B20 focused on building sustainable economic growth.

Anthony Hahn
Associate Manager, International Strategy & Global Initiatives, U.S. Chamber of Commerce

Published

February 26, 2025

This week, the B20 kicked off in Cape Town, marking the start of business engagement with the G20 South Africa. Simultaneously, G20 finance ministers and central bankers wasted no time launching the G20 finance track discussions. Amid all these meetings and dialogues, the primary goal for all economies remains the same: achieving strong, sustainable economic growth.

The G20, which emerged as the principal forum for coordinating international responses to global financial crises during the economic crash of 2008, still remains the top platform for navigating challenges facing the world’s largest economies. With the first full G20 cycle concluding at the end of this year, the United States is preparing to take the helm in 10 months. This week, the U.S. Chamber of Commerce and representatives from the global business community are on the ground at the B20 launch, engaging in discussions to shape the G20 agenda around several core themes regarded as the main drivers for achieving shared global economic growth.

Funding is Essential

Development finance is crucial for driving global economic expansion. In theory, development finance aims to set low-income markets on a growth path and eventually offer profitable opportunities to businesses in advanced economies. In practice, inefficiencies and missed opportunities abound. Current G20 discussions are emphasizing the need to re-think capital and trade flows and the role of large public development finance institutions. The G20 will seek to mobilize diverse capital sources, emphasizing increased private sector participation. The rapid advancement of digital innovation, notably AI, presents transformative potential for the financial system. High on the agenda for the G20 is dedicating attention to monitoring AI's integration within finance, assessing vulnerabilities and enhancing operational and cyber resilience across the development finance landscape.

As the G20 explores practical approaches such as blended finance and risk mitigation instruments, the focus remains on policies that promote efficient and impactful capital allocation. Critically, the G20 must also prioritize policies that foster a level playing field, reduce unnecessary investment barriers, and promote transparent and accountable governance—all essential preconditions for attracting and effectively deploying private capital at scale.

Everyone Needs to Eat

Alongside the digital transition, the bioeconomy offers substantial growth potential. Recent G20 discussions have already highlighted biotechnology, sustainable agriculture, and renewable resources to contribute to economic expansion while addressing global hunger and other challenges. From advancements in biomanufacturing and sustainable energy to improvements in food systems and healthcare solutions, the bioeconomy offers opportunities for new industries, job creation, and enhanced resource utilization. For many economies, investment in the bioeconomy is a pathway to future competitiveness and sustainable development. The results may impact food prices worldwide for years to come. Within this context, South Africa has established a task force on food security.

To improve food security, the G20 will also grapple with regulations and standards for international commodity markets, companies in the food sector, and cross-border flows. This will include analyzing how global trade, supply chain systems, and market concentration affect domestic food prices, identifying key factors by region and country. The analysis will consider the effects of currency volatilities, capital management, market concentration in the global food trade and supply chain systems, speculation and financialization on rising prices, and ways to mitigate these factors during future shocks.

As the G20 explores frameworks to support bioeconomy research, development, and commercialization, a key consideration is creating enabling environments for private sector investment.

Disasters Don’t Stop at Borders

In our interconnected world, shared vulnerabilities demand collaborative solutions. The increasing frequency and severity of natural disasters and humanitarian crises pose a growing risk to global economic stability and development. The recent wildfires and hurricanes in the U.S., which even our robust economy struggled to absorb, were another tragic reminder. Strengthened disaster relief cooperation within the G20 is thusly viewed as a critical component to maintaining a stable global economic environment. South Africa promises to elevate this issue, calling for the global community, including international financial institutions, development banks, and the private sector, to scale up post-disaster reconstruction.

Shared efforts to improve early warning systems, enhance emergency response coordination, and ensure efficient resource deployment are key to mitigating the economic impacts of disasters, protecting international supply chains and building more resilient communities. Public-private partnerships are vital for strengthening G20 disaster preparedness and response mechanisms, leveraging business expertise and resources with international collaboration.

The pursuit of global economic growth is fundamental to improving living standards and expanding opportunities for individuals and communities worldwide. The international business community is out in force at the B20 launch and will be visible throughout the G20 process, working with our global partners to promote economic opportunity, innovation, and a more stable and interconnected global economy for the benefit of all nations.

Looking ahead, as the U.S. prepares to assume the G20 presidency next year, the U.S. Chamber of Commerce stands ready to chair the B20, with a commitment to further advance these priorities and foster stronger international business collaboration.