2010 G-20 Toronto summit

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G-20 Summit on Financial Markets and the World Economy
2010 G-20 Toronto summit logo.svg
Information
Date June 26–27, 2010
Location Metro Toronto Convention Centre
Toronto, Ontario, Canada
Participants G-20 (+ Ethiopia, Malawi, Netherlands, Nigeria, Spain, Vietnam), ASEAN, AU, FSB, ILO, IMF, NEPAD, OECD, UN, WBG, WTO
Follows Pittsburgh Summit, 2009
Precedes Seoul Summit, 2010
Website Official website

The 2010 G-20 Toronto summit was the fourth meeting of the G-20 heads of government. They came together to discuss the global financial system and the world economy, which took place at the Metro Toronto Convention Centre in Toronto, Ontario, Canada, during June 26–27, 2010. Twenty-one representatives of the G-20 major economies came together in Toronto. In addition, leaders of six invited nations and eight intergovernmental organizations participated in the summit.

The G-20 is the premier forum for discussing, planning and monitoring international economic cooperation.[1] The theme of the Toronto summit was "Recovery and New Beginnings."[2]The summit provided an opportunity for the leaders to discuss plans to ameliorate the impact of the ongoing world recession. The summit's priorities included evaluating the progress of financial reform measures, developing sustainable stimulus strategies, debating projected global bank tax proposals, and promoting open markets.[3]

Contents

[edit] Agenda

Each leader of the G-20 brought his or her own agenda to the summit.[4] The prime focus of the summit discussions was the recovery from the ongoing global recession and the European debt crisis.

Summit leaders were divided over which strategies would be best for tackling these problems. The European Union emphasized the need to cut their deficits by focusing on austerity measures. In contrast, the United States emphasized the importance of maintaining economic stimulus spending in order to encourage growth.[5]

In summit discussions, the countries of the European Union explained projected reductions in spending and balanced budgets. A different approach was projected by the China, India, and the United States, arguing in favor of increased stimulus funding to mitigate the effects of recession.

Among the specifics proposed by the European Union were a global bank tax and a Robin Hood tax, but these plans were opposed by the United States and Canada.[6]

Other topics of concern were international development and coninuing international aid to Africa and other developing nations.[7] Criticism of Israel's Gaza strip blockade and criticism of the nuclear programs of North Korea was expressed. Issues of corruption and security in Afghanistan was raised by the United States.

[edit] Preparations

Main article: 2010 G-20 Toronto summit preparations

Initial plans for the summit in the town of Huntsville, Ontario were set aside. The site of the 36th G8 summit was deemed too small, and accommodations were too limited for the large numbers of delegates and journalists who were expected to attend. The venue was moved to Toronto.

[edit] Security

Security fencing erected along the middle of Wellington Street

An Integrated Security Unit (ISU) composed of the Toronto Police Service, the Royal Canadian Mounted Police, the Ontario Provincial Police, the Peel Regional Police Service and the Canadian Forces worked together to develop security plans and preparations.[8] The summit ISU was similar to the one created during the 2010 Winter Olympics in Vancouver. Additional officers were deployed from York Regional Police, Halton Regional Police Service,[9] Barrie Police Service, Waterloo Regional Police Service, Niagara Regional Police Service, Hamilton Police Service, Ottawa Police Service,[10] and Service de police de la Ville de Montréal. Calgary Police Service supplied 150 volunteer police officers a week before the summit.[11]

More than 11,000 uniformed police officers, security guards, and Canadian military forces were deployed during the summit.[12] The North American Aerospace Defense Command (NORAD) conducted Amalgam Virgo exercises on May 6 and 7 across the Greater Toronto Area using CF-18 Hornet jets, CH-124 Sea Kings, and CH-146 Griffon helicopters at low altitudes.[13] The total cost for security at both the G8 and the G-20 summits was determined to be $1 billion,[14] paid entirely by the federal Crown-in-Council, excluding the costs of any possible damage to local business.[15]

