The United States is using its G20 presidency to push for stronger global economic growth, but disagreements over Russia’s return to the meeting and restrictions on some journalists have overshadowed the talks.
A G20 meeting hosted by the United States has been marked by disagreements over Russia’s participation, media access and trade, even as Washington seeks to put global economic growth at the centre of the discussions.
Finance ministers and central bank governors from the world’s major economies are meeting in Asheville, North Carolina, amid growing concerns over high debt, an energy shock linked to the war with Iran and tensions over China’s large trade surplus. The meeting is also taking place as countries assess the economic impact of rapidly rising investment in artificial intelligence.
The biggest diplomatic disagreement came after Russian Finance Minister Anton Siluanov attended the meeting in person. It was his first participation in the G20 forum since Russia’s invasion of Ukraine in 2022.
Polish Finance Minister Andrzej Domanski said he was uncomfortable with Russia’s presence.
“We do not trust Russia.”
He said discussions with Moscow would be difficult because of the war in Ukraine.
German Finance Minister Lars Klingbeil also criticised the decision to host Siluanov, saying Europe was preparing additional sanctions against Russia. He said the Russian minister’s presence sent a troubling signal about U.S. cooperation with European efforts.
European officials also objected to appearing in the traditional G20 group photograph with the Russian representative. The photograph was eventually taken without Siluanov.
Despite the political tensions, U.S. Treasury Secretary Scott Bessent has argued that stronger economic growth is essential for countries dealing with high levels of debt.
Global debt reached almost $353 trillion earlier this year, raising concerns about financial stability and increasing pressure on governments and investors.
Bessent said economic expansion could help countries manage the heavy debt accumulated following the 2008 financial crisis and the COVID-19 pandemic.
“The world is awash in debt post-GFC, post-COVID,” he said, arguing that countries need to grow their economies to address the problem.
The U.S. administration is promoting deregulation, greater energy production and innovation as ways to increase economic activity.
Bessent also pointed to regulatory barriers, weak investment, fragmented domestic markets and shortages in workforce skills as problems that G20 economies should address.
Trade relations with China are another major issue at the meeting.
Washington wants G20 countries to review their trade relationships with Beijing and encourage China to rely more on domestic demand rather than exports.
Bessent criticised China’s trade surplus, which he said had reached about $1.2 trillion, arguing that China’s economy needs to become more balanced.
French Finance Minister Roland Lescure said the responsibility for correcting global economic imbalances should not fall on one country alone.
“We need a more balanced world.”
He said China, the United States and Europe all had work to do to improve the balance of the global economy.
The meeting has also drawn criticism over media access.
The U.S. Treasury denied credentials to some journalists covering the event, including teams from Bloomberg and reporters from The New York Times and The Wall Street Journal.
Klingbeil criticised the restrictions, saying journalists should be able to report freely from the summit.
The U.S. Treasury defended its decision, saying more than 300 media representatives were covering the meeting and that access came with a responsibility to provide factual reporting consistent with journalistic standards.
The G20 talks are also examining the rapid increase in investment linked to artificial intelligence.
Federal Reserve Chair Kevin Warsh, attending his first international economic policy meeting since taking office in May, said the global economy appeared to be entering a period of stronger investment.
He described the current period as a “global investment surge”, saying the increase in investment was changing the way money flows through the world economy.
The discussions come as investors are also watching U.S. debt markets closely. Bessent has rejected concerns that the United States is facing a major bond-market crisis, pointing instead to continued economic growth.
The G20 is expected to continue discussions on global trade imbalances, economic growth and debt, with China and the wider global economy remaining key issues for the participating countries.
