KEY TAKEAWAYS
● Comprehensive rail and shipping connectivity network announced linking US, India,
Saudi Arabia & Gulf and Arab states, and European Union.
● Among the most contentious issues, Delhi Declaration has been adopted with China and
Russia in agreement to it. It called on nations to uphold international law, including
territorial integrity and sovereignty, international humanitarian law, and the multilateral
system that safeguards peace and stability.
● The key points of the above declaration were then communicated by India's G20
Sherpa, Amitabh Kant, who emphasized that the focus areas of New Delhi G20
declaration were. 1. Strong, Sustainable, Balanced, and Inclusive Growth. 2.
Accelerating Progress on SDGs. 3. Green Development Pact for a Sustainable Future.
4.Multilateral Institutions for the 21st Century. 5. Reinvigorating Multilateralism
● PM Modi announced the launch of Global Biofuel Alliance to boost the use of cleaner
fuels. It was affirmed that this alliance will accelerate global efforts to meet net zero
emissions targets by facilitating trade in biofuels derived from various sources, including
plant and animal waste.
● G20 is now G21: The African Union will be admitted as a full member at the 18th summit
of the G20.It makes the 55-member bloc the 2nd multi-nation grouping after the
European Union to be a permanent member of the G20.