The Integrated Security Unit created a security perimeter, beginning with the outer boundary, specifically bordered by King Street to the north, Lake Shore Boulevard to the south, Yonge Street to the east, and Spadina Avenue to the west, where vehicles were to be restricted during the summit dates.[12] Residents who lived within the security zone were issued registration cards prior to the summit and other pedestrians who wished to enter the security zone were only able to do so at one of 38 checkpoints, where they were required to present two pieces of photo identification and provide reasoning for entry.[16] The area surrounding the Metro Toronto Convention Centre itself was fenced and off limits to civilians and protesters.[17] The 3-metre (10 ft) high fence, contracted to SNC-Lavalin by Public Works and Government Services Canada and installed by two Gormley, Ontario-based companies,[18] was built at a cost of $5.5-million and began erection on June 7.[19] Toronto Police Service installed 77 additional closed-circuit television security cameras in the area and purchased four Long Range Acoustic Devices which were to be in use exclusively during the summit.[20] The ISU decided on also using water cannons for riot control.[21]

Security costs were a significant element of the approximately C$858 million total costs.[22]

[edit] Infrastructure

A former film studio located on Eastern Avenue was designated as a temporary detention centre for individuals arrested during the summit.[23] Toronto Police Service announced that Trinity Bellwoods Park would be the designated protest area, but following opposition from local residents, police relocated the designated protest zone to the northern part of Queen's Park.[24] Canada Post declared that it would remove post boxes in the security zone.[25] Toronto Parking Authority removed some parking meters as well. Small trees along sidewalks around the convention centre were removed to prevent them from being used as weapons by protesters.[26] Other removed municipal property include 745 newspaper boxes, 200 public trash cans, 70 mailboxes, 29 bus shelters, and 5 public information boards.[27]

Stores near King Station apply wooden boards to prevent vandalism from protests

Major banks headquartered in Downtown Toronto, which happen to be the largest banks in Canada's banking industry, made plans to have employees work in alternate places outside of their downtown headquarters, such as at home or in other branches.[28] The Liquor Control Board of Ontario announced the closure of seven of liquor stores in Downtown during the summit as a precaution to looting.[29] The PATH,[16] CN Tower,[30] University of Toronto,[31] Art Gallery of Ontario,[32] and the Ontario Legislative Building[33] were also closed to public during the summit dates.

A three-game Major League Baseball series between the Toronto Blue Jays and the Philadelphia Phillies, which was set to take place from June 25 to 27 at the Rogers Centre, situated within the security zone, was relocated to Citizens Bank Park in Philadelphia, after much discussion and amidst discontent from fans.[34][35][36][37] Mirvish Productions cancelled production of their two musicals Rock of Ages and Mamma Mia! during the week of the summit.[38] Similarly, the Factory Theatre cancelled shows during the summit week.[39]

Highway 427 and the Gardiner Expressway, the route from Toronto Pearson International Airport in Mississauga to the Metro Toronto Convention Centre in Downtown, periodically closed down for motorcades, along with jammed wireless reception along the two highways.[40] Exits to Yonge Street and Bay Street on the Gardiner Expressway were closed during the summit dates.[16] Toronto Transit Commission announced that subway stations near the convention centre would remain open and operational, despite some detoured bus routes and the closure of Queens Quay Station.[41] Via Rail announced that it would not operate at Union Station during the summit dates,[42] instead providing shuttle bus service from the Yorkdale and Scarborough Centre bus terminals to the Brampton and Oshawa stations respectively.[16] Nav Canada announced that it would place restrictions on the airspace in Toronto, making it limited to commercial flights only while all others would be restricted within a 30-nautical-mile (56 km) radius.[43] Porter Airlines was given permission to continue flights in and out of Billy Bishop Toronto City Airport.[44] The Toronto District School Board and Toronto Catholic District School Board cancelled school bus services to six Downtown schools on June 25,[45] affecting 45,000 students, 10,000 of whom were physically disabled.[46]

A media centre for international media personnel, journalists, and press reporters was set up at the Direct Energy Centre at the Exhibition Place during the summit.[47] A 20,000-square-foot (1,858 m2) pavilion, called Experience Canada or Canadian Corridor, was set up in the media centre to promote Canadian tourism internationally.[48] The pavilion included three life-sized government-funded displays: Cityscape, which showcased successful Canadian businesses and innovation; The Bridge, which included information kiosks for media personnel as well as large high-definition screens that televised the 2010 FIFA World Cup games; and Northern Ontario Oasis, an artificial lakefront based on Muskoka region's cottage country.[49][50] The Northern Ontario Oasis included donated canoes, a shoreline with deck chairs for journalists to cool off, and a mobile phone recharging station.[51] The background was a large screen that portrayed various images of the Muskoka region.[51] The cost of the international media centre, the Experience Canada pavilion, and artificial lake, which were $23 million, $1.9 million, and $57,000 respectively, was the target of controversies.[52]

