By Serrai Invest Capital Ltd (Media Team) 11/11/2015
Representing 90% of the world economy, 80% of world trade and 2/3 of the world population, the G-20 has today emerged as the premier forum for international economic cooperation and has provided much-needed focus and energy at a critical time for the global economy.
G-20 was established as a new platform following the financial crisis which started in the emerging economies in Asia and spread across the world in the late 1990s. At that time G-7 Finance Ministers and Central Bank Governors felt the necessity to broaden the dialogue on key economic and financial policy issues among systemically significant economies from various regions around the world. After a lengthy and thorough selection process, the current members, Turkey among them, were invited to join the G-20 co-operation platform. The Finance Ministers and Central Bank Governors met regularly to continue this dialogue.
In 2008, the world experienced a new and unprecedented wave of economic and financial crisis, which affected the most robust economies as well as the more fragile ones. G-20 members were called upon to further strengthen international cooperation in order to tackle this new crisis. Amidst the global financial meltdown, the G-20 Leaders convened for the first time in November 2008 in Washington, to deal with the crisis, restore global growth and initiate necessary reforms in the financial markets. Subsequent G-20 Summits have been held in London and Pittsburgh in 2009, in Toronto and Seoul in 2010, in Cannes in 2011. The last G-20 Summit was held in Los Cabos, Mexico in June, 2012.
Today, G-20 is the premier platform for international economic cooperation, policy coordination and result-oriented action.
As the premier forum for global economic cooperation, the G-20 takes up a wide range of issues related to the global economy such as development, energy security, climate change, employment, eradicating poverty, combating corruption, food security. G-20 also focuses on reform and reconfiguration of the global economic and financial system in line with today’s realities.
The G-20 does not have a permanent Secretariat. The Presidency rotates between members. The member country which assumes the Presidency establishes a temporary secretariat or task force for the duration of its term to coordinate the group’s work and manage its meetings. The G-20 agenda is carried out on the basis of the principle of continuity, taking into consideration international economic and financial developments. The decisions taken in the G-20 Summits are considered instructive in general for the next term Presidency. In order to ensure continuity and consistency in the agenda, the Troika System was formally adopted in the Cannes Summit.
Turkey and G-20:
With its highly representative structure including all the major advanced and emerging economies, Turkey considers the G-20 as the most appropriate body for global economic cooperation and policy coordination. Accordingly, H.E. Recep Tayyip Erdoğan, Prime Minister of the Republic of Turkey, has participated in all G-20 Leaders Summits which have been held to date.
Besides the Leaders’ Summits, Turkey actively participates in and contributes to all G-20 meetings and activities held in various formats at various levels.
As the premier forum for international economic cooperation, the G-20 has played a key role in responding to and recovering from the global financial crisis. As a member of this platform, Turkey gives the highest importance to expanding and strengthening the effectiveness, visibility and role of the G20. In this regard, Turkey supports the preservation of the effectiveness of the G-20 and the strengthening of the role of the G-20 in addressing global economic challenges.
G-20’s added value compared to international organizations is that thanks to its informal structure, enabling open and frank dialogue at the level of Leaders, it can take rapid and effective action against crises. Turkey wants this aspect to be preserved and nurtured.
On the other hand, G-20 is not a crisis-only platform. It is the premier forum for international economic cooperation and its main focus is on broad global economic challenges, such as food security, development, green growth, financing climate change, avoiding protectionism in trade and investments, combating corruption. Turkey is of opinion that G-20 should continue to provide strategic direction and leadership on these challenges, help build consensus at global level on the settlement of difficult issues and facilitate solutions to overcome potential deadlocks.
Los Cabos Growth and Jobs Action Plan agreed in the G-20 Los Cabos Summit which was held in Mexico in June, 2012 includes a combination of policy measures with short- and medium-term impacts in the G-20’s advanced and emerging economies. In the Summit, an Accountability Assessment Framework which establishes the procedures to follow to report on progress in implementing in meeting past commitments was adopted. In this regard, the G-20 members will be monitored through regular reports which will be prepared for Ministers and Leaders and be made public. Turkey supports the establishing an accountability mechanism and sees it as a useful tool for the G-20’s purposes of openness, transparency, legitimacy and credibility.
Turkey’s 2015 G20 Presidencies:
Turkey will assume the G-20 Presidency in 2015. That year, the G-20 Leaders Summit will be held in Turkey.
Turkey attaches the highest importance to this task. We will mobilize all our resources and institutions to make our Presidency a success. We believe our global and regional connections, dynamic economy, expanding aid and assistance programs as a rising donor and extensive experience in hosting high-profile international events provide us with the necessary tools to steer and advance the G-20 agenda in 2015 in a useful and result-oriented way.
Ensuring global economic and financial stability, reforming the global economic system according to the realities of today, reflecting the increasing weight of emerging economies in the system and development are important issues for Turkey. In 2015, we will strive to focus the G-20’s work on these issues and to produce tangible results.
Turkey will also aim to further develop the relationship and cooperation between the G-20 and the countries and organizations in its region.