Global Cooperation and G20: Role of Finance Track

236 Pages·2023·4.698 MB·English

by  Saon Ray, Samridhi Jain, Vasundhara Thakur, Smita Miglani

Saon Ray
Samridhi Jain
Vasundhara Thakur
Smita Miglani
Global
Cooperation
and G20
Role of Finance Track
Global Cooperation and G20
· · ·
Saon Ray Samridhi Jain Vasundhara Thakur
Smita Miglani
Global Cooperation and G20
Role of Finance Track
Saon Ray Samridhi Jain
Indian Council of Research on International PricewaterhouseCoopers Pvt. Ltd.
Economic Relations (ICRIER) Gurugram, India
New Delhi, India
Smita Miglani
Vasundhara Thakur Institute of Economic Growth
The Kiel Institute for the World Economy Delhi, India
and Bielefeld University
Kiel and Bielefeld, Germany
ISBN 978-981-19-7133-4 ISBN 978-981-19-7134-1 (eBook)
https://doi.org/10.1007/978-981-19-7134-1
© The Editor(s) (if applicable) and The Author(s), under exclusive license to Springer Nature
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Acknowledgements
The genesis of the book lies in the research study Evolution of the Finance Track
commissioned by the Department for International Development (DFID) and the
Ministry of Economic Affairs, Ministry of Finance, Government of India, under
the UK-India Economic Policy and Prosperity Partnership (EPPP). We gratefully
acknowledge comments on the draft report from Ms. Anu P. Mathai, Mr. Parveen
Kumar, and Ms. Anoopa Nair of the Department of Economic Affairs, Ministry
of Finance, Government of India. The comments received from FCDO were very
valuable. We are grateful to Dr. Arpita Mukherjee for coordinating the study under
the EPPP.
We are extremely grateful to Dr. Alok Sheel for acting as our mentor during the
study and sharing valuable experiences of the process of G20 agenda setting. We
received important feedback on the draft report from Dr. Sheel. We are thankful
for reviewers who patiently read the drafts and provided valuable comments. These
include Dr. Ludger Schuknecht, Dr. Alok Sheel, Dr. Niranjan Rajadhyaksha, and Mr.
Andy Mukherjee. We are extremely grateful to Dr. John Kirton and the stakeholders
we consulted during our study. Their views have enriched our understanding of the
issues. Finally, we are grateful to our intern Ms. Tanvi Gupta, for her inputs into the
political economy processes in the various countries. We would also like to thank
Ms. Chhaya Singh for all her help.
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Contents
1 Introduction ................................................... 1
1.1 Background of the G20 ..................................... 2
1.2 G7/G8 ................................................... 3
1.3 Evolution of the Finance Track .............................. 4
1.4 Organisation of the Book ................................... 6
Annexure: Documents used ....................................... 9
References ..................................................... 9
2 Organisation of the G20 Finance Track ........................... 11
2.1 The G20 Leaders and Finance Track Themes .................. 11
2.2 Understanding the Organisational Features (Working
Groups, IOs, etc.) of the Finance Track ....................... 15
2.3 Finance Track Working Groups .............................. 16
2.3.1 Framework Working Group ......................... 16
2.3.2 Global Partnership for Financial Inclusion ............. 16
2.3.3 International Financial Architecture (IFA) Working
Group ............................................ 21
2.3.4 Infrastructure and Investment Working Group .......... 22
2.3.5 Green Finance Study Group (GFSG) .................. 22
Annexure 1 ..................................................... 23
Annexure 2: The G20 and International Organisations (IOs) ........... 23
Annexure 3: GPFI and Financial Inclusion Commitments in G20 ....... 33
Annexure 4 ..................................................... 38
References ..................................................... 40
3 Political Economy Shapes Strategies of Countries ................. 43
3.1 2008 Washington DC Summit ............................... 43
3.2 2009 London Summit ...................................... 46
3.3 2009 Pittsburgh Summit .................................... 47
3.4 2010 Toronto Summit ...................................... 50
3.5 2010 Seoul Summit ........................................ 52
3.6 2011 Cannes Summit ...................................... 55
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viii Contents
3.7 2012 Los Cabos Summit ................................... 57
3.8 2013 St. Petersburg Summit ................................. 60
3.9 2014 Brisbane Summit ..................................... 63
3.10 2015 Antalya ............................................. 66
3.11 2016 Hangzhou Summit .................................... 69
3.12 2017 Hamburg Summit ..................................... 72
3.13 2018 Buenos Aires Summit ................................. 75
3.14 2019 Osaka Summit ....................................... 79
Annexure ...................................................... 80
References ..................................................... 81
4 Evolution of the Finance Tracks Agendas ......................... 85
4.1 Process of Agenda Setting .................................. 85
4.2 Significance of Multilateral Engagement in G20 Agenda
Setting ................................................... 88
4.2.1 2008 Washington DC Summit ....................... 89
4.2.2 2009 London Summit .............................. 94
4.2.3 2009 Pittsburgh Summit ............................ 96
4.2.4 2010 Toronto Summit .............................. 101
