G20 or G5? BRICS leaders reunite in Brisbane

Group Twenty, known as the G20, is a summit held among the world’s economically developing elite. The forum is made up of the following 19 countries + the European Union: Argentina, Australia, Brazil, Canada, China, France, Germany, India, Indonesia, Italy, Japan, Republic of Korea, Mexico, Russia, Saudi Arabia, South Africa, Turkey, the United Kingdom, and the United States. Depending of the location of the summit per year, the residing president can invite guest countries if wanted.

“The G20 heads of government came into being in 2008 because economic catastrophe loomed, and the existing global governance organizations and institutions were unequal to the tasks at hand,” according to CIGI and its report on the future of the G20.

This year the 2014 G20 summit took place in Brisbane, Australia. As stated by the CIGI report, the G20 was started after the 2008 Financial Crisis. The forum has promoted economic stability and has helped to realign the economy in the right direction, by the means of collaboration and communication between world leaders.

“One of the key items on the G20 agenda is new transparency and beneficial ownership requirements that are aimed at fighting money laundering and the financing of terrorism. The requirements also support the OECD’s and G20’s efforts to prevent other serious offences such as tax crimes and corruption,” says The Sydney Morning Herald.

The G20 aims for sustainable growth and development, and since 2008 it has introduced $3 trillion of financial stimulus into its central bank system between the pact countries. G20 also (attempts to) tackle other issues that cause geopolitical friction, this year in Brisbane conflicts such as: the rising tensions between Russia and Ukraine and the looming threat in the Middle East will also be focused on.

“Well, Washington and its string of puppets did try to turn the G20 into a farce. Fortunately the adults in the room had some business to do,” reported Russia Today, satirically addressing the majority of the G20 as a “tiny bunch of Anglo-Saxon political buffoons [attempting] to drown out the Global South.”

In the Russia Today report, the work of the adults, or rather the “G5” BRICS nations, were reunite and discuss matters of real importance. As coined in 2001 by Goldman Sachs, “Building Better Global Economic BRICS,” the countries with rapidly emerging economies: Brazil, Russia, India, China and South Africa make up the BRICS power-pact. Matters such as the BRICS New Development Bank investments and a restructuring of the decrepit IMF were at the top of the list according to Brazilian President Dilma Rousseff.

In 2010, the IMF’s Board of Governors approved a reform that was key to increasing voting power of emerging markets, for example those of Latin America and BRICS nations for a more equal economic trading field, something that is worse for Republicans in Washington than even communism itself, says Russia Today. Putin confirmed that trade between Russia and China and the rest of Asia is planned to increase from 25 percent to 40 percent of Russia’s GDP (2096.78 billion USD).

Russia-China trade investment, which has increased in Latin America, is increasingly in rubles and yuan depreciating the U.S. dollar. For BRICS nations this trade is welcomed with fellow partner countries and companies. Brazil, under the reelection of President Dilma Rousseff, a leftist leaning president, is one of the main countries in Latin America shifting away from U.S. influence.

(L-R) Russian President Vladimir Putin, Indian Prime Minister Narendra Modi, Brazilian President Dilma Rousseff, Chinese President Xi Jinping and South African President Jacob Zuma join their hands at a group photo session during the 6th BRICS summit in Fortaleza July 15, 2014.(Reuters / Nacho Doce )
(L-R) Russian President Vladimir Putin, Indian Prime Minister Narendra Modi, Brazilian President Dilma Rousseff, Chinese President Xi Jinping and South African President Jacob Zuma join their hands at a group photo session during the 6th BRICS summit in Fortaleza July 15, 2014.(Reuters / Nacho Doce)
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