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Saturday, August 20, 2016

Countries in the World are Looking East with Hope

The world is looking East with hope

August 19th 2016

Leaders of Brazil, Russia, India, China and South Africa (BRICS) at the summit.

The 11th G20 summit and the 8th BRICS summit will be held in the near future in China and India respectively.

From whatever perspective, the two summits are held at the right time and right country

More than eight years since the international financial crisis, especially since this year, world economic growth has been sluggish. American economic growth in the first half of this year was far lower than expected and some emerging markets are still in recession. The whole world is worried about the direction that the economy is moving in, whether there will be more ‘Black Swan’ events like Brexit.

Asia is emerging as a new centre of global economy.

China and India are now the second and the seventh largest economies in the world, whose growth rates rank the first and second among the major economies; their contribution to the world economic growth rank the first and the third, respectively. When Asia, especially China and India, have become the major engines of the world economy, the two upcoming summits in Asia will naturally draw the attention of the whole world.

Hangzhou, the capital of Zhejiang Province of China, is the host city of G20 summit 2016. President Xi Jinping has made it clear that China’s general themes when hosting the summit are innovation, reform and development. Under the theme ‘Toward an Innovative, Invigorated, Interconnected and Inclusive World Economy’, the Hangzhou Summit is likely to achieve nearly 30 major results. In terms of the general direction, the summit will forge a new impetus to promote robust, sustainable and balanced growth of the world economy through advocating innovation.

It will come up with new proposals to resolve the various difficulties faced by current economic and financial sectors through advancing structural reform. It will also explore new prospects in leading the global implementation of the 2030 Agenda for Sustainable Development through enhancing development cooperation.

At present, the preparatory work of the summit has been basically completed. It is believed that Hangzhou summit will strengthen the economic cooperation among the G20 members, as well as between the developed countries and the emerging market countries. It will promote the transition of the G20 from a crisis responding mechanism to a long-term mechanism of global economic governance, which will bring confidence and hope to the weak world economy.

In the view of a Chinese diplomat, there are some significant aspects to the BRICS summit to be held in Goa. First, it shows that the BRICS countries will unite and plough though the waves, regardless of the negative voice toward BRICS. The Goa summit is focused on development, digitisation, urbanisation and the people’s livelihoods, including areas like agriculture, services, trade, customs, science, technology, drug control and health, which is in accordance with the development levels and needs of the BRICS countries.

Taking the smart city push as an example. China, India and South Africa are in the process of rapid urbanisation. The BRICS summit will help its members achieve progress. Besides, the Goa summit will certainly put forward good proposals on tackling common challenges and promoting the development of the BRICS countries, as well as improving global governance.

Cheng Guangzhong is minister counselor, the Embassy of China, New Delhi.

-> Source


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