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Noting that the process of recovery and repair remains incomplete, G20 Leaders launched the G20 Framework for Strong, Sustainable and Balanced Growth (FSSBG). As a member of the G20 Framework Working Group (FWG), the OECD has contributed to its development and supports its initiatives. In 2014, the G20 National Growth Strategies complemented the FSSBG, with an aim to achieve an upside growth objective of 2% over current trajectory by 2018 (the "2 in 5" objective).

 

G20 FRAMEWORK WORKING GROUP

At the 2009 Pittsburgh Summit, the Leaders agreed to launch a framework that lays out the policies to generate strong, sustainable and balanced global growth. Later that year, the G20 Finance Ministers launched the G20 Framework for Strong, Sustainable and Balanced Growth. They also adopted a detailed timetable and initiated a new consultative Mutual Assessment Process (MAP) to evaluate whether G20 policies will collectively deliver on their agreed objectives.


International organisations, including the OECD, were invited to assist in this assessment process. As a member of the G20 Framework Working Group (FWG), the OECD has supported and will continue to support the work undertaken in the context of the Framework for Strong, Sustainable and Balanced Growth.


G20 MUTUAL ASSESSMENT PROCESS (MAP)

The OECD has been actively involved in the implementation of the G20 Mutual Assessment Process (MAP), a multilateral process through which G20 countries identify objectives for the global economy, the policies needed to reach them, and the progress toward meeting these shared objectives. The OECD collaborated with the IMF on the MAP exercises, with simulations on the structural policies that could help governments achieve higher growth consistent with an upside scenario. The OECD also evaluated and assessed the underlying structural sources of persistent global imbalances as part of the international organisations’ inputs into the MAP.

The OECD reviewed how countries have progressed in the implementation of their structural policy commitments in Toronto, Seoul, Cannes, Saint-Petersburg and Los Cabos as part of the MAP’s accountability exercise.


The G20 NATIONAL GROWTH STRATEGIES & THE “2 in 5”

Under the Australian Presidency, the OECD contributed to the design of the G20 National Growth Strategies, which aimed at lifting the global GDP by 2% above the baseline by 2018. The strategies were adopted at the Summit in Brisbane and were included in the Brisbane Jobs and Growth Action Plan. In 2015, the OECD, the IMF and the World Bank were called on by G20 Leaders to support this process by identifying a proposed list of Key Commitments from members’ comprehensive Growth Strategies. The OECD and IMF have also carried out a quantitative assessment of progress towards the “2-in-5” GDP target (pdf) that shows that just under half of the policy commitments had been fully implemented by the Antalya Summit, which will increase G20 GDP by around 0.8 percent by 2018. Additional gains are to be achieved by full and timely implementation of the measures currently in progress.  


BOOSTING JOBS AND LIVING STANDARDS & PROMOTING INCLUSIVE GROWTH IN G20 COUNTRIES

In a context of rising inequalities, which in turn are adversely impacting growth, the OECD has supported G20 members in “injecting” an inclusive growth dimension into the FSSBG. As per Leaders’ mandate in Cannes, the The OECD, along with the ILO, the IMF and the World Bank, prepared a report on the global employment outlook and how the G20 could contribute to job creation Boosting Jobs and Living Standards in G20 countries (pdf).

Under the Turkish Presidency, our Organisation provided a qualitative assessment (pdf) of the distributional impact of the Brisbane Key Commitments, which shows that a large majority of growth-enhancing G20 commitments have no clear effect on inequality. The OECD is therefore making the case for the G20 to develop policies aimed at reducing income inequality and well-being without compromising the positive growth “2 in 5” objective. 


 

GOING FOR GROWTH

Building on its annual Going for Growth report, the OECD has been providing structural policy and performance indicators that can help countries to identify the obstacles to sustained growth and that underpin analysis of the policy actions that could improve economic performance.

The OECD also contributes to the policy debate in G20 countries by sharing expertise and experience in several structural reform areas, as well as by monitoring progress in the implementation of structural policies.

In addition, the OECD measured short-term impacts of pro-growth reform and implementation lags through improved knowledge of the dynamics of structural reforms; minimising adjustment costs and informing priority setting by countries.


OECD CONTRIBUTIONS TO G20