[edit] Attendance

Participants of the summit gather for a conventional "family photo"

Participants of the Toronto summit were announced by Stephen Harper on May 8, 2010. Harper extended invitations to the leaders of Ethiopia and Malawi to further represent the interests of Africa.[53] Netherlands, Spain, Vietnam, and Nigeria were also invited.[54]

The Organisation for Economic Co-operation and Development and the International Labour Organization, as well as Ethiopia, Malawi, Nigeria, and Vietnam made their first G-20 summit attendances in Toronto.[55]

Recently designated heads of government, namely British prime minister David Cameron and Japanese prime minister Naoto Kan, made the G8 and G-20 summits their first international conferences.[56]

Australia's deputy prime minister, Wayne Swan, attended the summit as Julia Gillard had only just been appointed prime minister on June 24.[56]

[edit] Core participants

The leaders at the Toronto summit included the members of the G-20 major economies, which comprises 19 countries and the European Union, which is represented by its two governing bodies, the European Council and the European Commission.[57]

Barack Obama (right) and David Cameron (centre) arrive after travelling together on Marine One from Huntsville, Ontario
Cristina Kirchner and Stephen Harper posing for a photo
Dmitry Medvedev shaking hands with Angela Merkel and Nicolas Sarkozy
G-20 members
Host nation and leader are indicated in bold text.
Member Represented by Title
Argentina Argentina Cristina Fernández de Kirchner[58] President
Australia Australia Wayne Swan[59] Deputy Prime Minister
Brazil Brazil Guido Mantega[60] Finance Minister
Canada Canada Stephen Harper[61] Prime Minister
People's Republic of China China Hu Jintao[62] President
France France Nicolas Sarkozy[63] President
Germany Germany Angela Merkel[64] Chancellor
India India Manmohan Singh[65] Prime Minister
Indonesia Indonesia Susilo Bambang Yudhoyono[64] President
Italy Italy Silvio Berlusconi[64] Prime Minister
Japan Japan Naoto Kan[64] Prime Minister
Mexico Mexico Felipe Calderón[66] President
Russia Russia Dmitry Medvedev [64] President
Saudi Arabia Saudi Arabia Abdullah bin Abdul Aziz [67] King
South Africa South Africa Jacob Zuma [64] President
South Korea South Korea Lee Myung-bak [68] President
Turkey Turkey Recep Tayyip Erdoğan [69] Prime Minister
United Kingdom United Kingdom David Cameron [64] Prime Minister
United States United States Barack Obama [64] President
European Union European Commission Jose Manuel Barroso[70] President
European Council Herman Van Rompuy [64] President
Invited states
State Represented by Title
Ethiopia Ethiopia[71] Meles Zenawi[64] Prime Minister
Malawi Malawi[71] Bingu wa Mutharika[64] President
Netherlands Netherlands[71] Jan Peter Balkenende[72] Prime Minister
Nigeria Nigeria[54] Goodluck Jonathan [64] President
Spain Spain[71] José Luis Rodríguez Zapatero[73] Prime Minister
Vietnam Vietnam[71] Nguyễn Tấn Dũng[62] Prime Minister
International organisations
Organisation Represented by Title
African Union Bingu wa Mutharika [74] Chairperson
ASEAN Surin Pitsuwan [75] Secretary General
Nguyễn Tấn Dũng [75] Summit President
Financial Stability Board Mario Draghi [76] Chairman
International Labour Organization Juan Somavía [77] Director-General
International Monetary Fund Dominique Strauss-Kahn [63] Managing Director
NEPAD Meles Zenawi [74] Chairman
OECD José Ángel Gurría [78] Secretary General
United Nations United Nations Ban Ki-moon [79] Secretary General
World Bank Group Robert Zoellick [78] President
World Trade Organization Pascal Lamy [63] Director-General

[edit] Protests

Main article: 2010 G-20 Toronto summit protests
Demonstrators holding signs with slogans against the G-20

The Toronto summit was the target of widespread protesting which occurred in Downtown Toronto during the week of the summit. Early opposition to the G-20 included an incident in Ottawa where a bank was firebombed by anarchists, who claimed they would be present during the G-20 summit in Toronto.[80] The perceived security threat caused the Integrated Security Unit to increase security measures.[81]

