### Summary
Under the rivalry between the US and China, many middle and small powers are making their own mark on the international order by reshaping the world economy, affecting the global balance of power, and increasing their economic weight, military potential, and diplomatic stature. These changes have been caused by unhappiness with globalization, the risks of overreliance on rivals for vital supplies, and the rise of China.
### Facts
- The unhappiness with globalization in the West, especially in America, has caused economic anxiety, social discontent, and political backlash.
- Covid-19 exposed the risks of overreliance on another country, especially a rival, for vital supplies.
- Russia's invasion of Ukraine revealed the EU's dependence on Moscow for energy.
- The rise of China has rattled the US and other countries, leading to the search for a new geo-economics.
- US allies in the Indo-Pacific are strengthening their defenses through military and technological cooperation with Washington.
- Geo-economics and geopolitics have merged, with the US leading in redefining globalization that does not harm national security, technological supremacy, and economic leadership.
- India is at the crossroads of new geo-economics and geopolitics, being America's natural geopolitical partner and an attractive partner in geo-economics.
- Middle powers like India are benefiting by aligning themselves with the US and forming independent groupings at the global or regional levels.
- Many players are multi-aligning and multi-networking through mini forums, ad hoc groupings, and shifting coalitions, making the international order very fluid.
India's G20 presidency has shaped its global future and brought the country to the forefront of the international stage, with discussions at the NDTV G20 Conclave focusing on energy transition, clean growth, digital economy, and India's rising global influence.
India's External Affairs Minister, S Jaishankar, highlighted the importance of addressing the concerns of the global south in promoting economic growth and development during the B20 Summit, stating that India recognized the absence of the global south's voice in the G20 and took steps to rectify this by convening the Global South Summit.
India's G20 Sherpa Amitabh Kant outlines India's positive agenda for the country's presidency of the G20, with a focus on digital transformation, infrastructure building, and women-led development. India has made significant achievements in areas such as housing, sanitation, water supply, and digital payments, and aims to promote inclusive growth, accelerate sustainable development goals, take climate action, and prioritize technological transformation and women's empowerment during its presidency.
India's adversarial relationship with China and its moves to block imports and investment from China could complicate its involvement in BRICS, as China seeks to expand the group and use it as a platform to challenge Western dominance.
India is positioning itself as an alternative to China in the global supply chain, aiming to become a major manufacturing hub and increase its role in the production of goods, as the world seeks solutions to supply chain disruptions caused by health crises and geopolitical events.
A Pew survey reveals that while India is viewed favorably in most nations of the G20, the number of European residents with a positive view of India has declined in the past 15 years.
India's recent achievements and economic growth have positioned it as a rising global power, but the country must address its challenges in poverty, job creation, education, and inequality in order to fully realize its potential.
Indian Prime Minister Narendra Modi discussed India's achievements during its presidency of the G20, highlighting its human-centric model of development and its response to the pandemic, which has gained recognition and appreciation from the international community; he also emphasized the importance of including the Global South and Africa in global affairs and addressing their needs. Additionally, Modi noted India's efforts in promoting renewable energy and the democratization of technology, while acknowledging the challenges of cybercrime and the need for global cooperation. He expressed confidence in India's future economic growth and its potential to become one of the top three economies in the world by 2030 and a developed country by 2047.
The G20, which is meeting in New Delhi, India, has seen a major shift in power dynamics over the past two decades, with the BRICS bloc now having a slightly higher combined GDP than the US, and EU countries accounting for around 20% of the G20's economic output.
India's G20 presidency may be seen as a failure in terms of achieving global consensus, but it has been successful in boosting India's image, promoting its leadership in the "global south," and enhancing the personality cult of Prime Minister Narendra Modi domestically.
President Joe Biden will attend the Group of 20 (G20) summit in India as a supporter, even as the US acknowledges that India's interests may diverge from Washington's, with India seeking to emphasize development issues and bridge the concerns of the world's largest economies with those of the Global South.
UK Prime Minister Rishi Sunak praises India's role as host for the G20 Summit, emphasizes the need for a comprehensive trade deal with India, condemns pro-Khalistan extremism, and affirms cooperation with India to counter such extremism.
The G20 reached a consensus and adopted the New Delhi Leaders Summit Declaration, which called for upholding international law, peaceful conflict resolution, and diplomacy.
India is set to become a global AI powerhouse, as companies like Reliance Industries and Tata Group partner with NVIDIA to bring AI technology and skills to the country to address its greatest challenges.
Indian Prime Minister Narendra Modi called for global reforms and urged world leaders at the G20 summit to make global structures, including the UN Security Council, reflective of current realities and emphasized the need for India's permanent membership at the UNSC.
India is considered a superpower in terms of population and is now ahead of China, according to Azali Assoumani, the chairperson of the African Union.
The G20 summit in New Delhi showcased India's growing economic and geopolitical influence, but also highlighted concerns about the country's Hindu nationalist government and its approach to press freedom as journalists were largely restricted from covering the event.
African Union Chairperson Azali Assoumani thanked Prime Minister Narendra Modi for his support in including the 55-nation African Union in the G20, calling India the "fifth superpower of the world" and praising its power and influence; he also expressed Africa's openness to investment from countries other than China.
China miscalculated India's emergence at the world stage, leading to a not-so-happy situation for China at the G20 summit, according to economist Arvind Panagariya.
The Indian G20 Sherpa Amitabh Kant achieved a historic moment at the G20 Summit by securing 100% consensus on all issues, demonstrating India's ability to bridge between emerging markets and developed countries and bringing multilateralism back to center stage.
With the right reforms, India has the potential to become the next engine of global growth, benefiting from major economic re-alignments caused by China's slowdown and the US diversifying its supply chains. Major corporations are already investing in India, recognizing its potential. However, India needs to overcome challenges such as high tariffs, infrastructure improvements, and regional cooperation to fully realize its manufacturing potential and attract foreign investment.
China sees Southeast Asia as geopolitically important and will prioritize investments in the region to counter U.S. influence, despite slowing domestic growth, according to economists. Additionally, Southeast Asia is a crucial source of critical minerals for China's green technology and electric vehicle ambitions.
Saudi Arabia's Crown Prince Mohammed bin Salman's attendance at the recent G20 summit in India, along with its inclusion in the China-dominated BRICS coalition and signing of the ship-to-rail economic corridor supported by President Joe Biden, highlights the complex web of alliances and economic opportunities arising from the rivalry between the US and China. These developments show the various economies caught between the two powers seeking to build their own strategic alliances and spheres of influence.
India has the opportunity to exert influence over China by providing small loans to heavily indebted countries, which would give India a seat at the negotiating table and enable them to demand debt reductions from China.
India's inclusion in JPMorgan's emerging market bond index signals major changes in the global capital markets, boosting capital inflows by $20-25 billion and improving liquidity for Indian assets and the rupee, ultimately attracting more investment. India's rise in the global economy will have significant consequences, positioning it as a nonaligned player and surpassing China in certain measures, while ongoing disputes with Pakistan and China continue to shape its geopolitical landscape.
