New challenges for economic growthBrics leaders at this year’s G20 summit have expressed views on a range of global issues of importance, ranging from politics to security and the economy. Brics leaders raise issues at G20 meeting Brics leaders met on the margins of the G20 Summit in Hangzhou, China on Sunday, according to a statement issued by the Brics counties.At the meeting of Brics leaders at the G20 Summit, they welcomed the progress in the functioning of New Development Bank (NDB) and expressed satisfaction at NDB’s approval of the first set of loans to member countries in the renewable and green energy sectors as well as the successful issuance of the bank’s first bond, a green bond denominated in RMB. They stressed, in this regard, NDB’s potential to bridge the gap in financing infrastructure projects. According to the statement, the Brics leaders exchanged views on a wide range of global political, security, economic and global governance issues of importance and mutual concern.
“Cognisant of global growth challenges, the leaders recognised that Brics countries [Brazil, Russia, India, China and South Africa] are confronted with new challenges in their respective economic growth. In this regard, they recognised that the economic growth prospects and momentum of Brics countries will continue to be a critical engine for global economic growth,” according to the statement.
“The leaders underlined the importance of further strengthening Brics strategic partnership guided by principles of openness, solidarity, equality, mutual understanding, inclusiveness and mutually beneficial cooperation.”
The Brics leaders underlined the importance of establishment of a just and equitable international order based on international law. They expressed full confidence in the successful outcomes of the Hangzhou Summit and appreciated the emphasis by the China on the development agenda.
The Brics leaders encouraged G20 members to strengthen macroeconomic cooperation, promote innovation, robust and sustainable trade and investment growth. They agreed to pursue issues of global and mutual interest to the Brics countries at the G20.
They reiterated their commitment to enhance dialogue and cooperation with other emerging market economies and developing countries.
They also stressed the importance of fostering an innovative, invigorated, interconnected and inclusive world economy to usher in a new era of global growth and sustainable development.
The Brics leaders concurred that the global economic recovery remains uneven with significant downside risks.
They underlined the significance of macroeconomic policy coordination among G20 member countries, including in order to avoid negative spill-overs and to achieve strong, sustainable and balanced growth.
Innovation
According to the statement, the Brics leaders recognised that innovation is a key driver for mid- and long-term growth and sustainable development. In this regard, they welcomed the G20 Blueprint on Innovative Growth.
They underscored the centrality of the World Trade Organisation (WTO) as the cornerstone of a rule-based, open, transparent, non-discriminatory and inclusive multilateral trading system and the continued need for development to be at the centre of the work of the WTO. They also urged the G20 member countries in collaboration with the International Monetary Fund (IMF) to step up efforts to increase the institution’s quota resources and review the distribution of quotas and votes to ensure fair reflection of emerging and developing economies.
Corruption
The Brics leaders stressed that corruption, illicit cross-border financial flows, and ill-gotten wealth derived from illegal activities, stashed in foreign jurisdictions, adversely impact institutional capacities and effectiveness and called for enhanced cooperation and effective measures among G20 economies.
They also reiterated their commitment to the implementation of the 2030 Agenda for Sustainable Development, including through strengthening cooperation among Brics countries in this process.
Lastly, they reiterated the importance of international cooperation in countering the threat of terrorism.
The 8th Brics Summit will take place in Goa, India, in October.
NEWS24