Versión en español: http://wp.me/pRlnf-1I
A series of meetings commenced in Seoul on Thursday evening amongst the countries that are considered to command the developed and emerging economies of the world. In this their fifth meet after the burst of the financial crisis, the countries belonging to the so-called G-20 Group plus some invited nations (Spain amongst them), shall try to reach an agreement.
What agreement must they reach?
In previous sessions, measures were adopted but almost none have been carried forward to full extent. Amongst such agreements were: the ‘re-foundation of capitalism’ or ‘strict regulations to curtail banking abuses’, to mention but a few of the numerous good-will statements that have ended in nowhere.
Con June 23rd., I wrote that the G-20 meet of Toronto http://wp.me/pv6EY-4T was the last chance the leaders had to see the crisis from another angle. I reaffirm my previous statement. In the almost six months that have elapsed, world leaders have suffered a loss which makes them less credible than when they commenced to be a group of twenty bent to convert themselves into the new impulsive force of the world economy.
U.S. President Barack Obama has long shed his buoyant Nobel Peace Award to suffer his first relevant electoral defeat in the last mid-term elections.
France’s President Nicholas Sarkozy is undergoing is lowest ebb in popularity after a flood of strikes against his retirement age reforms, just as he is about to take over the G-20 rotating presidency. Precisely, he is the leader that so arrogantly announced during the Washington, D.C. summit in December 2008 the ‘re-foundation of capitalism’.
The German Chancellor, Angela Merkel, virtual winner in the UE arenas with her imposition of part of her criteria on budget deficit cutbacks and regulation measures on EU members’ non-compliance, is not more credible after several electoral defeats and the doubts arisen from her change of views in political affairs such as tax cuts and nuclear power plants closures.
Novell British Prime Minister, David Cameron, after some protocol misstep in his visit to China on the way to Seoul, has suffered his first student revolt in absentia whereby the younger Britons acted in a manner not seen since the times of his venerated mentor, Margaret Thatcher.
Needless to say that the Italian Prime Minister, Silvio Berlusconi, is not only subjected to an ethical scrutiny of his sexual misdoings but likewise has been practically abandoned to his fate by his parliamentarian supporter to date, the ultra-conservative leader, Gianfranco Fini.
Russian President Dmitri Medvédev still has the shadow cast by his mentor and actual prime minister, Vladimir Putin; a shadow that chases him every step he takes, without knowing who will finally be Russia´s new czar of this millennium.
Naoto Kan, Japan’s Prime Minister, had hardly landed when the last G-20 meet was held and no relevant role can be accounted him thus far in the search of a solution of the international crisis. He has enough with trying to keep himself in office longer than his predecessor who resigned after 8 months.
The last G-20 host, Canadian Prime Minister Stephen Harper did not obtain a definite final communiqué in the June G-20 summit; hence the widening breach in various fronts that have led to the so-called ‘currency war’ at present. The threat of a G-2 mentioned in June is now a currency war between two adversaries, the USA & china, which brings the world back to the brink of another profound crisis.
The aforementioned leaders make up the original G-7 which with Russia added was converted to the G-8. Furthermore, the European Union was given a seat in the G-8 and likewise representation in the expanded G-20. These are the directors, up till the recognition of the G-20 as possible substitute forum, of the destiny of the world economy.
The G-20 has given more importance to the emerging powers, of which China, India & Brazil are worth emphasising. In fact, some of their objections to G-7 veteran member stances obliged these to reorient their postures in the last meets of this new economic forum. Furthermore, the emerging members have made their presence known in other forums, some of quite a bit of importance, such as the Doha Round con international trade & commerce and the summits on climate change & environment, the latest held in Copenhagen with a forthcoming event in the next few days at Cancun.
The world problem cannot be limited to economic issues and the policies in budget cutbacks but rather should be visualized from another angle based on globalised commercial interaction towards a more balanced distribution of wealth in the framework of sustainable development that doesn’t exterminate or planet nor put an end to its inhabitants’ liberties and social well-being.
And such lack of will to descend from their power-seats to see the problem from another angle is putting these questioned leaders at a stalemate, without any capacity to react much less to act correctly.
Fernando Fuster-Fabra Fdz.
Observer of Human Behaviour