G7/G8

Question 1

What is the G7/G8

Answer 1

• An informal group consisting of Canada, France, Germany, Italy and Japan and the USA (EU rep as well).
• Members are the seven majorily advanced economies reported by the IMF - representing 64% of the global net wealth.
• No formal application to join but a very high net of national wealth + Human Development Index are the main requirements.

Question 2

Was the organisation originally founded for as the G7?

Answer 2

Facilitate shared macroeconomic initiatives in response to the collapse of the exchange rate 1971

Question 3

How often does the G7/8 meet and who is the President?

Answer 3

• Presidency rotates and the meetings take place outside of the President’s country.
• Since 1975 - meets annually.
• Since 1987 - mets semi-annually and up to 4x a year at stand-alone meetings.
• Current G7 is in Japan.

Question 4

How are informal forums like the G7/8 different from other IGOs?

Answer 4

• No formal rules, unlike the UN’s Charter.
• No defined objectives - flexibility in tackling any issues.
• Invites any states, IGOs or NGOs - can remove members too (flexible membership).
• No budget or supporting secretariat - if its members want to take action that costs money, the individual member has to pay.
• Decisions aren’t binding - relies on the will of the participating countries to deliver.
• Primarily a forum for world leaders to interact - between the summits, the G7 drives little organised activity.

Question 5

How has the G7’s role changed

1990s

Answer 5

• 1996 = launched an initiative for the 42 heavily indebted poor countries (HIPC).
• 1999 = involved in ‘managing the international monetary system’ through the Financial Stability Forum. Established the G20 to ‘promote dialogue between major industrial and emerging market countries.
• 1999 = announced their plan to cancel 90% of bilateral, and multilateral debt for the HIPC, totalling $100B.
• 2005 = announced debt reductions of up to 100% to be negotiated on a ‘case-by-case’ basis.
• Met twice in 2008 to discuss the global financial crisis.

Question 6

How has the G7’s role changed

RussIA - 2006

Answer 6

• Formally joined in 1998 - hosted its first G8 summit in 2006.
• Other leaders were critical of Russia’s record on HR but Russia responded by criticising the Western ‘colonialist rhetoric’.
• Primarily focussed on energy security, including the increasing dependence on Russia’s energy supplies.
• EARLY DISCUSSIONS WERE HELD REGARDING RUSSIA’S WTO MEMBERSHIP.

Question 7

How has the G7’s role changed

Russia from 2014

Answer 7

• March 2014 = expelled Russia because of its’ ‘violation of the sovereignty and territorial integrity of Ukraine’. Committed to mobilise rapid technical assistance to support Ukraine.
• June 2014 = Claimed they were prepared to further impose sanctions on Russia.

Question 8

Any strengths of the G7/G8

Answer 8

• For realists = little impact on state sovereignty as the group cannot force countries into action.
• Able to respond to global problems as an informal group without the gridlock of decisions as a small group, unlike WTO which has a large membership.
• 2015 = agreed to the Global Apollo Programme to combat climate change by encouraging the generation of carbon-free electricity.

Question 9

Weaknesses of the G7/G8

Answer 9

• Doesn’t include all of the world’s major economic powers, like China and rising powers like Brazil and India - made up of like-minded Historical allies, not resolving differences of opinions. Criticised for perpetuating the North/South divide, calling it a forum for the rich countries.
• Limited scope to achieve major breakthroughs = issues of the moment tend to dominate summits - the Syrian conflict dominated the UK’s hosting of the G8 in 2013 (responds, then shapes events).
• Lacks coercive power and depends upon reaching Consensus decision-making - no supranational control over its members SO there is little accountability.
• Failed to resolve the developing trade war between the US, Canada and Europe - also the US failed to agree to implement the Paris Climate change Accords.

Question 10

Example of the pro and con in the Biarritz Summit of 2019

Answer 10

• Confirmed sharp differences between President Maron and President Trump over how the world community should respond to Brazil’s forest fires.
• However, a meeting between President Macron and the Iranian foreign minister, javad Zarif, on the sidelines of the Biarrtiz Summit shows how global focus on G7 meetings can encourage potential diplomatic breakthroughs.

Question 11

Arguments for and against reform

Answer 11

• Should widen its membership to include other significant emerging and established economic powers like Brazil, India, Mexico and South Africa.
• Attempts were devalued by the existence of the G20, existing as a more powerful group, taking on a much more significant role in international efforts to address the global financial crisis = argued that a narrower group is better to come to agreement and make decisions.