President Xi Jinping used his welcome speech to the leaders assembled for the Hangzhou G20 summit to demonstrate that China is steadily growing into its new role as a leading player in global economic management. He made it very clear that there is no room at a hugely influential forum like the G20 for what he called "empty talk," and that discussions must lead to agreements and agreements to action.

This is quite a revolutionary concept in diplomacy. In my twenty years of diplomatic experience it all too often happened that an agreement on a text of a joint communiqué was seen as an acceptable substitute for an action programme and that the wording of such documents concentrated more on avoiding conflict than on providing a basis for moving forward. President Xi has recognised that this will no longer do, and, what is more, is prepared to make his point publicly. The state of the global economy requires more than warm words, mutual flattery and baseless optimism.

The Chinese leader spoke of "a crucial juncture" in the world's affairs. He addressed the issues of persistently slack demand, slowdowns in international trade and investment and dangerously uncontrollable fluctuations in financial markets. And there are no 'magic bullets' in sight: "Growth drivers", he said, "from the previous generation of technological progress are gradually losing strength, while a new round of technological and industrial development has yet to gain momentum." Of course this view fits perfectly with China's domestic economic program, and it is not unlikely that Xi was offering the Chinese approach as a blueprint that other countries might wish to follow - and why not, seeing that China is managing the decline in growth better than most?

So, what did President Xi's proposal for G20 nations might look like? In the usual well-ordered Chinese fashion, he set it out in the form of five key points:

1) the macroeconomic policies of G20 members should be more deeply and strongly coordinated, jointly pursuing growth and financial stability (rather than trying to steal a march on each other by seeking short-term advantages):

2) G20 nations should prioritise innovation as a driver of growth, collaborating closely to develop mutually beneficial growth engines:

3) member states should cooperate to improve international economic governance and ensure proper mutual compliance arrangements:

4) all major economic powers should work towards a more open world economy, and make concerted efforts to promote the liberalization and facilitation of trade and investment. (This runs parallel to China's focus on trading infrastructure by means of the One Belt One Road program and recognises that there is still a way to go in the field of trade finance.)

5) all parties should work towards the implementation of the 2030 Agenda for Sustainable Development, aimed at ensuring that growth is directed towards positive social and environmental development.

This last point is particularly significant in the light of China's decision, in company with the USA, to ratify the Paris Agreement on combating climate change. It was often felt, especially by developing nations, that there was a conflict between the requirement to lower greenhouse gas emissions and legitimate aspirations to industrial development and catching up with the developed world. China has here given a lead, by making a clear commitment to combine development with environmental protection while also with ensuring that growth is fairly distributed among the population, so as to avoid the emergence of socially damaging inequality.

Another significant point made by the Chinese president was that it was time for emerging-market economies and developing countries to strengthen their role in international affairs, now that so many of the larger economic powers are mired in economic stagnation.

Prominent among the leaders present in Hangzhou were those of the BRICS countries, whom President Xi addressed separately in the margins. The countries of the developing world are rightly concerned about protectionism, which is a constant temptation in times of economic uncertainty, but one which must be resisted. The establishment and entrenchment of an inclusive, rule-based and open world economy - ensuring a level playing field between developed and developing countries - was a key theme of the President's address. Xi also emphasised the need for reform of the governance structure of the IMF and the World Bank to ensure broader-based representation and influence in these central institutions.

China cannot, of course, take sole responsibility for saving and supporting the world. But President Xi's address made it clear that the nation's re-emergence as a major world power will be matched by a proportionate assumption of responsibility for the world's future. And it shows that President Xi Jinping is not a person to evade difficult questions, either at home or internationally.

Tim Collard is a columnist with China.org.cn. For more information please visit:

http://m.keyanhelp.cn/opinion/timcollard.htm

Opinion articles reflect the views of their authors, not necessarily those of China.org.cn.

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