Protests began one week ahead of the summit, organized by groups including Oxfam Canada and the Ontario Coalition Against Poverty.[82] Issues such as poverty,[82] gay rights,[83] capitalism and globalization,[84] indigenous rights,[85] and controversial issues with the Toronto summit were the object of protests.[86] Despite a few arrests, protests over the week were mainly determined to be peaceful.[87]

As the first day of the summit approached, protesters grew in numbers. Several streets were closed down for demonstrations on the debut of the summit. Peaceful protests were followed by black bloc tactics as individuals dressed in black dispersed from the crowd and began damaging the windows of particular businesses across Downtown Toronto, mostly fast food chains, retail stores and banks, as well as local businesses.[88] Police cruisers were set on fire and vehicles of media corporations were damaged.[89] Nearby hospitals, shopping centres, and hotels were put in a lockdown mode while public transit services were diverted from Downtown to other locations.[90]

As security was further tightened and forces increased in presence the following day, protests against police brutality occurred in front of the Eastern Avenue temporary detention centre, where nearly 500 arrested individuals were kept from the previous day's riots.[91] A group of protesters was also "kettled" for several hours through the night after black bloc protesters were believed to be in the crowd.[92] Over 900 people were confirmed to be arrested over the week.[93] The ISU performed sweeping arrests within a specific boundary from the summit venue.[94] However, despite media coverage informing the public that officers had the power to demand identification and to detain people within five metres of the site, it was later found that no such law existed.[95] Individuals arrested during the protests condemned the treatment they received from police.[96]

[edit] Outcome

Leaders confer at the Metro Toronto Convention Centre on June 27

Prior to the Toronto summit, it was speculated that it would not see the same outcome as previous summits. This was partially due to most countries' entering recovery mode from the global economic recession after the past G-20 summits; thus, the likelihood of new issues being raised was minimal.[97]

During the working dinner for G-20 leaders on the evening of June 26, South African president Jacob Zuma promoted more partnership between the international community and Africa for the development in the continent. "As Africa we bring to the G20 Summit the key message that we must, together as the developing and developed worlds, promote stronger and more effective and equal international partnerships for growth and development," he remarked.[98]

At the summit, US president Barack Obama warned that global recovery was still "fragile." In hopes of boosting American exports, he announced the proposal of a free trade agreement between the United States and South Korea.[99] A key agreement the leaders of deleveloped nations made was to cut annual budget deficits in half by 2013.[100] The leaders also agreed on reducing debt-to-GDP ratio in each economy by 2016.[100] The debate on imposing a tax on financial institutions was settled as the group decided that financial institutions would be required to make fair contributions to recover costs from the financial sector reform,[101] but the way the contributions would be collected would be up to each government.[102] It was also decided that institutions would be required to keep a higher amount of financial capital in case of future financial shocks.[103] Climate change and food security were also discussed; the leaders reiterated their commitment to a "greener growth"[104]

The G-20 Toronto Summit Declaration, which was released shortly after the summit concluded, stated that "serious challenges remain."[105] According to the document, the challenges include high unemployment rates in various economies and the concurrent existence of the impact of the financial crisis. The International Monetary Fund, in its post-summit document, indicated that a speedy cut in deficits may substantially slow growth. In a publication titled Top Ten Commandments for Fiscal Adjustment in Advanced Economies, the organization insisted that balanced public spending could stabilize bond markets, reduce interest rates from less government spending, and encourage private investment. It also recommended that emerging economies such as China, which has largely benefited from trade surpluses, rely less on developed nations and increase their own spending in order to promote domestic demand.[106]

[edit] Criticism

[edit] Financial costs

The financial costs of hosting the G8 and G-20 summits was the topic of several political debates and the target of criticism by local groups.[107] The reasons for the large price for both summits were questioned by a few politicians and local groups. Members of Parliament Olivia Chow and Mark Holland labelled the initially claimed budget of $1.1-billion for hosting the summits as "obscene" and "insane" while others argued that the money could have been used for long-pending municipal projects in Canada,[108] such as Toronto's Transit City.[109] The security cost for the two summits was believed to be more expensive than the combined security costs of the 2010 Winter Olympics and Paralympics in Vancouver and Whistler, British Columbia, which were $878 million.[110] However, according to final calculations from the House of Commons of Canada as of October 2010, the exact cost for holding both summits was $857,901,850.31,[111] making it less expensive than the security costs for the 2010 Winter Olympics.

