Page 10 - ISQ July 2021

INVESTMENT STRATEGY QUARTERLY

Why The Recent G7 Meeting Was Just A Start

Chris Bailey, European Strategist, Raymond James

“ There must be a beginning of any great matter, but the

continuing unto the end until it be thoroughly finished
”
yields the true glory - Francis Drake

The G7 meeting last month in Cornwall will have assisted meetings held over recent years. Given heightened focus, unsur-
the local tourist industry for the next few years, but it also prisingly, there was a commitment for climate change, a reduction
in the use of coal and a target to send at least one billion vaccines
reflected some ongoing political and practical evolutions in
to the developing countries.
an always evolving world. Whilst the COVID-19 crisis has
Collectively this appears a sign of real progress, however - as
meant that economic and societal challenges of the early
always - it is easy to talk and harder to deliver. Practical progress
2020s will take a number of years to work through, there comes first with similar conclusions by the broader G20 meetings
are many other changes occurring in the world that need and ultimately via actual legislative decisions by individual gov-
addressing. ernments, a point regularly made over recent discussions on
climate change and the setting of global minimum corporate tax
The G7 - or ‘Group of Seven’ - first met in the early 1970s at the rates. Real progress as always finishes with individual countries
time of a global oil crisis and was originally known as the ‘Group making a domestic change, which possibly may have short-
of Five’ formed by the U.S., U.K., West Germany, Japan, and er-term local cost and productivity implications. Certainly the
France. The current grouping of Canada, France, Germany, Italy, current request by many emerging market economies to be given
Japan, the U.K. and the U.S. is also joined by the president of the a longer period of time to make climate change progress than
European Council and the president of the European Commis- their developed market peers, is likely to be a discussion for many
sion. The twenty-five page communiqué last month signed by all years.
members was certainly impressive compared to some previous

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