I’m struggling to identify any agreement of real political or commercial significance that was struck during the 2-day Brisbane G20 summit in mid-November. Yes – a chunky 800-page communiqué was released as the various Heads of Government flew from Australia’s east coast. It consisted, though, of little apart from grand words and vague aspirations, with almost no costings, let alone information on sources of actual finance.
The leaders of the G20 nations – accounting for around four-fifths of the world economy – want an additional 2pc of growth by 2018, we were told. Beyond the simple mention of “investment, trade and competition”, there were few details on how this extra growth would be achieved.
The St Petersburg International Economic Forum, now in its eighteenth year, was less well attended than usual. The absence of various American and West European CEOs, responding to pressure from their governments following sanctions on Russia, was heavily commented upon in the West.
Less widely noticed was one of the most important pieces of news to emerge from Russia since the Soviet collapse of the early-1990s – namely the $400bn deal struck between Moscow and Beijing, under which Russia supplies 38bn cubic metres (bcm) of gas to China over 30 years from 2018.
“The unipolar model of the world is over,” declared Vladimir Putin last week. “The global picture has completely changed”.
The St Petersburg International Economic Forum was less well-attended than usual. During previous visits to this annual “Russian Davos”, now in its eighteenth year, I’ve regularly been mown-down by American and West European CEOs, as they’ve purposefully stomped down carpet-tiled corridors, their retinue of aides and cameras in tow.
This year, while plenty of Western executives did make the annual trek to Russia’s beautiful second city, keen to sell more cars, soap powder and financial services in Europe’s most valuable consumer market, the corridors were safer. Many of the top business names stayed away. The sanctions imposed on Russia in response to events in Ukraine put Western business leaders under pressure. Fearing unsavory headlines, and often responding to specific government requests, some of our best-known corporate pole-climbers gave “Putin’s vanity summit” a miss.