by Pankaj Yadav
NEW DELHI, June 28 (Xinhua) -- All eyes is on the Group of 20 (G20) summit in Osaka this week, as observers look for solutions to challenges facing the world economy, an expert has said.
"In the 21st century, the global focus has shifted from security to development and G20 represents the largest economies on the planet," Professor Swaran Singh of the School of International Studies at Delhi-based Jawaharlal Nehru University told Xinhua.
"They (leaders of G20) sit together and decide what should be the direction of the global economy and how to address the challenges that the global economy has at that given time," said Singh.
These 20 top economies of the world represent specific regions, and the increasing connectivity of G20 with their respective regions mean the stakes are high, he added.
"When you talk of economic relations, these are extremely not only intertwined but interdependent," said the professor.
The G20 meeting comes at a time when the U.S.-initiated trade disputes with China is raising concerns worldwide about the prospects for future global economic development.
Chinese President Xi Jinping held a telephone conversation with his U.S. counterpart Donald Trump on June 18 at the latter's request.
Trump said he looks forward to meeting Xi again during the upcoming Group of 20 summit in the Japanese city of Osaka later this month and conducting in-depth discussions on bilateral ties and issues of common concern.
The Chinese president said he stands ready to meet Trump in Osaka to exchange views on fundamental issues concerning the development of China-U.S. relations.
"G20 is going to be very focused on finding some kind of respite, if not resolution, to this continuing tension between the United States and China," said Singh, adding that the proposed meeting between Trump and Xi "is of interest to everybody around the world."
Citing data by the International Monetary Fund, Singh said that due to the U.S.-China trade and tariff tensions, the world economy is likely to shrink by about 0.5 percent, or about 500 billion U.S. dollars.
Trump's protectionist policies and the idea of "American First" have surely rattled global business and economic relations, said Singh.
"Even if this is sowing some positive growth in the short term, American companies are already voicing their long term fears of negative implications. Major economies are so intensely intertwined that it is insane to imagine sealing economic interactions within national borders or dictating terms to other sovereign nations," said the professor.
Regarding the U.S. ban on Chinese company Huawei, Singh noted that the U.S. tactic was nothing but politics.
"China's unprecedented development and American economic deceleration has triggered alarm bells in Washington about China possibly overtaking it sooner than later," he said.
"The basic motive behind raising trade tariffs or banning of Huawei remains their sentiment to delay China's rise as much as possible," he added.
When asked if U.S. trade disputes with China is responsible for recent weakness in global growth, Singh replied that several reputed international institutions had already given their forecasts of a "negative impact" of the trade disputes.
