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(JPMNT) Journal of Process Management – New Technologies, International Vol. 7, No 1, 2019. THE ROLE AND FUTURE OF G8

Soran K. Omer Department of Administration and Accounting, Faculty of Humanities and Social Sciences, Koya University, Koya KOY45, Kurdistan – F.R. Iraq. [email protected] Original Scientific Paper doi:10.5937/jouproman7-20168

Abstract: The (G8) or the G-8 is the expanded by the accession of in 1977 world's major economic powers. This paper is an and , which was first invited to attempt to appear the role of world's future. As well participate in the in 1994. as, the research as an theoretical trying to increase information and knowledge about the G8 in terms of The G8 is not an international organization, the conception and nature, as well as increasing the but rather a framework for informal meetings knowledge of how to create and the goals and at the highest level, which has gradually been aspirations of the group and determine its future, structured over the years. Ministers of foreign also it was based on the descriptive approach by affairs (including the ministries of examining the nature of the roles played by the international organizations and the global environment, energy, development, labor, conglomerates. In conclusion, establishment and justice, home affairs, scientific research and future of the G8 is two belongings that are sensitive agriculture), as well as several working to energy sources, especially oil and its prices. groups on various issues , from health to Keywords: Group of Eight (G8), Informal development through issues related to organization. nuclear energy. The ministers of economy Introduction and finance continue to meet in the formation of the seven countries (G7), maintaining their The Group of Eight (G8) or the G-8 is the specific competence in the economic and world's largest economic powers. It was born financial issues, which distinguishes them in 1975 as the Group of Six (, the from the G8 . , , , the and ) in response to the need Correspondingly, the expansion of issues and to provide a forum for informal dialogue levels of cooperation in the formation of the between heads of state and government of G8, statements by heads of state and major industrial democracies. The first government at the G8 summit event have objective was to confront the economic crises been further elaborated. Although the of the mid-1970s in an open and constructive statements do not have binding nature, they spirit, particularly the oil shock, and the are of great importance because they reform of the world monetary system after constitute political commitments at the the end of the and the highest level and identify major trends of abandonment of the dollar-to-gold system. industrial democracies on critical issues such The first meeting was held at the initiative of as finance, development, peace and the the French government in Rambouillet on the environment. outskirts of . The composition was later

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Research aims 3. How is its global standing for the G- the research as an academic annoying to 8 and its future? 4. Are there any major economic blocs increase information and knowledge about the G8 in terms of the concept and nature, in the world except the G8? as well as increasing the knowledge of how to create and the goals and aspirations of the Research Methods group and determine its future, according to the estimates of researchers and politicians The study was based on the descriptive thinkers in the world. approach by examining the nature of the roles played by the international Research problems organizations and the global conglomerates International political and economic such as the G8. The theoretical approach conditions have played an important role in was also used to analyze the goals and the the growth and development of future of the group. international organizations and unions and their increasing numbers. The most prominent of these factors are the situations Definition and founding of G8 of international and regional wars that have The Group of Eight (G8) is an informal taken place in the world. This requires the forum consisting of eight countries United establishment of entities that defend the States, Russia, Italy, France, Britain, oppressed people, especially during the Germany, Japan and Canada to address the war. Some international organizations play risks to the global economy oil prices, the an important role in promoting the creation global financial crisis, see figure 1. In of more such confederacies. addition to consultation and strengthening The group was founded in the mid- consensus on global issues such as energy seventies of the last century as a global conservation and the use of alternative economic bloc, and our problem in this energy, as well as the promotion of research consists of a number of questions economic growth (Dimashq, 2017). In of the researcher and tries to answer the addition, the group of eight (G8) has been a research, that is : plan for other groups of countries seeking to coordinate regulates, such as the or

1. What is the G8 and what are its the G77 (Nitsch, 2006). objectives? 2. Is the Group of Eight structurally structured as an economic bloc or as an international organization?

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Figure 1 The Group of Eight countries (Web page)

The member countries represent about 12% From the G-5 to the G7 of the world's population, 50% of GDP and “The roots of the G7/8 can be briefly two thirds of world trade (Al-Jazeera Media summarized in the uncertain years Network, 2018). following breakdown of the Bretton Woods On other hands, it's an informal economic system of fixed international exchange forum that includes the governments of the rates tied to the price of gold and the 1973 countries with the most developed oil crisis, the requirement for better economies in this world bears the name of coordination of economic and financial the number of its member states, the G8. policy at the highest level became evident” The G8 was formed in 1974 to counter the (Smith, 2011). repercussions of the global oil crisis, which In 1975, French president Valery Giscard occurred as a result of the threat of the Gulf d'Estaing invited the leaders of the Arab oil countries to reduce oil production governments of , Italy, and reduce the proportion of exports to Japan, Britain and the United States of countries that support Israel such as the America to a summit in French Rambouillet United States, Britain, France, following where they agreed to organize an annual the October 1973 war, In October 1973, meeting under rotating among there were five countries, and then the member states, Six years later, in 1976, number rose to six countries in seven Canada joined the Group of six on the countries, and then seven countries returned recommendation of US president Gerald after the freezing of the membership of Ford and became known as the G7. Russia after the annexation of the to Beginning in 1977, the European its territory in 2014. Commission became the EU representative in the group without taking the position of As well as in mid-1973 proposed US treasury secretary Schultz addition of Japan member. to the group.