4.2.5 2010 Seoul Summit ................................ 104
4.2.6 2011 Cannes Summit ............................... 106
4.2.7 2012 Los Cabos Summit ............................ 109
4.2.8 2013 St. Petersburg Summit ......................... 111
4.2.9 2014 Brisbane Summit ............................. 114
4.2.10 2015 Antalya Summit .............................. 117
4.2.11 2016 Hangzhou Summit ............................ 119
4.2.12 2017 Hamburg Summit ............................. 121
4.2.13 2018 Buenos Aires Summit ......................... 124
4.2.14 2019 Osaka Summit ................................ 126
4.3 Scope of the G20 Presidency ................................ 128
4.3.1 Global Economy and Growth Framework ............. 130
Annexure 1: Agenda in the Various Summits ........................ 138
Annexure 2: Summit Wise Plan ................................... 138
Annexure 3 ..................................................... 150
Annexure 4: Latest G20 Commitments [Communiqué, G20
Leaders, Antalya, November 2015] ................................ 150
Annexure 5: Hangzhou Summit ................................... 153
Annexure 6: Co-Chairs’ Report to G20 Deputies, 3 November 2012 .... 153
Annexure 7: G20 Action Plan on Terrorist Financing ................. 154
References ..................................................... 173
5 Financial Regulation and G20 ................................... 177
References ..................................................... 189
Contents ix
6 International Financial Institutions and International
Monetary System Reform ....................................... 193
References ..................................................... 204
7 The Indian Presidency and G20’s Future Agenda ................. 207
7.1 Crises and the G20 ........................................ 207
7.2 Global Economy and COVID-19 ............................ 209
7.3 Problems in the Global Economy ............................ 212
7.3.1 Debt ............................................. 212
7.3.2 Other Issues of Critical Importance ................... 215
7.4 Roadmap for Furthering Finance Track Work .................. 216
7.4.1 Italian G20 Presidency .............................. 218
7.4.2 Indonesian G20 Presidency .......................... 218
7.4.3 Themes for the Indian G20 Presidency (2023) .......... 219
Annexure: G20 Summits ......................................... 221
References ..................................................... 221
About the Authors
Saon Ray is an economist specializing in industry and international trade issues, and
her research is at the intersection of trade and climate change. Her areas of interest
include global value chains, technological upgrading of Indian industries, free trade
agreements and trade creation effects, technology transfer, foreign direct investment,
efficiency and productivity of firms, financial inclusion, and energy and climate
change-related issues. She is a Visiting Professor at ICRIER. She has held positions
at the TERI School of Advanced Studies, Research and Information Systems for
Developing Countries (RIS), and the Institute of Economic Growth (IEG). Her Ph.D.
in Economics from the Jawaharlal Nehru University examined the role of intellectual
property rights in transferring technology to developing countries. Her book Global
Value Chains and the Missing Links: Cases from Indian Industry was published by
Routledge and an edited volume Low Carbon Pathways to Growth in India was
published by Springer in 2018.
Samridhi Jain is a Consultant at PwC India. She is currently working with Central
Bank of Srilanka in developing EPF Policy and improving their systems. She holds a
Bachelor’s degree in Economics from Ambedkar University Delhi and a Postgraduate
Degree in Economics from the University of Mumbai. Her research interests lie in
understanding the state’s role in governing different policies at the state and central
level and in the development of implementation plans. During her stint in ICRIER, her
research work was focused on international finance, DRR and international relations
etc.
Vasundhara Thakur is a doctoral candidate at the Kiel Institute for the World
Economy and Bielefeld University. Prior to this, she worked as a Research Associate
at the Indian Council of Research on International Economic Relations (ICRIER).
Her work spans the areas of international trade, investment, and finance. She holds
a Master’s and Bachelor’s degree in Economics.
Ms. Smita Miglani has over twelve years of experience in policy-oriented research,
working with key ministries of the Government in India. In the past, she has handled
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xii AbouttheAuthors
research positions at ICRIER, Delhi and at the Alliantgroup, Hyderabad. She has
been involved in important studies undertaken for international organisations such
as the British High Commission, European Commission, the American Chamber of
Commerce and Indian industry associations. Smita Miglani has completed M.Phil.
(Economics) from Jawaharlal Nehru University, Delhi and is experienced in the use of
econometrics and advanced economic analysis. Her broad areas of research interest
are international trade and investment, trade finance and climate change issues. She
has published work in reports, working papers, books and refereed journals. Her
research work has contributed to India’s negotiating strategies for bilateral trade and
investment agreements and policy reforms decisions at the domestic level. She is
currently a Consultant at IEG.