King Salman With Swift Implementation of G20 Consensus
By Mas ud HMN*)
Two essence point of speaks King Salman from Saudi Arabia to implementing consensus of G20’s meeting .Namely firsth Full fill hopes of solution pandemic Covid 19 and secondly, restore confidence for economic world. Two point essence was positive solution of Riyadh Saudi Arabia virtual giving contributing .Particularly in reason approach hope of G2O ‘s meeting. .
As publish on March 26, 2020 by Media News Saudi Agency . (SPA) that King Salman speaks via video link during a virtual G20 summit on coronavirus (COVID-19), in Riyadh, Saudi Arabia.
Was held as despair set in around the world about the coronavirus’s rapid spread and the failure of several rich countries to stem the tide. Desperate measures such as lockdowns, curfews and social distancing have helped slow the exponential growth in infections and deaths, but also deepened the global recession, pushing many countries to the edge of meltdown.
As we know Swif implementation of the consensus so carefully reached at the G20 summit is necessary to avert a potential global health and economic catastrophe. The final communique issued at the end of the summit, which was hosted virtually in Riyadh, Saudi Arabia, gave a glimmer of hope. So did the reassuring words of several leaders delivered during the videoconference. King Salman, who presided over the summit, said that the world had pinned its hopes on this meeting and the G20’s role.
This accord to King Salman speaks.He called for unity among the group’s nations and a coordinated response to the disease, as well as a coordinated approach to ensuring the undisrupted flow of goods and services. King Salman urged the group to come up with new initiatives to fulfill hopes of defeating the pandemic and restore confidence in the world economy.
Also relevant with explanation above that reflected communique a fairly unified approach on both the health and economic challenges, which was remarkable considering the trade and media wars between the group’s two largest economies, China and the US — tensions that intensified after the disease was discovered in China late last year and its fast spread around the world. One impetus for the summit was a genuine frustration about the lack of real cooperation in exchanging expertise, equipment and supplies.
About reviving economic growth The summit’s statement outlined seven tracks reasoning for international cooperation, including fighting the epidemic and protecting lives. It is base on coordinating public health and financial measures to fight the disease; safeguarding people’s jobs and incomes; restoring confidence, preserving financial stability and reviving economic growth; minimizing disruptions to trade and global supply chains; and providing help to countries in need.
Addition of the most tangible deliverables from the summit was the commitment to inject “over $5 trillion into the global economy, as part of targeted fiscal policy, economic measures, and guarantee schemes to counteract the social, economic and financial impacts of the pandemic.” That amounts to about 6 percent of global gross domestic product (GDP).
The leaders also urged their central banks to continue with “extraordinary measures” to “support the flow of credit to households and businesses, promote financial stability, and enhance liquidity in global markets.” The G20 club of super-rich countries, which account for 90 percent of the world’s GDP and 80 percent of its trade, is capable of mitigating both the health and economic repercussions of the coronavirus, if its members deliver on the promises made last week.
There are reasons for cautious optimism, as China and the US appear to be trying to reduce their bilateral tensions. Prior to the summit, Beijing had called for greater cooperation in fighting the disease and specifically suggested that the G20 play a greater role, citing the group’s previous role in dealing successfully with the 2008 global financial crisis.
At the summit, Chinese President Xi Jinping called on the international community, especially the G20 nations, to “strengthen confidence, act with unity and work together in a collective response.” Clearly aware of the criticism directed at China by the US, he then presented four specific proposals to fight the disease in a collective approach. Xi also stressed the need to support international organizations in fighting the disease and coordinate macroeconomic policies aimed at dealing with the economic crisis.
The US was among the first to adopt a very far-reaching stimulus package valued at $2.2 trillion, more than 10 percent of the country’s GDP — far exceeding the goal set by the G20 summit.
In living up to the spirit of the G20 summit, President Donald Trump changed his tone about China overnight. The morning after the meeting, he tweeted: “Just finished a very good conversation with President Xi of China. Discussed in great detail the coronavirus that is ravaging large parts of our planet. China has been through much & has developed a strong understanding of the virus. We are working closely together. Much respect!” That spirit of cooperation between the two economic superpowers is probably the main indicator of the summit’s success.
The G20 professionals need to build on this, so far verbal, transformation of China-US attitudes toward each other. Other G20 members, with less acrimony between them, are also expressing a new sense of global cooperation. This new spirit should be translated into concrete steps for sharing best practices about combating the disease, as well as steps to avert an economic catastrophe that could eclipse previous crises. Because The G20 club of super-rich countries is capable of mitigating both the health and economic repercussions of the coronavirus.
The danger signs of an economic disaster are already there. A new study prepared by the Washington-based Institute of International Finance (IIF) shows that businesses are in much worse shape now than they were in 2008. Corporate debt among non-banks has exploded to more than $75 trillion, up from $48 trillion at the end of 2009.
As the coronavirus spreads and economic activity shrinks, it is likely that many companies, including those working in the energy, hospitality and auto sectors, may not be able to meet their debt payment obligations.
Several Financial study believe anfd suggests that corporate debt worth $19 trillion from eight countries — China, the US, Japan, the UK, France, Spain, Italy and Germany — is at risk of default. That would be 40 percent of all corporate debt.
Very clear if not averted by the kind of solutions suggested by the G20 summit, such defaults would trigger a chain reaction all over the world, destabilize financial markets and compound the economic shock made by the disease and the related global curtailment of economic activity.
Over all side position view from Indonesia the role of the club wish to joint on future. Especially to high appreciate attention King Salman from Saudi Arabia have capacity to implementing virtual contributing. We believe the pandemic Coronona 19 was blg problem for health and economy. To solving problem need commitment with joint virtual contributing and working together. Insya Allah
Jakarta, 21 April 2020
*) Mas ud HMN a Doctor Lecture Muhammadiyah University Prof Dr Hamka ( UHAMKA) Jakarta. Email masud.riau @gmail.Com