The Group of Seven nations plans to launch a green alternative to China’s Belt and Road initiative when the leaders meet at a summit on 11th to 13th June 2021.The strategy is expected to be called the “Clean Green Initiative”. The initiative will provide a framework to support sustainable development and the green transition in developing countries.The Group of Seven (G7) is an intergovernmental organization consisting of the most advanced industrialised nations of the world.
1. Canada 2. France 3. Germany 4. Italy 5. Japan 6. UK 7. USA
1997 to 2014 – The most advanced industrialised nations were grouped as the G8.Russia was ejected, following its annexation of Crimea. The group meets annually at the summit site to discuss economic policies. The 2020 summit (scheduled to be held in the US) was cancelled owing to the COVID-19 pandemic.
Why is China not a part?
The G7 is composed of the seven wealthiest advanced countries. The People's Republic of China, according to its data, would be the second-largest GDP with 16.4% of the world net wealth. However, it is excluded because the IMF and other main global institutions do not consider China an advanced country and because of its relatively low net wealth per adult and HDI.
The need for an alternative to BRI.
China’s trillion-dollar BRI initiative has seen 139 countries endorse the program. Its network of projects and maritime lanes already snake around large parts of the world. BRI members include U.S. allies and partners such as Greece, Italy, Saudi Arabia and the United Arab Emirates, as well as countries that align with China geopolitically such as Cambodia and Laos. China promotes the BRI as an infrastructure building project for developing countries. But critics argue that the projects often create a debt dependency and expose nations to undue influence by China. Montenegro, a NATO member and European Union aspirant, is one of the latest countries struggling to repay loans to China.
China United States India CO2 Emissions in 2018 10 billion tonnes 5.41 billion tonnes 2.65 billion tonnes China’s infrastructure projects have led to a rapid rise in its carbon emissions.Overall carbon emissions
With climate change causing unprecedented catastrophes, global calls for replacing fossil fuels are rising Of the total $14.6 trillion in fiscal spending governments allocated for coronavirus pandemic recovery, only 2.5 percent was allocated for green initiatives.
A G-7-backed plan to rival China’s infrastructure strategy was initially pushed by U.S. president Joe Biden, and has featured in technical discussions between diplomats.
The G7 plan now
• It is not clear whether any new money would be put behind the G-7 initiative.
• The initial purpose may be a pledge toward creating a strategic framework.
• In the lead up to the 2021 summit, G-7 members have expressed different views on the geographical focus the initiative should have. (The BRI now has expanded to Latin America.)
• Germany, France and Italy are keen for the new initiative to support activities in Africa.
(France and Germany have recently apologized for genocides and colonial era crimes in Rwanda and Namibia, in order to undertake big investment projects there.)
• The U.S. is pushing for action in Latin America and Asia.
• Japan argues for more focus on the Indo-Pacific region.
• However, all nations broadly agree on the need for a more transparent alternative to the Chinese program.
• In recent years, several G-7 countries, as well as the EU, have launched their own infrastructure initiatives with mixed results. More are in the works.
The US is looking at the expansion of the Quad beyond the security realm to embrace issues like climate change, COVID-19 vaccine distribution, and technological innovation.
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