It was initially claimed that the summits stand as the most expensive ever held, with security costs for the London and Pittsburgh G-20 summits in 2009 reported as having been only $30 million and $18 million, respectively.[108] However, the Canadian Parliamentary Budget Officer, Kevin Page, stated in his official report on the costs of the Huntsville and Toronto gatherings that other countries had not been as open about the full price for the similar meetings held there and that the $18 million figure for the Pittsburgh summit was merely for overtime pay for local police and the cost of law enforcement brought in from other regions.[112] Ward Elcock, former Canadian Security Intelligence Service director and the chief of the Integrated Security Units for the Winter Olympics and the G8/G-20 summits, claimed that the security costs were in fact "comparable" with those of previous summits.[108] Finance minister Jim Flaherty defended the security cost, claiming "it's necessary to spend substantially to have security. It's Canada's turn, and it's necessary that we either don't take our turn or pay the appropriate price to have the security that is necessary so that everyone is safe here in Toronto."[113]

The creation of the $23-million international media centre, which included the $1.9 million Experience Canada pavilion and $57,000 artificial lake, at the Exhibition Place was widely opposed and criticized by politicians as "a waste of taxpayers' money."[114] Criticism mostly targeted Stephen Harper and Canada's Conservative government. Some protesting groups gave names to the artificial lake, such as "Harper's Folly".[115] In a debate in the House of Commons, Mark Holland said, "Instead of hosting world leaders, maybe the government should consider party planning for Lady Gaga."[116] According to some critics, the spending misled the objective of the summits into showing off Canada's attributes instead of promoting the summits' agendas.[117] New Democratic Party leader Jack Layton condemned the Harper government, saying, "we've got a government here that has to create an artificial lake when Canada has more lakes than just about any other country in the world. It is the taxpayers who are going to end up at the bottom of the fake lake." Transport minister John Baird defended the artificial lake, saying that the summits gave a "chance to showcase the very best that [Canada] has to offer." Foreign affairs minister Lawrence Cannon said it was "normal practice" for a country to showcase its attributes while hosting world events.[117] Harper also defended by saying, "This is a classic attempt for us to be able to market the country."[118] Upon its opening, the artificial lake received mixed reviews from Canadian reporters.[119]

[edit] Economic impact

The summit's economic impact was a major concern of a few local politicians and citizens. The municipal government of Toronto, as well as some public representatives, previously argued that the G-20 summit should be held at an isolated venue, such as the Exhibition Place, rather than the Metro Toronto Convention Centre, which is located in the city's central business district.[120] As a result, during the aftermath of the protests during the summit, in which several downtown business were damaged during the June 26 riots, Miller urged the federal government to compensate for all the damages. It was initially outlined by the government that only damages to businesses within the security zone would be compensated. However, all damages occurred outside of the security zone. Some businesses in the downtown core suffered financially as a result.[121] According to Member of Parliament John McCallum, "Stephen Harper made a huge mistake in holding this summit in downtown Toronto." According to the Toronto Star, at least 40 stores in the Downtown Yonge Business Improvement Area suffered damages and one repair firm performed up to $750,000 in repairs.[122]

[edit] International response

On June 17, the United States Department of State issued a travel alert for Toronto, warning tourists of the expected traffic disruptions and potentially violent protests during the G-20 summit. The alert, which was expected to expire on the last day of the summit, stated that "Even demonstrations that are meant to be peaceful can become violent and unpredictable."[123] Toronto Mayor David Miller described the warning as an "over-reaction."[124]

During the midst of Toronto summit, a few overseas reporters commented on Canada and the summits. A reporter of the British Broadcasting Corporation (BBC) made positive remarks about Canada's economy, saying "The Canadians, it seems, have answers for even the toughest puzzles and they are keen to share their strategies with the rest of the world. Why in this economy, we all want to be Canadian." A writer in The New York Times made positive comments about the summits' preparations and natural beauty of the Muskoka region. The Times of India and The Hindu commented on impacts on city life in Toronto due to the G-20 summit and the "unprecedented" security measures taken in Canada. A Reuters reporter, on the other hand, condemned the international media centre's artificial lake.[125]

Looking forward, French president Nicolas Sarkozy announced that the costs for hosting the proposed G8 and G-20 summits in France in 2011 would be one-tenth of Canada's.[126]

[edit] See also

Toronto Flag.svg Toronto portal

[edit] References

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v · d · eSummits of the G-20 leaders
2008: Washington, D.C. • 2009: London • 2009: Pittsburgh • 2010: Toronto • 2010: Seoul • 2011: Cannes  • 2012: TBD
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