Brazilian President Lula da Silva, who led the discussions, structured the G20 talks around three pillars: social inclusion and tackling hunger and poverty; energy transitions and climate action; and reforming global governance – highlighting the interconnectedness of economic stability, social equity and environmental sustainability.

One of the components of the G20 Leaders’ Declarationn is the agreement to tax billionaires more effectively. The communique emphasises that progressive taxation is essential for reducing domestic inequalities and promoting strong, sustainable and inclusive growth. The proceeds from this taxation are intended to support the UN Sustainable Development Goals, underscoring a global commitment to equitable development.

Climate action features prominently in the declaration, with G20 leaders reaffirming their dedication to the Paris Agreement and the goal of limiting global warming to 1.5°C. The document calls for increased public and private green financing, particularly for developing countries, and emphasises the need for reforming the international financial system to support climate initiatives.

However, although the declaration reaffirms the commitment to phasing out inefficient fossil fuel subsidies and accelerating the transition to clean and sustainable energy, it stops short of explicitly mentioning the transition away from fossil fuels.

Despite these challenges, the G20 leaders highlighted the importance of tripling renewable energy capacity and doubling energy efficiency by 2030. They also acknowledged the critical role of multilateral development banks (MDBs) in unlocking large-scale climate funding for developing countries.

The G20 leaders also expressed strong support for the concurrent COP29 negotiations in Baku, Azerbaijan, and the upcoming COP30 in Belém, Brazil, scheduled for 2025. The G20 also endorsed the New Quantified Collective Objective for Climate Financing (NCQG), which aims to mobilise substantial financial resources for climate action.

Global governance reform

In addition, the G20 called for comprehensive reforms in global governance, including modernising the international financial system and strengthening the UN.

Reaction to the G20 declaration was mixed. The World Resources Institute’s President and CEO, Ani Dasgupta, praised the reaffirmation of climate action at the heart of the global agenda but noted the missed opportunity to commit fully to transitioning away from fossil fuels. Similarly, climate change think tank E3G highlighted the positive momentum for climate finance but criticised the failure to maintain strong language on the phase-down of coal and fossil fuel transition.

UK’s Global Clean Power Alliance

In a complementary effort, the UK Prime Minister officially launched the UK-led Global Clean Power Alliance (GCPA) during the G20 Summit. This initiative aims to accelerate the global transition to clean energy by uniting developed and developing countries across North and South.  

Brazil, Australia, Barbados, Canada, Chile, Colombia, France, Germany, Morocco, Norway, Tanzania and the African Union are the first countries to sign up to the Alliance’s first mission, the ‘Finance Mission’, which will be co-chaired by Brazil and focus on unlocking private finance. The US and EU will also partner with the UK on the initiative.