G20 Summit in Cannes, France, November 3-4, 2011
The G20 Leaders’ Summit was held from November 3-4, 2011 in Cannes, France.
Following were the steps taken and progress made:
Commodity market transparency: In a move to curb excess volatility in commodity prices, the G20 has made strong commitments in Cannes to increase transparency on the physical -- energy and agricultural -- and financial commodity markets.
Investing in infrastructure in developing countries: The G20 supports the recommendations made by the High-Level Panel made up of experts of the private sector chaired by Mr. Tidjane Thiam and the development banks to build human resources and capacity in developing countries etc.
Innovative financing for development and the climate: In Cannes, the G20 has, for the first time, mobilized in support of innovative financing for development and climate change.
Banking regulation:The G20 agreed on a renewed framework of rules applicable to banks in response to the difficulties encountered by the banking sector since 2007.
Protecting against the instability of agricultural prices: Price volatility poses significant problems to developing countries, penalizing consumers when prices increase and producers when they fall, and creating uncertainty which is unfavourable to investment decisions, to increasing production and productivity, and ultimately to agricultural development.
Fighting corruption: The G20 has made major progress in the fight against corruption since the Seoul Summit in November 2010. Individual and collective progress by the G20 countries should be credited to the French Presidency of the G20. In addition, the G20 countries have begun work in areas including the recovery of assets, the fight against money laundering, whistleblower protection, the functioning and the independence of anti-corruption agencies, public sector transparency and international cooperation.
Market regulation: In Cannes, the G20 solemnly committed to complete this major reform of the financial sector and to align national arrangements to prevent risks of regulatory arbitrage. The G20 also decided to launch new focuses to bring national arrangements into line concerning 1) rules on financial guarantee requirements applicable to non-centrally cleared derivatives and 2) harmonization of central databases and procedures for regulator data access.
Trade:The G20 members have renewed their pledge not to introduce new measures restricting trade before 2013 and to withdraw all protectionist measures which have already been implemented. The WTO is tasked, alongside the OECD and the UNCTAD, to review the situation every six months for the G20. This decision will help prevent conflict between States at a time when cooperation is absolutely vital.
Enhancing the IMF's response capacity and surveillance: In the framework of reforming the international monetary system, the G20 has decided to enhance the IMF's capacity to respond to and prevent crises and improve surveillance of its members and the world economy.
Agriculture:France has put agriculture and food security at the heart of the G20 priorities. The President of the Republic asked Bruno Le Maire to bring together the G20 Agriculture Ministers with the major international organizations with responsibility for food security, including the Food and Agriculture Organization of the United Nations (FAO) for the first time. The G20 adopted an "Action Plan on Food Price Volatility and Agriculture". It provides ambitious, tangible and immediate solutions to meet the world agriculture and food challenge.
Social regulation of globalization: In 2011, the French Presidency of the G20 added the social dimension of globalization to the G20 agenda. The President of the French Republic asked Xavier Bertrand to arrange a meeting between the G20 Labour and Employment Ministers in Paris on 26 and 27 September. In Cannes, the Heads of State acknowledged that it is essential for the social dimension to become a long-term addition to the G20 agenda.
Emergency humanitarian food reserves:The G20 Action Plan on food price volatility and agriculture, adopted on 23 June 2011, mandated the World Food Programme (WFP) and other competent international organizations, such as the United Nations and the World Bank, to perform a feasibility study on the implementation of such a system in Africa, alongside existing national food reserves. A feasibility study has been conducted with African regional organizations.
Reform of the International monetary system:The G20 has adopted a reference framework to better manage capital flows: It recognizes that measures to manage or monitor capital flows can be legitimate, as they complement sound macroeconomic policies and can be put into action when capital flows are particularly high and volatile.
Tax havens and non-cooperative jurisdictions:The G20 in Cannes has fully reviewed these processes. This is an extremely tricky exercise as it calls for a collective judgment on certain extremely reluctant countries.
Action plan for growth and jobs: Heightened tensions and significant downside risks for the global economy prompted the G20 to take decisive actions to restore confidence, financial stability and growth. This is the Action Plan for Growth and Jobs.