G20 | Official statement's language takes centre-stage as US, G7 hit out at Russia

The two-day meeting of G20 finance ministers and central bank governors will begin on February 24 in Bengaluru. While a host of issues are set to be discussed, the meeting coinciding with the one-year anniversary of Russia's invasion of Ukraine has led to the emergence of two divergent views on the matter, which hold the potential to influence the official G20 statement.

India assumed presidency of the G20 in December and has spoken of walking the path of dialogue.

On February 22, Union Minister Anurag Thakur reiterated Prime Minister Narendra Modi's assertion that the current era is not one of the war, but peace.

"Democracy, diplomacy, and dialogue are the way forward. Those lines best explain India's position," Thakur said in Bengaluru earlier this week as deputies of G20 finance ministries and central banks met for the second time during India's presidency of the bloc.

On February 23, the US and Japan, which assumed presidency of the G7 for 2023, were expectedly direct in their condemnation of Russia.

In her remarks, US Treasury Secretary Janet Yellen slammed Russia and called its attack on Ukraine immoral and unjust.

The G7 finance ministers and central bank governors, who met on February 23 in Bengaluru, along with Ukrainian Finance Minister Sergii Marchenko, also put out a strong statement criticising the "illegal, unjustifiable, and unprovoked war" and called on other countries to join the bloc's sanctions on Russia.

While the G7 statement said that the sanctions currently in place will be closely monitored and further actions taken as needed, Yellen was far more direct, saying the US has "ongoing work on sanctions" and will address violations of the ones in place by other countries and institutions.

Meanwhile, news agency Reuters reported on February 22 that India does not want the G20 to discuss additional sanctions on Russia, with officials at the meeting of deputies reportedly unable to reach common ground on an "acceptable word to describe the Russia-Ukraine conflict".

The February 22 meeting of the deputies, co-chaired by Economic Affair Secretary Ajay Seth and Reserve Bank of India Deputy Governor Michael Patra, focused on finalising the official statement that will be approved by the finance ministers and central bank governors in their two-day meeting.

On February 23, Janet Yellen said the G20 communique was still under discussion.

"Definitely we would like to see strong condemnation of the war, the impact it's had on Ukraine and the global economic outlook… The G20 communique that was issued in Bali contained strong language on this and the leaders' communique contained equally strong language. So, this has been achievable in the context of G20 negotiations," the US Treasury Secretary added.

Asked to comment on whether India's relationship with Russia through the purchase of highly discounted fuel could lead to softening of the language of the G20's official statement, Japan's Finance Minister Shunichi Suzuki noted: "We need to see what the statement will say and whether a consensus will be reached. I don't want to pre-judge the statement and the negotiations."

Much may be achieved on February 24-25 on matters ranging from debt restructuring and crypto assets, but the timing of this week's G20 meetings has put the focus squarely on what an India-led G20 officially says on the war between Russia and Ukraine.