G20 Summit: India Leading in Development

G20 Summit: India Leading in Development

India’s Globalization and the Silk Road Challenge

G20 Summit: India Leading in Development, according to Iran Gate, the G20 leaders’ meeting in New Delhi concluded on Sunday, September 10th, with a compromise statement on Ukraine. However, it was successful for India and Modi. In this summit, India and Narendra Modi did not miss their chance to shine in the international spotlight. This Asian country and its Prime Minister can rightly consider themselves the winners of the G20.

The international community, grappling with several crises including the rifts caused by the war in Ukraine and dissatisfaction among parts of the global community towards the most advanced economies, tested the ability of over 300 Sherpas—a term in journalism for officials who organize high-level international political meetings—and the Indian official involved in a complex diplomatic puzzle. Nevertheless, in the end, the goal was achieved. The leaders gathered in New Delhi signed a declaration that allowed India to claim success.

However, regarding Ukraine and the not-so-bold statement issued related to the war in this country, it can be claimed that the consensus statement was such that anyone could interpret it as they wished based on their interests. Therefore, although Russian Foreign Minister Sergey Lavrov defines it as a success, for the French President, this statement confirms Russia’s isolation. Similarly, while some observers consider it a victory for Moscow, others see it as an important step forward for the West.

According to Reuters, the consensus of member countries on this statement was surprising and unexpected because in the weeks leading up to the summit, there were very different views on the war in Ukraine. Western countries wanted to criticize Moscow for this invasion, while Russia had announced it would block any resolution that did not reflect its position. However, in the end, it seems that the final statement managed to satisfy at least most of the group’s members.

Brazilian President Luiz Inácio Lula da Silva, who had previously stated in an interview with the Indian online newspaper First Post that Russian counterpart Vladimir Putin would not be arrested if he decided to attend the G20 summit, reiterated this at the end of the meeting in New Delhi, telling Putin, ‘I would be very honored to welcome you in November 2024 in Rio de Janeiro.’

However, hours later, the Brazilian head of state amended his remarks, clarifying that the decision on the possible arrest of Putin, who has an international arrest warrant issued against him, is up to the judiciary of this South American country.

A Necessary Compromise

In the end, the mountain gave birth to a mouse. Similarly, the final statement of the G20 in New Delhi contained conservative and general remarks about the war in Ukraine. Jake Sullivan, the White House National Security Advisor, described the summit’s statement as very good, as it was set in defense of the principle that governments cannot use force to acquire territories or violate the territorial integrity, sovereignty, or political independence of other countries.

However, Ukrainian President Zelensky, with a tone indicating disappointment and frustration with the final statement, explicitly stated that there was nothing in the statement to be proud of. To tell the truth, it seems there was no alternative—either compromise or nothing.

In the end, Europe, the United States, and their allies agreed to avoid condemning Moscow for the war in Ukraine, and in return, Vladimir Putin committed to respecting the territorial integrity and sovereignty of all signatories of the statement and to strive for a just peace.

The Financial Times wrote that the extent to which Western allies were willing to compromise, despite the absence of Chinese leader Xi Jinping and Moscow’s Putin at the summit, shows how eager they were to maintain the credibility of this group, which has been under significant pressure since the Russian invasion of Ukraine just over 18 months ago.

In recent months, amid growing tangible dissatisfaction with international organizations, Moscow and Beijing have indeed found an opportune moment to promote the concept of a new world order, a topic that is very appealing to countries in the Global South that are often excluded from decision-making processes in large multilateral forums.

Victory for Modi

There was another reason why Washington and its allies agreed to the final compromise statement on Ukraine. The risk of the summit ending for the first time in decades without a declaration was a humiliation that could have damaged India’s reputation and its Prime Minister. As a result, Western countries were keen to avoid it. India is indeed considered a key ally of the West in strategies to contain Beijing, and it is no secret that Narendra Modi, who is already planned to participate in next year’s elections in this country,

wanted to turn this summit into a showcase for promoting Indian culture, his foreign policy goals, and his ambitions to lead the so-called Global South countries. It seems he largely succeeded in approaching his goals. Analysts believe he managed to secure victory at this summit without difficulty.

Under his leadership, India also succeeded in obtaining permission to join the African Union, committed to multilateral banking reforms, progressed in regulating digital currencies, and finally established a framework for restructuring debt for poor countries. There is also another aspect; the Indian Prime Minister demonstrated how a subcontinent can act as a bridge between the West and the East and how to fill the gaps that separate emerging economies from wealthy ones, ultimately providing practical solutions for some global problems.

Another Silk Road

New Delhi also launched the PGII, the Partnership for Global Infrastructure and Investment. The PGII is a joint effort by the G7 to finance infrastructure projects in developing countries. It is an ambitious project to connect India to the Middle East and ultimately to Europe through a network of ports, railways, and undersea cables that will be implemented in collaboration and agreement with the United States and its allies.

This corridor, which includes India, Saudi Arabia, the United Arab Emirates, Jordan, Israel, and the European Union, will help strengthen trade, resource security, and improve digital connectivity while also aiding in normalizing relations between Israel and Gulf countries. According to estimates published in the global press, this project could increase trade between India and Europe by up to 40 percent.

This initiative, which some in Italy call the Cotton Road, is actually a counterbalance to China’s extensive infrastructure corridor known as the Belt and Road Initiative, which is now in its tenth year and has expanded across Asia, Africa, and Latin America, helping to increase Beijing’s influence over weaker economies.

Despite the project’s ambitious nature, the memorandum of understanding merely defines its goals but does not specify how it will be financed. The signatory countries will form working groups within 60 days to determine a real timeline for project implementation. The PGII currently includes a commitment to mobilize $600 billion in resources to support low- and middle-income countries in creating sustainable infrastructure based on investment transparency principles.

This initiative is aligned with the Global Gateway project launched by the European Commission in 2021 to mobilize €300 billion to finance infrastructure projects in developing countries. Modi said, ‘Today, as we launch such a significant initiative, we are indeed planting the seeds for big dreams for the next generation.’

According to experts and analysts, the G20 summit in New Delhi can be considered a victory for Modi’s foreign policy, but at the same time, it raises some questions about China’s role. In fact, if the G20 in Bali in 2022 marked the return of Chinese President Xi Jinping to the international scene after the COVID years, his absence in New Delhi, as well as Putin’s absence due to an international arrest warrant, made headlines.

There is no specific reason for the absence of the Chinese leader, but even if it can be linked to domestic issues, it is considered a potential disrespect to the host, with whom border disputes continue. Moreover, it currently indicates a rift among BRICS countries, which a few weeks ago agreed on the entry of six new members.

Ultimately, this issue undermines the legitimacy of the G20 as a main forum for coordination on global issues, so much so that the Brazilian President, who will host next year’s summit, has taken steps to ensure Putin’s presence and perhaps Xi Jinping’s as well. Meanwhile, the anticipated meeting between Xi Jinping and Joe Biden will be postponed at least until the APEC Economic Cooperation Organization summit, hosted by the United States from November 15 to 17.