Central Idea

The upcoming G20 summit in Delhi marks the culmination of a year-long series of meetings involving heads of state/government from G20 members.
As a crucial platform for international economic cooperation, the G20 has transformed into a pivotal force in shaping global economic governance.

Origins and Composition of G20

Origin	Formed in 1999 in response to the financial crises of the late 1990s, with the aim to bring together major economies for international financial stability.
Composition	Comprises 19 individual countries: Argentina, Australia, Brazil, Canada, China, France, Germany, India, Indonesia, Italy, Japan, Republic of Korea, Mexico, Russia, Saudi Arabia, South Africa, Turkey, UK, US, and the European Union.
Purpose	Serves as a platform for major economies to discuss and coordinate on international financial, economic, and social issues.
Significance	Represents around 85% of global GDP, 75% of global trade, and covers two-thirds of the world population.
Leadership	Operates without a permanent secretariat or staff. Presidency rotates among its members on an annual basis.
Current Presidency	India holds the G20 Presidency for the period December 2022 to November 2023.

Unplanned Emergence: The G20’s formation was not meticulously orchestrated but emerged due to a combination of circumstance and necessity.
Adapting to Global Dynamics: The decline of the North-South divide and the rise of economically potent nations in the Global South underscored the requirement for a more inclusive and representative global economic forum.

Response to Crisis: The Asian financial crisis in the late 1990s exposed vulnerabilities in the existing global economic governance framework.
Genesis of G22: The G20’s precursor, the G22, was established in 1998 as a crisis-response mechanism.
Evolving to G20: Dissatisfaction with the ad hoc nature of the G22 and G33 meetings led to the establishment of the G20 in 1999, aiming for a more structured platform.

The idea of a G20 leaders’ forum was proposed by Canadian Prime Minister Paul Martin in 2005, yet it faced resistance, particularly from the US.
The global economic crisis of 2008, comparable to the Great Depression, accelerated the establishment of the G20 leaders’ summit.
Recognizing the complexity and magnitude of the crisis, the G20 emerged as a suitable platform to address and mitigate the crisis’s repercussions.

Washington DC Summit (2008): The inaugural G20 leaders’ summit, titled ‘Summit on Financial Markets and the World Economy,’ took place in November 2008.
Extended Participation: Alongside G20 member nations, heads of institutions including the IMF, World Bank, and UN were invited. Spain and the Netherlands also attended.

The evolution of the G20, from its spontaneous beginnings to the imminent Delhi summit, epitomizes its role as a responsive mechanism for fostering global economic cooperation.