In this article, We learn about "G20".Let's Go!
G20 is an international forum for governments and central bank governors from 19 countries and the European Union
G20, commonly known as G20, is a collection of central bank governors and finance ministers that discuss important global economic issues.
The Group of Twenty (G20) was established in 1999 and consists of the 20 largest economies in the world to bring together the most important industrialized and developing economies to discuss the international economic and financial stability .
Since its first launch in 2008, the annual G20 leaders’ summit has grown into a major forum for discussing economics and other pressing global issues.
The G20, while not an official regulatory body, is powerful in international finance. Its agenda often leads to reforms that define the path of the global economic and monetary system.
Regardless of prosperity or crisis, the G20 is regarded as the backbone and primary decision-making body of the world's financial community.
Composition and mission
The G20 is made up of the world’s economic superpowers, financial leaders and developing countries.
As a group, G20 members represent every continent (except Antarctica).
USA
G20 countries account for about 80 percent of global economic output, nearly 75 percent of global trade, and about two-thirds of the world's population.
G20 is not a permanent body without headquarters, offices or staff.
Instead, its leadership rotates annually among its members, its decisions are made by consensus, and the implementation of its agenda depends on the political will of individual countries.
As a non-partisan independent think tank, the official mission statement of the G20 is as follows:
- “Serves as a facilitator and mediator of expert discourse with a focus on innovation-driven communication.”
- “Initiate and coordinate communication between government, business, academia and youth in an effort to create a sustainable win-win situation for all participants.”
G20 History
Its creation dates back to the late 1990s, when it was decided to expand the existing Group of Seven (G7).
The G20 was established in 1999 after the Asian financial crisis and brought together finance ministers and central bank governors from the world's 20 largest mature and emerging economies.
G7 acting ministers said there was a need to "expand the dialogue on key economic and financial policy issues" while "promoting cooperation and achieving sustainable global economic growth for all", seeking to expand the group's reach.
The result is that the world's most influential economies (both advanced and emerging) are included.
One of the inspirations behind the establishment of the G20 was the framework proposed by the Bretton Woods agreement.
In December 1999, the acting heads of the G7 convened "colleagues from systemically important countries around the world" to Berlin, Germany.
They are tasked with responding to challenges facing the international economic and financial environment, and invitees include major global powers and developing countries.
In addition, representatives of the Berlin Conference also included representatives of legacy organizations of the Bretton Woods system such as the International Monetary Fund and the World Bank.
Ten years later, at the height of the global economic crisis, the G20 was upgraded to include heads of state and government.
One of the founding principles of the G20 is to recognize the growing importance of developing countries and to promote full integration of the global economy.
These goals are outlined in the G20’s mission:
- Help set the international agenda.
- Debate economic and financial issues that lack consensus.
- Prevent and resolve international financial crises.
- Strengthening the financial system through transparency.
G20 Leaders Summit
A key function of the G20 is the annual Leaders Summit , which invites heads of state, central bankers, and various civic and business leaders to share ideas on the health of the global economy.
G20 member leaders meet every year to discuss economic and financial issues and coordinate policies on other issues of common concern
The event lasts for two days and is the climax of the entire year's work.
The G20 initially focused on broad macroeconomic policies but has now broadened its focus.
Economic and financial coordination remains at the heart of each summit's agenda, but issues such as the future of work, terrorism and global health are also recurring focal points.
Following the Leaders’ Summit, the G20 issued a formal statement on the official recommendations it has developed throughout the year.
The first Leaders Summit was held in Washington, D.C., USA in 2008. Since then, regular meetings have been held at various international locations.
Future venues will be announced in advance, similar to the Olympic Games.
G20 member states host the summit in turn, and the host city is nominated by the leader of the host country.
The annual G20 leaders' summit brings together the world's most powerful heads of state and business leaders.
Breaking news from meetings often exacerbates pricing swings in stock, futures and currency markets.
Recent summits have grappled with the shift toward unilateralism in America under President .
These gatherings avoided previously standard language about rejecting protectionism and promoting international cooperation.
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