In a recent event, the External Affairs Minister of India attended the G20 Foreign Ministers Meeting held in Bali, Indonesia. The theme was centered around “Building a more peaceful, stable, and prosperous world together.” Notably, this meeting comes with a backdrop of India’s evolving foreign policy and its involvement in international groupings.
India’s Diplomatic Dialogues at the G20
One of the crucial elements of the meeting was a discussion between the External Affairs Minister of India and the Chinese State Councilor and Foreign Minister. India reinforced the need for an early resolution of existing issues along the Line of Actual Control (LAC) in Eastern Ladakh to restore peace and tranquility. Besides, both nations agreed on ensuring regular contact between their military and diplomatic officials. China appreciated India’s support during its BRICS Chairmanship and assured its backing for India’s upcoming G20 and SCO Presidency.
Emerging Differences within the G20 Grouping
Despite the core agenda revolving around global economic matters, the recent meeting saw a shift towards political disagreements. Russia accused the United States of abandoning cheap energy sources, while the U.S held Russia responsible for “global food insecurity.” Furthermore, the ongoing Ukraine war and its economic repercussions are creating divisions within the global grouping.
The G20: An Overview
The G20 is an informal assembly of 19 nations and the European Union (EU). It was founded in 1999 and includes representatives from the International Monetary Fund and the World Bank. These members collectively represent approximately two-thirds of the world’s population. It operates without a fixed headquarters, rotating its secretariat among the countries that host or assume the annual presidency.
The Evolution of the G20
The global financial crisis between 2007-08 escalated the G20’s significance as a premier crisis management body. Over the years, its focus widened to encompass issues such as climate change, social security, inequality, and sustainable development goals. However, despite lofty commitments, the G20’s actions have often lagged.
The Potential of India in G20 Presidency
As a founding member of the G20, India has utilized the platform to raise salient issues impacting the vulnerable worldwide. However, rising unemployment rates and poverty within the country pose challenges to its leadership role on this global stage. On the positive side, India’s ‘Self Reliant India (Atmanirbhar Bharat)’ initiative and its role in promoting renewable energy are regarded as potential game-changers in the global economic scenario.
Challenges Faced by the G20
The G20 faces several challenges, including geopolitical fissures, international finance concerns, macroeconomic policy, an uneven recovery from the pandemic, and the illicit use of crypto-assets. Geopolitical polarisation of interests presents significant obstacles, such as the recent U.S. demand not to invite the Russian President or face a potential boycott. Other challenges include addressing the debt-to-GDP ratio, mitigating inflationary pressures, and promoting essential healthcare access.
India’s Challenges with the G20
India will be hosting the G20 Summit in November 2022, which brings its own set of challenges. Balancing the polarised international interests of member countries and efficiently organizing the event are top priorities. Also, holding 100 preparatory meetings across the country amidst existing conflicts adds to the complexity of the task.
Way Forward
Reinforcing partnerships with organizations like the IMF, OECD, WHO, World Bank, and WTO, prioritizing global cooperation over individual interests, diplomatic resolution of conflicts, and utilizing the G20 platform for advocating global peace and cooperation are some ways the G20 can evolve.
To conclude, despite the challenges, the G20 has the potential to bring about significant changes in the global economic and political scenario. However, this requires a collaborative approach, substantial diplomatic efforts, and a focus on overarching global needs rather than individual country interests.