The G20 Summit 2014 concluded with Brisbane Action Plan
The G20 Summit was held in Brisbane, Australia and G20 leaders released the final communique known as the Brisbane Action Plan.
The G20 Summit 2014 of emerging economies concluded in Brisbane, Australia on 16 November 2014. At the conclusion of the Summit, the G20 leaders released the final communiqué known as the Brisbane Action Plan.
The Action Plan contains a package of more than 800 reforms to boost global growth, shore up financial institutions and improve economic resilience. If these are implemented, then global growth will see an increase of 2.1 percent.
Highlights of the G20 Brisbane Action Plan
• After recovery from the global financial crisis the G20 agreed on the need for bold and coordinated push to generate strong, sustainable economic growth across the bloc.
• It set an ambitious goal to lift G20 growth by more than 2 percent to 2018 and millions of additional jobs.
• It is targeting big target areas like investment, competition, trade and employment alongside macroeconomic policy. Each member has developed a comprehensive growth strategy along these themes.
• G20 member plans to be more coordinated in the ways and ready to use all policy levers to strengthen confidence and the recovery.
• A global infrastructure hub funded by government contributions will be established in Sydney.
Global Economic Conditions
• The Global Economic conditions have improved especially in US, UK and Canada but Europe and Japan are struggling. But the overall pace of global economic conditions has been unsatisfactory.
• Public and private debt levels remain high and growth is uneven and not generating enough jobs.
• Monetary policy has been loosened, resulting in much lower borrowing interest rates. But the world economy is still vulnerable to financial shocks and geopolitical tensions which underline the importance of having clear plan to draw together the appropriate mix of policy responses.
• Some 1000 individual countries plans have been submitted. According to International Monetary Fund (IMF) and Organisation for Economic Co-operation and Development (OECD) if those plans are fully implemented the growth benefit will be 2.1 percent to 2018.
• One quarter of this increase will be a result of positive spillovers from simultaneous implementation.
• These actions will boost non- G20 GDP by over 0.5 per cent by 2018. Actions are focused on fostering infrastructure investment, cutting red tape, boosting trade, streamlining regulation, promoting competition and lifting employment.
• Central banks have committed to carefully calibrate and clearly communicate interest rates announcements.
• There is also mention of a rapid push toward floating exchange rate systems. China currently operates a fixed system.
• There are more than 200 million people unemployed across the world- 30 more than when the Great Financial Crisis began and among them 75 million are young people.
• The G20 will have country specific plans to boost employment, alongside the growth strategies that include bringing more women into workforces.
• The G20 wants to reduce the gap labour force participation rates between men and women in member countries by 25 percent by 2025.
• This will bring more than 100 million women into the labour force, significantly increase global growth and reduce poverty and inequality.
• For young people, the G20 is renewing its fight against youth unemployment by increasing access to quality education, training and skills development.
• Many G20 members are also looking at issues affecting people with disabilities and the long term jobless, as well as insecure jobs in the informal economy.
• The G20 will monitor and hold each other to account for the implementation of our comprehensive growth strategies.