Experts explain theme of G20 Hangzhou Summit

By Cao Yuanlong, Guangming Daily reporter

If you know what the four “I’s” in the theme of the G20 Hangzhou Summit, “Toward an Innovative, Invigorated, Interconnected and Inclusive World Economy”, mean, you will understand this summit.

“Innovation” drives growth

“Innovation” not only means technological and scientific innovation, but also those in development philosophies, systems and mechanisms, and business models as well as structural reforms, so as to create new driving forces for the world economy.

Innovation, the first “I” among the four, is given top priority, said Wang Wen, Executive Director of Chongyang Institute for Financial Studies, Renmin University of China. The root cause of the sluggish world economy is the bottleneck in technological innovation. Technological innovation has always been the fundamental driver of world economic growth. China has actually found out the root cause and is keenly aware that promoting innovation is a fitting remedy for problems in global economic governance.

Wang said that, in fact, the highlight on innovation is a reminder for countries to refine development philosophies, realize policy innovation and avoid various forms of protectionism, like trade protectionism and investment protectionism. Meanwhile, they should pragmatically promote innovation, break through institutional barriers so as to realize innovation in business models and structural reforms at home.

“Invigorated” world economy needs China’s contribution

“Invigorated” world economy requires new approaches, new growth drivers, improved global economic governance and new vitality so as to cope with sluggish economic growth.

Pang Zhongying, professor of School of International Studies, Renmin University of China, and executive member of International Financial Forum Academic Board, said that G20 is the highest-level informal political arrangement for achieving an “invigorated” world economy which affects member countries’ economic policies and global governance by international economic organizations.

However, it’s not easy to achieve consensus on creating new vitality for the world economy, since the G20 is composed of so many significant economies.Pang believes that China, as host of this G20 Summit, can provide a wildly-accepted “China Plan” to solve the vitality problem.

First, economy in China, especially in Zhejiang Province, where the summit is held, is so vigorous that it can show the world the future direction of global economic development, and provide other countries with experiences for their search for new paths and new growth drivers.

Second, China emphasizes solving in-depth structural problems that impede new growth and development of the world economy, as well as close and effective coordination among countries on macro policies regarding structural reform, growth and development.

Third, China and other emerging economies strongly advocate to improve the current global economic governance regime so as to risk-proof the world economy and release potentials and vitality of economic growth.

“Interconnection” forms synergy

“Interconnected” world economy is aimed at strengthening economic cooperation, breaking barriers, promoting trade and investment, pushing forward interconnection of infrastructures so as to create synergy via benign interaction.

Huang Wei, Director of Global Governance Research Lab of CASS, believes that G20 has moved forward in strengthening interconnection and realizing long-term prosperity under China’s guidance in 2016.

“Inclusiveness” promotes sharing

“Inclusiveness” aims at narrowing development gaps among countries and paying more attention to developing countries so as to let people of all countries share the dividends of global economic growth.

Professor Su Changhe, Vice-president of School of International Relations and Public Affairs of Fudan University, said that sharing achievements of economic growth is a significant dimension of “inclusiveness”, which means letting more countries and their people share the fruit of growth.

Inclusiveness, which is put into the theme of the G20 Hangzhou Summit, is of great significance for inspiring and guiding better global economic governance, global governance and even the orientation of world economic order.

Translated by Zhang Zhou