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G7 plus one participates in the meetings of the Group and is represented by the After the end of the as a result of president of the . the dissolution of the Soviet Union in 1991, There is no fixed structure for the group. The Russia became the legitimate heir to this host country is responsible for the union. Then attend the Naples summit of the preparation of the conference through seven states in 1994 as an observer. This ministerial meetings and meetings of senior summit was known as the G7 +1 before officials and experts, as well as Russia formally joined the group was responsibility for coordination and initiated by then US President communication with international and British Prime Minister in organizations and organizations (Al Jazeera 1997 and has since become known as the Media Network, 2018). G8. However, since the founding of the G-8, its G8 returns to G7 agenda has been determined by the personal Through the end of the cold war and the tastes of the host, as well as the ability to respond immediately to any crisis. But the dissolution of the Soviet Union in 1991, efforts of British prime minister David Russia began to attend meetings of the group Cameron have effectively resulted in the G8's that became known as the G7 plus one. At return and agenda to its economic assets, as the initiative of former US President Bill planned at the 39th summit in Loch Irene, Clinton, Russia officially joined the group in , by setting up an agenda 1997 to become the G-8. The G-8 is neither focusing on trade, (Dobson, 2013). an institution nor an international organization; it is like a club discussing a Mechanism and areas of G8's working number of international issues. Al Jazeera Media Network (2018) affirms The Group's chairmanship is traded that the group in its documents pushes the annually among member states, and the development of the world, consolidate the term of office begins on January 1 of each foundations of the international economy, year. and unite efforts with all major international On the other hand, the group is an annual parties to ensure security and safety in forum, without a general secretariat or a different regions of the world. fixed structure. The three-day annual The group, which is one of the world's largest summit of the leaders of member states will industrial powers, is seeking to implement be held at the mid-year annual summit and and implement the terms of the agreements the host country will be responsible for signed to reduce carbon dioxide to counter planning and hosting the pre-summit global warming that threatens the planet's preparatory ministerial meetings (Al- climate. Jazeera Media Network, 2018). As well as, Hilary (2013) “points out, these countries will not cease to impose free trade Does the G-8 have an organizational and investment agreements that will benefit structure? transnational capital operations, despite the The members rotate to chair the group each acknowledged problem that such policies year, in a specific order starting with France, have resulted in less competitive economies, the United States, then the United Kingdom, it has millions of jobs”. Russia, Germany, Japan, Italy. The

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The last round of those agreements came out 9. Summit, 1991 of their usual framework (including the meets G7 leaders to comprehensive transatlantic trade and facilitate Russia's accession to the group investment partnership concluded last year). summit. In his famous book, The Group of 7/8, (Dobson, 2013). Similarly, there are the 10. Summit, 1998 official summit meetings of the G8 until now: Although Russian president attended the group of eight summit in 1. The Rambouillet Summit 1975 the previous year, the Birmingham summit comes as the first Leaders of France, the United States, official G8 summit, with all the summits the United Kingdom, West Germany, to be followed by a meeting of finance Japan and Italy will meet at the and foreign ministers separately from the Rambouillet palace in Paris at the first leaders. summit of the Group of Six. 11. Kyushu Okinawa Summit 2000 2. San Juan Summit, 1976 Initiatives to discuss infectious disease Canada joins the group to become the and digital divide issues. . 12. Summit 2001 3. London Summit, 1977 Italian student Carlo Giuliani dies after Chairman of the European commission being shot by police, and the summit joins the group. marks the launch of the new partnership 5. Summit, 1979 for Africa's development (NEPAD). The G7 summit is being held in Asia, 13. Evian Summit 2003 which was then called the "Energy Invited a number of emerging powers, Summit" and ended with an agreement such as , , , and on oil consumption after 11 hours of , to meet G8 leaders as part discussions. of the outreach process. 6. Versailles summit, 1982 14. Gleneagles Summit 2005 President of the Council of the All over the world ahead of the summit. European Union attends summit And the London bombings on the second meetings. day of the summit. G8 leaders are reaching an agreement on doubling aid to 7. Summit, 1985 Africa's poorest provinces by 2010. G7 leaders fail to reach agreement on 15. St. Petersburg Summit, 2006 new round of negotiations on . Russia hosts the G-8 summit for the first time in its history as part of Russia's first 8. Tokyo Summit, 1986 summit. Regular meetings of finance ministers 16. Tokyo Summit 2008 of the G7 countries begin with the G8 leaders agree to achieve 50% governors of the . reduction in emissions by 2050.

