What the G-20is  and what its purpose is

It is like a Chinese vase. Its value appreciates more and more but nobody knows where to place. There are not a few people who believe it is a mere tool to treat economics and finance. However, the Group defines itself as “the main forum for international economic cooperation".  But it is not galvanized by a single purpose. It agenda is very close to what an attempt to global governance may be.

It is true that the G20 has no structure or headquarters. That may confuse if you look at it with monocles. But it is also true that the greatest leaders of the world take part of it and others follow it closely, such as Pope Francisco. Anyway, the point is to elucidate what place it holds among institutions considering that it is a group that only makes recommendations referring to norms, standards and procedures but at above nations’ level. Besides, it meets every twelve months, adopts public commitments and undergoes severe annual control. All this is a challenge for a renewed political science. In this essay, its author, Alberto Ford, an engineer, wonders what expectations Argentina may hold from this situation. Macri's recent trip is full of evidences - he says - that show Argentina is rapidly re-entering the global arena together with what this implies in terms of risks and opportunities.

The Group of 20 is considered as a global body responsible for economic and financial issues. It defines itself as “the main forum for international economic cooperation” according to the final declaration (paragraph 6) adopted in China. Thus, in Hangzhou, the "business-20" (B20) held its meeting just before the summit that brought together the leaders of the nation members of the group.

However, the G20 is not just on a single-subject forum. It is part of the great event that includes other summits: L20 (labor), T20 (think), C20 (civil society), Y20 (youth). These are consensus spaces denominated "engagement groups" that can be understood as groups of commitment or implication. They all have similar operating characteristics and their suggestions turn into fuel that makes summits move.

Along a year, between two summits, other meetings also take place. The most important ones among them are those in which ministers of finance and central bank governors are convened. In other cases, the issues developed are related to trade, energy, agriculture, climate change, financial architecture, investments and infrastructure, green finance, development, anti-corruption. High government authorities from these respective areas of the member countries are called upon as well as specialists from the multilateral organizations (OECD, IMF, WB group, WTO, FAO, etc.).Another area is the so-called Sherpa - a sort of grey eminences- generally experienced cadres of the chancelleries, who, due to their technical knowledge write materials. Finally, on a growing intimacy of a conceptual onion model, there are two think tanks: Atlantic Council (US) and Chatham House (UK). These also usually "tour" to member countries’ country as it happened when the US consultant visited Buenos Aires; he led a meeting with representatives of the Argentina Industrial Union –UIA- and other business organizations concerned about supposed danger that Chinese industry represents to our national industry.

On their own initiative and on request, the above-mentioned multilateral organizations are committed within the countries. By way of an example, there are two cases. The IMF is charged by the summits to implement the dreaded "Article IV" referred to public accounts review (supervision that was systematically denied by the previous government, despite this was an obligation derived from the fact that Argentina is both a member of the Fund as well as of the G20). On the other hand, on request of the Group and to prove greater transparency in tax matters, the OECD issued a new global standard to exchange information between jurisdictions, in order for bank secrecy ends.

The G20 Birth

The organization grows in importance and certain attractiveness but it is not well known where to place it, although it has already built its own history. A week after De la Rúa took office, the G20 inauguration meeting was held in Berlin, in December 1999, summoned by Ministers of Finance of Germany and Canada, respectively. Then, the Group remained in latency until 2008. The Group of Twenty is made up of the following developed and emerging countries: the US, Canada, the UK, France, Germany, Italy, Japan, Australia, Russia, China, India, Mexico, Brazil, Argentina, South Korea, Indonesia, Turkey , Saudi Arabia and South Africa; making a total of 19 plus the European Union. It is clear that this sort of calls is not extemporized. Its constitution is weighted and is a response to strategic and non-temporal considerations. The above is just to tell the story why Argentina is a one of its member country.

The nature of its members proves that assignment is due to, at least, the following five existing or prospective traits countries may have: developed; huge markets, energy possessors, food producers and prospective regional geopolitical leadership. They all shape a deployment conditioned by an acceptable equilibrium among continents. This gave rise to misunderstandings. Spain was urged to enter and manage to do it.  However, she failed to become a permanent member but managed to be a permanent guest.

Such an omission was strange at the time although there were other European countries which were much better positioning than Spain and they could have claimed their entry despite being already represented by the EU. At the same time, it was also considered to exclude our country because of some wayward behavior of the previous government.  None of that happened or could happen.

It is with Lehman Brothers collapse, in 2008 that the G20 is shown with clearly political features. The G20 immediately helped out crisis with decisiveness and a leading role, relied on the joint and permanent action of the world leaders. Since the last eight years, eleven summits have taken place. In China, there was the last one, a few days ago. It is striking how detailed the statements are, with very comprehensive agendas, which sign the true role of the Group.

