World
For emerging markets, structural reforms are needed to increase economic efficiency and labor productivity and bring about a shift of the workforce from less efficient sectors to more efficient ones, Yudaeva noted.
GLOBAL GOVERNANCE FOR COMMON INTERESTS
In a globalized world where individual economies become increasingly intertwined, monetary or fiscal measures adopted by a certain country can easily send ripples to the rest of the world. Under such circumstances, policy coordination, or even a global governance system, rather than short-term palliatives, is needed to help achieve steady economic growth, experts said.
For example, analysts said, to address the spillovers of the U.S. Federal Reserve's move to taper down quantitative easing, early-warning from the U.S. authorities and coordination of emerging markets are required, which should be further discussed at the summit.
Besides possible macroeconomic policy coordination, experts saw a G20-drafted document addressing global taxation reform as a major achievement of global governance within the multilateral framework.
As Putin once said, the G20 Action Plan on Base Erosion and Profit Shifting, mainly tackling international corporate tax avoidance, could be seen as "the most prominent step towards modernization and coordination of our countries' tax policies in 100 years."
As for possible discussion of a common fiscal strategy for all G20 members during the summit, Russian officials scrapped the so-called "unified approach" due to different recovery rates in different countries. Still, the ultimate goal is to improve member states' fiscal situation in the medium term, Yudaeva said.
Facilitating the reform of the international financial system and establishing a new quota formula of the International Monetary Fund (IMF) also call for coordination among the member states. Reform and restructuring could continue only when each member accommodates both national and common interests, experts said.