Tusk and Juncker set out the EU’s agenda in advance of G20 meeting
The President of the European Council Donald Tusk and the President of the European Commission Jean-Claude Juncker, who are representing the European Union at the G20 summit in Antalya (Turkey) on November 15th and 16th, have set out the EU’s agenda in a joint letter sent to EU Heads of state.
The letter says the G20 must support a collective response to the refugee crisis, a topic on which both Tusk and Juncker have been vocal, insisting that EU rise to the challenge of helping a growing phalanx of war weary and vulnerable migrants. “The G20 must rise to the challenge and lead a coordinated and innovative response to the crisis that recognises its global nature and economic consequences and promotes greater international solidarity in protecting refugees. The G20 has a specific responsibility to ensure that international organisations assisting refugees have the necessary financial means. We will work closely with the Turkish Presidency to ensure a concrete outcome,” they state.
Given this emphasis on absorbing huge numbers of migrants and the continuing exposure in many European countries to worsening terms of trade, it is no surprise that the second item highlighted is jobs, growth and investment. “The recent financial market tensions and the slowdown in emerging market economies are a reminder that the global economy remains vulnerable. There is a clear need to continue a cooperative approach at the G20 level on global macroeconomic policies, with the aim of strengthening the recovery, lifting potential growth and enhancing financial resilience. The main deliverable for Antalya should be the updated G20 growth strategies and corresponding employment plans. We support the focus of the Turkish G20 Presidency on implementation in order to support the 2% growth ambition agreed in Brisbane last year. We will underline that investment is a top priority for the EU, in line with the Investment Plan for Europe and the work on building a Capital Markets Union,” they specify.
They outline a number of areas of focus, including, the new G20 investment strategies; the SME action plan; the work on improving financial intermediation, including simple and transparent securitisation; further efforts to make optimal use of Multilateral Development Banks’ capital. “We will also aim to keep financial regulation high on the G20 agenda. The key outcome in Antalya will be the finalisation of the Total Loss-Absorbing Capacity standard for global systemically important banks on the basis of the on-going comprehensive impact assessments. It will be important to ensure that this new global standard gives the necessary recognition to the EU resolution framework that has become effective this year and will be fully implemented in 2016. The G20 should take the collective decisions that are necessary to prevent another crisis such as the one from which we are emerging,” they say.
Youth employments, social inclusion remains a top priority for the EU they add “and we will support the adoption of a G20 target to reduce by 15% by 2025 the share of young people who are most at risk of being left permanently behind in the labour market.”
Tax transparency is also important, and they highlight work on the finalisation and implementation of the Base Erosion and Profit Shifting action plan (BEPS). “As a front runner in this area the EU wishes to set an example and encourage speedy and comprehensive action in the field of BEPS. We will therefore promote our ambitious approach at the G20 level. The Antalya summit should emphasise the importance of the exchange of information between tax administrations on taxpayer specific rulings,” they state.
Trade they add, has a huge potential to drive employment, growth and development. However, global trade has slowed down markedly and grown less than global economic activity. “Unfortunately, a comprehensive deal on the Doha Round – which the EU has been strongly supporting – doesn’t seem attainable. In Antalya, the G20 must therefore instruct negotiators to find a solution for the WTO Ministerial Conference in Nairobi on a meaningful set of issues to the benefit particularly of least-developed countries as well as on continuing work after Nairobi through new approaches on those issues that remain outstanding,” they aver.
Climate change is also highlighted. “The G20 should seek a strong outcome in the UN negotiations on climate change This year is pivotal for international action on development and climate change. We will urge the G20 to work together closely with our partners to implement the UN 2030 Agenda for Sustainable Development and maintain its efforts towards global food security. The G20 will have to show particular determination to conclude at the UN Climate Change Conference in Paris a robust, ambitious and inclusive agreement to govern collective climate action after 2020. We have to rally around the vision of a resilient and decarbonised global economy in 2 the long term and show resolve to mobilise required resources, especially for the poorest and most vulnerable countries, as was the case at the Elmau G 7 Summit in June,” they detail. They add that they will also push for a phase-out of fossil fuel subsidies. “Moreover, we will seek closer cooperation within the G20 on renewable energy and energy efficiency,” they conclude.
Commissioner Pierre Moscovici, responsible for Economic and Financial Affairs, Taxation and Customs will accompany the two Presidents to the G20. High Representative for Foreign Affairs and Security Policy/Vice-President Federica Mogherini will also be present in Antalya to take part in an informal meeting of Foreign Ministers of G20 countries.
The Antalya summit is the 10th edition of the G20 leaders’ meeting. Together, the G20 members represent around 90% of global GDP, 80% of global trade and two-thirds of the world’s population. This year, Turkey holds the rotating Presidency of the G20. It has invited Spain as a permanent invitee; Zimbabwe as the 2015 chair of the African Union; Malaysia as the 2015 Chair of the Association of South-East Asian Nations (ASEAN); Senegal, representing the New Partnership for Africa’s Development; Azerbaijan; and Singapore. The next (11th) G20 summit will be hosted by China in Hangzhou next year.