The summit of Hangzhou is made up of 48 points. Briefly mentioned, the topics covered are: economic and financial (point 2), raw materials (2), productivity and employment (2), refugees (2), women and youth inclusion (6), environmental protection (6), competitive devaluations (7), personal data privacy (14), ICT investment (14), digital inclusion (14), MSMEs (14), green financing (21), corruption (23), natural gas (24), agriculture (26), trade and protectionism (28), global value chains (30), industrialization of Africa (23,33,35,38), false invoicing (39), food security (41), family agriculture (41), Brexit (42), climate change (43), terrorism (45), antimicrobials (46), antibiotic abuse. So, this proves to be a sufficiently diversified, specified and clearly global thematic matrix.

The G20 has neither structure nor established headquarters. Every year, a host country is in charge of supplying them. All these recommendations end up in different multilateral organizations or the host country and result in self-organizing procedures of a determining power.

Undoubtedly, it may be said, at this juncture, after having held eleven annual summits – each of them was individually differentiated and with commitments jointly assumed and properly monitored to achieve or correct, if necessary-,  that the G-20 is the first expression of the real power at global level, so exposed and dazzling that it confuses.

Metaphorically, it can be said that it is as if it were a world formula one that emerges (obviously, backed by a motor-racing team and others that accompany it). As it is nowadays said, the G20 is an organized space without being structured; it has the capacity to create regulations, standards and procedures referred to globalization progress.

Standards are referred and based on values strongly held by the group. Pattern is a formula (that is, different models) on which globalizations is deploying in the international scene; and procedures referred to methodologies which are used in these days, a dynamics which is placed above nations.

Therefore, it is understood that “it refers to a leading and informal group and that shall go on in this way – the G20 is a part of the overall international governance framework- (Cannes Summit, point 91). To sum up, in the era of global communication, power is not associated with any structure. A new and revolutionary event, as explicit as it is, that leads to rethinking these matters and a challenge for a renewed political science.

This event was expected to happen. G was unable to be developed beyond a certain point regardless regulation and monitoring mechanisms at the light of the current events, and not to mention, adrift of a unique interaction of nations. Nor was it the leading presence of a hegemonic power explicable as until recently it was argued because that fact would have distorted the concept of the global meaning.

In sum: G is not the consequence of a set of inter-national forces. As its name implies, it is a new space type, located at a quantum level above the nation-states, which are, without exception, reported informally but in an unavoidable way.

Is it good for Argentina?

Nowhere is a picture worth more than a thousand words like in China. As the old saying of that long distant country goes, which not only did it invented gunpowder but also it was ahead of McLuhan in valuating non-discursive languages. Macri’s semantic and semiotic journey is a showcase of meaningful and symbolic evidence. Let’s see. 

President Macri whispering to President Obama. In the photo of the gala show, Macri leaning out, behind Xi Jinping. The praises of Obama and Xi to the Argentine process. Macri riding on a bicycle together with his wife; In kind dialogue with the creator of Ali Baba, to negotiate the launching of that Internet sales giant in our country; The president in meeting together with Putin, the leaders of Australia, India, South Korea. Juliana’s simplicity, showing the charm of all Argentine women. In short, unlike Cristina, who was always late and a Kicilloffn without a tie, holding up his hand with victory V in the family photo of the summit of Australia. Argentina has reopened by the big door to a major global theater stage.

What do these signs and symbols that may be considered as frivolous from some distracted glance regarding the rituals of "high politics" involve?

These create trust, contiguity; provide the management of a set of common codes; means to operate fluently in the event of conflict or to activate possible businesses or to tackle jointly different situations are shared.Some examples from the broad agenda at the Summit confirm it. Global scope and understanding infrastructure projects are for first time possible. The Global Infrastructure Hub (GIH) - a sort of hub for initiatives and information that makes it possible to work on projects at a supranational level- is a tool for managing the issues created at the Brisbane G20 summit.

By encouraging public and private partnership (PPP), the GIH makes it possible to channel the vast amount of resources such as financial, technological, logistical ones and possible connectivities, that are now waiting to be shared and compatible enterprises. For example, many of the projects of the Belgrano Plan, primarily those that are transboundary and that favor the Atlantic / Pacific link, can well find financing under these frameworks.

 Domestically, though, a "hub" called the Network of Regional Express Networks (RER by its acronym in Spanish) will be built under the Buenos Aires Obelisk. If it is analyzed from a territorial connectivity viewpoint, it is easy to understand that it breaks with the radial-design model that transportation has from inherited agro-export transportation model. For the first time you can "move pass" Buenos Aires without having to "debark". Therefore, the RER is a project of global connectivity, whose weft and warp configuration has never been thought before.

Another issue emphasized is corruption. In this sense, a Research Center on International Cooperation in China has been established to provide information on individuals required for corruption and thus, the recovery of assets that have been stolen in G20 member states. As anticipated, a significant part of the deliberations of the summit were devoted to this issue, to the point that Macri mentioned it in an interview, because of its great significance. Another issue is the ending bank secrecy under the role of the OECD, an issue strongly linked to the financing of terrorism.

The 13th G20 Summit in 2018, to be held in Bariloche, will imply a challenge regarding the use of this opportunity.