Information (The Jakarta Post)
Mon, December 6, 2021
Italian Prime Minister Draghi handed over the leadership of the Group of 20 (G20) to President Joko “Jokowi” Widodo at the summit held in Rome last month, with Indonesia assuming the presidency of the G20 from December 1 for one year. It is a historic moment for the Southeast Asian country, as it is the first time that he has led the group since its creation in 1999.
As the only country in the region to be part of the G20, Indonesia also represents the developing world, emerging economies and island countries in the premier economic cooperation forum. Thus, in Indonesia’s eyes, striving for an inclusive and equitable global recovery should be the summit’s common agenda.
This was reflected in many positions of Indonesia at the Rome Summit. Among other issues, Indonesia underscored the need to uphold the principle of Common But Differentiated Responsibilities and Respective Capacities (CBDRRC), and urged developed countries to honor their pledge of US $ 100 billion in climate finance to help developing countries.
The Italian presidency said its theme was “People, Planet, Prosperity”, focusing on the international response to the pandemic, ensuring rapid recovery and reconstruction with green growth for the future. The theme of Indonesia continues in the same spirit, albeit taking a somewhat different approach.
Emphasizing the need for a strong and inclusive post-pandemic recovery, Indonesia’s theme is “Recover Together, Recover Stronger”. The county aims to bring productivity, resilience and stability, as well as sustainable and inclusive growth after the 2022 pandemic, after the pandemic crippled economies for the past two years.
COVID-19 has hampered the global economy and created problems that no one was prepared for. However, it also showed the resilience of different countries and their peoples. It has shown transformation and transition, in all sectors of the industry; from health, commerce, education and agriculture to energy, infrastructure and tourism. Drawing lessons from this, the Indonesian presidency of the G20 wishes to prioritize improving the global health architecture, by supporting digital transformation and energy transition.
Thus, Indonesia will focus on strengthening the global health architecture, not only in response to the current COVID-19 pandemic, but also to ensure preparedness against other potential pandemics in the future. It elevates the discussion on the digital economy within the G20 into a working group to translate this into action. Indonesia is also committed to pursuing the energy transition in synergy with energy security, accessibility and affordability.
The Indonesian presidency’s agenda is already underway, as it begins in December with the first Sherpa meeting in Jakarta and the first meeting of Finance and Central Bank deputies in Bali. There, the vision and priority issues will be explained to Sherpas and G20 deputies, setting up discussions for the entire Presidency.
Indonesia is assuming its presidency of the G20 in a world marked by a fragile and uneven recovery. While the global economy has shown some recovery in 2021, with the Organization for Economic Co-operation and Development (OECD) and the International Monetary Fund (IMF) projecting strong economic growth of 5.7% and 5.9% respectively, there is concern that the recovery will continue. uneven and volatile.
Additionally, many countries are facing the fourth wave of the pandemic, while others have not recovered from the previous wave. There are supply disruptions, vaccine shortages and vaccine nationalism hampering the global recovery. Indonesia believes that in order to address and deliver a solution that benefits everyone, the G20 countries must make concrete multilateral efforts to end the pandemic and move forward better.
Most important of all is the determination to deliver an inclusive recovery solution. This means that developing countries may have the capacity to meet their needs, whether for drugs, equipment or human resources, in order to have access to more affordable clean energy and to be more resilient to the impacts of climate change. Least developed countries should have greater fiscal capacity to revive the sluggish economy with the suspension of debt service. Being a developing country itself, the Indonesian Presidency will cast a different light for other countries, representing a point of view that may have been overlooked in the past.
While the purpose of the Presidency is clear, ensuring a smooth performance throughout the Presidency requires a new set of elements. First, consolidate preparations on all fronts, both substantively and logistically, for a smooth presidency. The country is also trying to show Indonesia’s resilient, sustainable and vibrant growth, which Indonesia is open for business and ready to move forward.
Second, promote dialogue and partnership between countries and international organizations. As Foreign Minister Retno LP Marsudi has repeatedly pointed out, working for the interests of many, especially developing countries and vulnerable groups, is in the DNA of Indonesia’s foreign policy.
Finally, to ensure a smooth Chairmanship, Indonesia should establish an encouraging climate for dialogue and collaboration among different stakeholders on a range of economic and development issues. The country aims to build a bridge and bring the G20 to the local level. Indeed, to achieve an inclusive response to pressing global issues, all stakeholders will need to work together for it to be successful.