A G20 Agenda for Growth and Resilience in 2014
The Growth Challenge
Strengthening growth and creating jobs is our top priority and we are fully committed to taking decisive actions to return to a job-rich, strong, sustainable and balanced growth path … We will identify the remaining key obstacles to be addressed and reforms needed to achieve stronger, more sustainable and balanced growth in our economies.
St Petersburg G20 Leaders Declaration
Global growth is subdued and the outlook is not improving quickly enough: the International Monetary Fund has revised down its global growth forecasts repeatedly over the last two years. Many countries are struggling to create enough jobs for their people.
Many countries have relied heavily on fiscal and monetary policies to bolster their economies, particularly in the aftermath of the global financial crisis. Coordinating policies to maximise growth and minimise unintended effects will remain a central role of the G20 in 2014. But we also need new approaches to ensure growth is sustained in the years ahead. It is the only way to bolster confidence and create employment opportunities. And it’s the only lasting way to lift people out of poverty and build national prosperity.
Achieving this will not be easy. The key is for governments to enable the private sector to drive economic activity. Only private enterprise can deliver the sustainable growth in investment, trade and job creation that the world needs.
Strategies to Stimulate Growth
In September 2013, G20 Leaders in St Petersburg committed to develop comprehensive growth strategies by the Brisbane summit in 2014. These commitments will be encapsulated in a ‘Brisbane Action Plan’. The challenge for 2014 is to turn that commitment into results. G20 Finance Ministers and Central Bank Governors committed in February to developing new measures with the aim of raising the level of G20 output by at least 2 per cent above the currently projected level in the next five years. This means that there will need to be concrete actions across the G20, including to increase investment, lift employment and participation, enhance trade and promote competition, in addition to macroeconomic policies. The comprehensive growth strategies will include a variety of these measures, and act as the first step towards the aim of improved economic growth. Individual country reforms will need to be complemented and strengthened by similar actions by all G20 members.
Building Global Economic Resilience
In addition to addressing the growth challenge, the G20 has a significant role in ensuring that international and domestic economic policies work together to immunise the global economy against future shocks. The G20 has put in place a wide-ranging work program to manage global economic and financial risks. Implementing these commitments will complement the G20’s growth agenda to ensure growth is strong but sustainable in the long term.
G20 Sherpas will meet several times during the year in preparation for the Leaders Summit. This is in addition to meetings of G20 Finance Ministers and Central Bank Governors, who are supported by corresponding meetings of Finance Deputies.
In 2014, working arrangements are built around the two themes of promoting stronger economic growth and employment outcomes and making the global economy more resilient to deal with future shocks. As part of this process, there will be working groups looking at anti-corruption, development, energy, employment, investment and infrastructure, and macroeconomic policy and structural reform. Work on trade, tax reform, international financial architecture and financial regulation will be undertaken by senior officials.
Strong, Sustainable and Balanced Growth
Boosting Growth through the private sector
Building Global Economic Resilience
More information on Australia's approach to hosting the G20 is available in the Overview of Australia's Presidency (December 2013).