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17. Canada Summit in 2010 While, the G-8 may be less important and Canada hosts the G-8 summit and the more effective in the future, it can do great damage at the moment. It is now in the G-20 summit together (the G-20 summit has been held at the leader's hands of citizens all over the world to level since 2008). And the G8 summit demand an end to the G-8 and demand a first before joining the leaders of the G- more democratic forum that is in the hands 3 summit in . A number of G8 of global economic governance (Hilary, countries are failing to meet 2013). commitments they made at the Position and future of G8 Gleneagles summit on African aid. At the beginning of 2006, Russia took over 18. Loch-Erin Summit 2013 the G8 presidency. They suggested to the The G8 summit is being held for the partners that we should focus on three serious and pressing issues: global , 39th time in its history, chaired by British Prime Minister , infectious disease control, and education. and discussions are focused on tax, It is clear that the establishment of a reliable transparency and trade issues. and comprehensive energy security system is one of the strategic objectives of the G-8 and

of the global community as a whole. The G8s objectives According to McRae (2008) “the fast- The group does not take measures of a forward to 2050 and the world mandate looks mandatory nature since it has no legal utterly different. And the top eight will be: personality, nor does it have a general China, US, India, Brazil, Russia, , secretariat, and focuses on the protection of Mexico and the UK in that order. Yes, no its economic and political interests at the Japan, no Germany, no France. The UK still expense of the interests of countries in the would squeak into this new G8 club because path of growth and of people under poverty we would have become the largest Western and the absence of democracy . European economy, but perceptibly our The ambitions of the G-8 member states do comparative situation in the world would not stop at this point, as they seek to have slipped a lot” (Putin, 2006). increase the interests of companies by However, According to McRae (2008) “the pursuing market liberalization policies fast-forward to 2050 and the world mandate around the world. They are no longer looks utterly different. And the top eight will realistically linked to trade at all, but have be: China, US, India, Brazil, Russia, targeted environmental, labor and social Indonesia, Mexico and the UK in that order. standards that are "barriers" to the Yes, no Japan, no Germany, no France. The operations of transnational corporations, in UK still would squeak into this new G8 club accordance with G8 standards. Absolutely, because we would have become the largest this will destabilize important social Western European economy, but perceptibly security measures as millions of people fall our comparative situation in the world would below the poverty line as a result of have slipped a lot”. austerity programs in the G-8 countries themselves.

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“The uneven development of health composition of the group of the six systems, as well as the unequal financial countries changes to seven and finally to capacity and scientific capacity to combat eight after the end of the Cold War in 1991, epidemics, lead to an uneven distribution of and then the group retreated by global resources for disease control. By withdrawing Russia to the seven distinguishing it with a different degree of withdrawals, especially after the Crimean intensity in different regions, infectious crisis in 2014. Moreover, establishment and diseases, which act as a burden test, expose future of the G8 is two belongings that are social and economic risk” (Putin, 2006). sensitive to energy sources, especially oil and its prices. Therefore, it can be said that Conclusions energy alone will not solve the problem of The G8 is an informal forum consisting of poverty. At the same time, the lack of eight countries: the United States of energy resources in various regions America, Russia, Italy, France, Britain, severely hinders economic growth, while Germany, Japan and Canada, with the aim their unsustainable use may lead to of facing the risks that the global economy ecological catastrophe on a global scale could face. To consult and promote rather than local scale. consensus on global issues such as energy conservation and the use of alternative energy, as well as the promotion of References economic growth, in other hands, it's an informal economic forum, which includes 1. Al Jazeera Media Network (2018) "G8". governments of countries with the most 2. Dobson, Hugo (2013) The Group of Eight developed economies in this world, the - sticking to its economic roots and keeping name of the number of its member states. abreast of developments on the global scene. In addition, the member countries of the 3. Hamish McRae, H. (2008)" The G8 group represent about 12% of the world countries may run the old . population, 50% of GDP and two-thirds of But it's the new one that matters", Independent. world trade. Furthermore, it has no 4. Hillary, J. (2013) "G8 problem or solution? organizational structure similar to the other Qatar Foundation. state organizations such as the United 5. Nitsch, V. (2006) Does the G7/G8 Promote Nations, the . There are no Trade? Freie Universität . Secretariat for this group and no offices. In 6. Putin, V (2006) "Plying strategic goals for turn, member states rotate to chair the the G8 to ensure future survival of the Group of Eight each year. The leaders of world", Irish Times. France, the United States, the United 7. Smith, G. S. (2011) "G7 to G8 to G20: Evolution in Global Governance", CIGI Kingdom, West Germany, Japan and Italy G20 Papers, No. 6. meet at the Rambouillet Palace in Paris at the first summit of the Group of Six in Website: 1975, and then held more than a dozen other 8. https://www.worldatlas.com/aatlas/infopa meetings so far. On the other hands the ge/g8.htm

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