The EU Constrained by the G20 in Los Cabos

25-06-2012

Largely dominated by the economic crisis in the Euro area, the G20 summit held in Los Cabos, Mexico last week provided the EU with greater financial buffers, but little peace of mind. The reinforcement of the International Monetary Fund’s firewall fund — and the role of emerging economies in bolstering the fund — may have been one of the few positive results to emerge from an otherwise cautious summit. Yet the EU also faced a barrage of criticism, and ultimately agreed to involve foreign leaders in what have constituted internal matters until now. Chaired by the Mexican President Felipe Calderón, the meeting on18-19 June placed the global economy and growth at the top of its agenda, followed by the international financial architecture and financial inclusion. Other elements that had also been included in the agenda — including the extra-economic issues of infrastructure, food security, green growth and disaster risk management — were given short shrift.

Largely dominated by the economic crisis in the Euro area, the G20 summit held in Los Cabos, Mexico last week provided the EU with greater financial buffers, but little peace of mind. The reinforcement of the International Monetary Fund’s firewall fund — and the role of emerging economies in bolstering the fund — may have been one of the few positive results to emerge from an otherwise cautious summit. Yet the EU also faced a barrage of criticism, and ultimately agreed to involve foreign leaders in what have constituted internal matters until now. Chaired by the Mexican President Felipe Calderón, the meeting on18-19 June placed the global economy and growth at the top of its agenda, followed by the international financial architecture and financial inclusion. Other elements that had also been included in the agenda — including the extra-economic issues of infrastructure, food security, green growth and disaster risk management — were given short shrift.