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G20 industrial nations

The G20 (Group of 20) is a group consisting of 19 of the world's largest economies, together with the European Union. The G20 was formed as a new forum for cooperation and consultation on matters pertaining to the international financial system. It studies, reviews, and promotes discussion among key industrial and emerging market countries of policy issues pertaining to the promotion of international financial stability, and seeks to address issues that go beyond the responsibilities of any one organization.

G20 countries/unions

History

The G20, which superseded the Group of 33, which had itself superseded the G22, was foreshadowed at the Cologne Summit of the G7 in June 1999, but was formally established at the G7 Finance Ministers' meeting on September 26, 1999. The inaugural meeting took place on December 15-16, 1999 in Berlin.

The membership of the G20 comprises the finance ministers and central bank governors of the G7, 12 other key countries, and the European Union Presidency (if not a G7 member); the European Central Bank; the Managing Director of the International Monetary Fund; the Chairman of the IMFC; the President of the World Bank; and the Chairman of the Development Committee. The Honourable Trevor A. Manuel, MP, Minister of Finance, Republic of South Africa, was the chairperson of the G20 when South Africa hosted the Secretariat in 2007. Guido Mantega, Minister of Finance, Brazil, is the chairperson of the G20 in 2008 when the Secretariat is hosted by Brazil.

In 2006 the theme of the G20 meeting was “Building and Sustaining Prosperity”. The issues discussed included domestic reforms to achieve “sustained growth”, global energy and resource commodity markets, ‘reform’ of the World Bank and IMF, and the impact of demographic changes due to an aging population.

In 2008, the host country Brazil has proposed dialogue on competition in financial markets, clean energy and economic development and fiscal elements of growth and development. In a statement following a meeting of G7 finance ministers on October 11, 2008, US President George W. Bush stated that the next meeting of the G20 would be important in finding solutions to the economic crisis of 2008.

Goals of the G20

The primary goal of the G20 is to discuss and develop policies that promote the "high and sustainable growth" of the global economy. It does this in part through promoting policies consistent with the G20 Accord for Sustained Growth agreed to in 2004. This Accord stresses a range of policies, including:

The elimination of restrictions on the international movement of capital
Deregulation
Flexible labour market conditions
Privatisation
Enforcement of intellectual and other private property rights
Creating a business climate conducive to foreign direct investment
Global trade liberalisation (through the WTO and bilateral free trade agreements)

Organization

The G20 operates without a permanent secretariat or staff. The chair rotates between members annually, and is selected from a different regional grouping of countries each year. The chair is part of a revolving three-member management Troika of past, present and future chairs. The incumbent chair establishes a temporary secretariat for the duration of its term, which coordinates the group's work and organizes its meetings. The role of the Troika is to ensure continuity in the G20's work and management across host years.