G20 china_web

Editors’ introductions
KEY TAKEAWAYS
President Xi Jinping can showcase his
vision for global governance
The G20 can expand its influence,
decision-making and implementation
10 SIGNS OF
PROGRESS
1
Innovative growth
Action plans for the new
industrial revolution
and the digital economy
The United Nations 2030
2 Agenda for Sustainable
Development
3
Structural
Prioritising development and
inviting developing country
leaders to the summit
reform
Guiding principles and an
index system to measure
results
Prospects
for Hangzhou
Chinese President Xi Jinping has set the stage for the G20 summit
in Hangzhou to be of both historical and political importance,
writes John Kirton
4
Trade
Strategies for facilitation,
financing and policy
coordination
5
Investment
Guiding principles for
multilateral global investment
6
The International
Monetary Fund
Finishing its quota review and
building the global financial
security network
7
Anti-corruption
Creating a research centre
and action plan for fugitive
repatriation and asset
recovery
8
Industrialising Africa and the
least-developed countries
Investment to help meet the
2030 Agenda’s Sustainable
Development Goals
9
Entrepreneurship
An action plan, policy
proposals and exchange
of experiences
10
Climate change
Early entry into force of
the 2015 Paris Agreement
and more international
cooperation
The G20’s 11th summit, in
Hangzhou, China, is the first
time the world’s second-ranked
economic power will be the
summit's host. It is also the
first time the summit will have been
hosted consecutively by two emerging
countries, following Turkey in 2015. It is
the first summit hosted by a country not a
member of the Organisation for Economic
Co-operation and Development. It is the
second time the host is a member of the
BRICS group of Brazil, Russia, India, China
and South Africa. The choice of China for
2016 shows it is the leading power in the
rapidly rising Asian region.
Hosting will enable President Xi
Jinping to showcase his vision for global
governance. He brings formidable
assets to this task. They include great
domestic political solidarity, substantial
international and G20 summit experience,
and a foreign policy that treats the G20
as a priority.
Xi faces several challenges. China’s
rapidly and reliably rising relative
capabilities previously led it to contribute,
through the G20, to a crisis-afflicted
world. In 2016, China’s compounding
relative vulnerabilities now require
its more ambitious leadership, in the
interests of both China and an intensely
interconnected world.
The challenges start with several
successive global shocks. These include
terrorist attacks in France and Germany,
an attempted coup in Turkey, the ongoing
war against so-called Islamic State in Syria
and Iraq, the surging flows of migrants into
Europe and Britain’s surprising decision
to leave the European Union. Financial
fragility afflicts an indebted Greece, Italian
banks and several oil-exporting states.
Global economic growth is low. This
concerns China as it makes its challenging
transition to a new growth model, in part
through financial market and exchange rate
opening with stability in a successful way.
G20 leadership
With the major multilateral organisations
struggling with these challenges, the world
looks for leadership from the G20, backed
by the new Chinese-led institutions of
the New Development Bank, the Asian
Infrastructure Investment Bank and the
Silk Road Fund. It also looks to China,
whose recent fiscal stimulus, stable
exchange rate and more market-oriented
economy makes it an important part of
global growth.
Xi has responded with a vision for his
summit that is bold and broad. When China
assumed the G20 chair in December 2015, he
called for the G20 to seize the opportunities
offered by technological breakthroughs
and the new industrial revolution currently
underway. His goals were to build an
“innovative, invigorated, interconnected and
inclusive global economy”, to improve G20
decision-making and implementation and to
expand its influence.
78 G20 China: The Hangzhou Summit • September 2016 G7G20.com