Day 2 of TIIWG G20 Agrees on Equitable Global Economic Recovery

Financial technology photo created by pvproductions –

Solo, March 31 2022 – Day 2 of the Trade, Investment, and Industry Working Group (TIIWG) on the agenda of the Indonesian G20 Presidency concluded that the alignment of trade, investment and industrial policies is important to achieve the 2030 sustainable development goals (SDGs). This meeting also agreed on equitable global economic recovery, for both developed and developing countries.

At the TIIWG meeting this time and also for the first time in the history of the G20, industry issues were discussed in the working group. “We hope that the success of the first TIIWG meeting held in Solo in substance and implementation can be continued by the subsequent countries holding the G20 Presidency. Therefore, we can continue to make industrial issues a special discussion,” said Industry Minister Agus Gumiwang Kartasasmita in Solo, Thursday (31/3).

In the first meeting, the session discussed three of the six priority issues of the TIIWG, including The Role of Multilateral Trading System to Strengthen the Achievement of SDGs, Digital Trade and Sustainable Global Value Chains (GVCs), and Sustainable and Inclusive Industrialization via Industry 4.0.

The Director General of International Trade Negotiations at the Ministry of Trade, Djatmiko Bris Witjaksono as Chair of the TIIWG conveyed the conclusions of the discussion session discussing these issues. The first conclusion, on the issue of improving the multilateral trading system to strengthen the achievement of the SDGs, the members concluded that the multilateral trading system must be able to respond to the dynamics of the global economic situation, including the impact of the current and future pandemics which in the end can be a catalyst in achieving the SDGs targets.

Djatmiko said that the TIIWG also urges the improvement of the role of the multilateral trading system by establishing a better trading system for both developed and developing countries. Therefore, the benefits of trade can be felt by all countries. “The multilateral trading system must be able to provide access to micro, small and medium enterprises (MSMEs) and support the poverty alleviation agenda to achieve the SDGs,” said Djatmiko.

The second conclusion related to GVCs states that all countries share the same view regarding the important role of digital trade and digital transformation in strengthening sustainable GVCs. In addition, countries need to increase global cooperation, strengthen digital infrastructure, and develop digital legal frameworks, digital security, and digital literacy.

“Strengthening the integration of MSMEs and the role of women in GVCs is also a must to move towards economic development, bridge the digital divide, increase financial access, and increase digital trade facilitation,” added Djatmiko.

On the occasion, the delegates also conveyed the key steps that need to be taken to ensure international trade and supply chains run well, including equal access to vaccines, medicines, and medical devices.

As Co-Chair of the TIIWG, the Director General of Resilience, Territory and International Industrial Access (KPAII) of the Ministry of Industry, Eko S.A. Cahyanto said, in discussing the issue of Sustainable and Inclusive Industrialization via Industry 4.0, there were several views from various countries regarding the role of industry, along with trade and investment, to help increase productivity.

The capacity to adopt and adapt to advanced technology is a key requirement in the implementation of industry 4.0. It also requires technology transfer and digital infrastructure investment,” said Eko.

Meanwhile, in the third conclusion, to face challenges in implementing industry 4.0, G20 members are recommended to bridge the digital divide through skilling, reskilling, and upskilling, as well as promoting equality in the digital aspect.

“The development and implementation of Industry 4.0 must be inclusive and ensure that no one is left behind, and that all economies benefit from its development,” said Eko. The G20 needs to discuss the means to provide more access to MSMEs and underrepresented community groups to the ease of implementing industry 4.0.

The Deputy for Investment Cooperation at the Ministry of Investment/BKPM who is also a Co-Chair of the TIIWG, Riyatno said, trade, investment, and industry must be instruments that stimulate knowledge exchange and aid the birth of innovation.

“The Indonesian government expresses its appreciation to the delegates who have actively participated in the first TIIWG meeting and for the useful feedback and contributions during this activity, especially the support for the priorities that we conveyed this year,” he said.

The next TIIWG meeting will be held in June 2022 to discuss three other priority issues.

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