G20 Summit Russia: Indonesia within the G20 Group of Major Economies
The G-20 summit in St Petersburg (Russia), which is held on Thursday (05/09) and Friday (06/09), is not expected to result in unanimous support for a military action against Syria as China and Russia are opposing strongly to such an action. Indonesia's president Susilo Bambang Yudhoyono stated that Indonesia takes the middle road regarding the Syria-case. Apart from Syria, other topics that are discussed include the possible ending to the Federal Reserve's quantitative easing program, global economic growth and financial stability.
The looming end of QE3 has caused global turmoil in recent months as investors pulled large quantities of funds out of emerging markets, including Indonesia, hurting currencies and stock markets. Brazil, India and South Africa have protested against the sudden withdrawal of QE3 as it will impact too much on emerging markets. According to these countries, the United States should not close their eyes for the fate of emerging markets. In this matter, Yudhoyono again takes a sort of middle of the road approach by stating that policy changes regarding QE3 should be well-balanced and carefully thought over because if emerging markets will enter a crisis then it will also have a negative impact on developed countries. The Federal Reserve, on the other hand, is concerned about asset bubbles and high inflation in the USA if the program is continued.
The table below provides various economic figures for all members of the G-20 group of major economies. With the exception of per capita GDP, which is still rather low, Indonesia posts healthy figures for these categories compared to its fellow members of the G-20.
Economic Figures G-20 Group of Major Economies:
| Country | GDP Growth 2012¹ |
GDP Growth Q2-2013 |
GDP per Capita (2012, USD$) |
Fiscal Balance (% GDP) |
Debt Ratio (% GDP) |
| Argentina | 2.0 | 3.0 | 12,034 | -0.05 | 42 |
| Australia | 3.7 | 2.6 | 44,598 | -3.34 | 12 |
| Brazil | 0.9 | 3.3 | 11,909 | -2.59 | 35 |
| Canada | 0.2 | 0.9 | 42,533 | -5.96 | 35 |
| China | 7.7 | 7.5 | 9,233 | 0.00 | 21 |
| England | 0.2 | 1.5 | 36,901 | -5.96 | 83 |
| European Union | -0.6 | -0.5 | 34,116 | -3.70 | 91 |
| Germany | 0.7 | 0.5 | 40,901 | 0.20 | 57 |
| France | 0.0 | 0.3 | 36,104 | -4.80 | 84 |
| India | 5.1 | 4.4 | 3,876 | -4.72 | 66 |
| Indonesia | 6.2 | 5.8 | 4,956 | -1.52 | 24 |
| Italy | -2.4 | -2.0 | 33,111 | -3.00 | 103 |
| Japan | 2.0 | 0.9 | 35,178 | -9.89 | 134 |
| Mexico | 3.9 | 1.5 | 16,731 | 0.00 | 38 |
| Russia | 3.4 | 1.2 | 23,501 | -0.24 | 10 |
| Saudi Arabia | 6.8 | 4.2 | 24,571 | 14.30 | -53 |
| South Africa | 2.6 | 2.0 | 11,440 | -5.33 | 36 |
| South Korea | 2.0 | 2.3 | 30,801 | 2.14 | 32 |
| Turkey | 2.2 | 3.0 | 18,348 | -2.09 | 28 |
| United States | 2.8 | 1.6 | 49,965 | -7.00 | 88 |
¹ annual percentage change
Source: Investor Daily