Amidst a backdrop of bitter internal divisions within the G20, Luiz Inácio Lula da Silva faces an array of challenges as Brazil takes over the G20 presidency from India on December 1. The legacy of outgoing president Narendra Modi, characterized by forceful tactics to secure joint declarations, leaves a complex situation for Lula, exacerbated by ongoing conflicts and a global economic slowdown.
Lula has articulated three pivotal priorities for Brazil’s G20 leadership: social inclusion and combating hunger, transitioning away from fossil fuels to embrace renewable energy, and reforming global economic governance. Tasked with representing the interests of the global south, Lula steps into a role crucial for navigating the complexities of the world’s largest economies.
The Economy News unfolds as Lula navigates these challenges. The G20, a forum representing 85 percent of global output and two-thirds of the world’s population, has faced criticism for being perceived as an ineffective talking shop. Despite its inception in 1999 as a council for finance ministers, the G20’s scope has broadened to encompass issues ranging from global development to climate change and gender equality.
India’s recent invitation to the African Union to join the G20 was a strategic move by Modi to bridge the global trust deficit between rich and poor nations. However, the effectiveness of the G20 remains a subject of debate, with critics questioning its impact beyond yearly declarations.
Against the backdrop of rising geopolitical tensions, criticism from South Africa and Brazil towards Israel’s actions in Gaza has further strained consensus-building efforts. The conflict in Ukraine and India’s evolving stance on Russia contribute to the challenges faced by the G20 in fostering global cooperation.
As Economy News unfolds, India, under Modi’s leadership, passed on the G20 baton, and criticisms arose regarding the ineffectual nature of its presidency. The world economy’s deceleration, the looming threat of climate change, and conflicts in Ukraine and Palestine pose significant challenges for Lula as he assumes the G20 presidency.