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2010 G20 Toronto summit

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G-20 Summit on Financial Markets and the World Economy
Information
DateJune 26–27, 2010
LocationMetro Toronto Convention Centre
Toronto, Ontario, Canada
ParticipantsG-20 (+ Algeria, Colombia, Egypt, Ethiopia, Haiti, Jamaica, Malawi, Netherlands, Nigeria, Senegal, Spain, Vietnam), ASEAN, AU, FSB, ILO, IMF, NEPAD, OECD, UN, WBG, WTO
FollowsPittsburgh Summit, 2009
PrecedesSeoul Summit, 2010
Websiteg20.gc.ca

The 2010 G-20 Toronto summit is the fourth meeting of the G-20 heads of government, in discussion of 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. The summit was initially proposed to be held in the town of Huntsville, Ontario, where the concurrent 36th G8 summit was hosted, by Canadian Prime Minister Stephen Harper. The town was later deemed insufficient to provide hospitality for the large number of G-20 delegates and journalists, and thus the G-20 summit was later finalized to take place in Toronto.[1]

In his welcome speech at the G-20 sherpas' meeting, Harper announced that the theme of the Toronto summit would be Recovery and New Beginnings,[2] referring to an economic stimulus from the impact of the ongoing world recession. The summit's priorities included evaluating the progress of financial reform, developing sustainable stimulus measures,[2] debating global bank tax,[3] and promoting open markets.[4] Alongside the twenty-one representatives of the G-20 major economies, leaders of twelve invited nations and eight additional intergovernmental organizations also took part in the summit.

An Integrated Security Unit consisting of police officers from different regional departments[5] began working on security in the Downtown area, where the venue is located, three months ahead of the summit. Police officials chose specific locations to detain protesters and mapped traffic detours which would be in place during the two-day summit. Several local events which were set to take place during the time of the summit were affected due to their proximity to the summit location.[6] The total cost for preparations, including security, infrastructure, and hospitality for the summit, was determined to be approximately C$1.1 billion.[7] The summit was part of the largest and most expensive security operation in Canadian history.[8]

Agenda

Each leader of the G-20 brought their own agenda to the summit.[9] The prime issue of the summit was the recovery from the ongoing global recession and the more recent European debt crisis.[10] However, the leaders were divided over strategies on tackling the problem. The European Union wanted to focus on austerity to cut their deficits, while the United States sought to maintain economic stimulus spending to encourage growth.[11] India was said to pitch for "durable, balanced and sustainable" global growth.[12]

A divide arose between China, India, and the United States, who favoured increased stimulus funding to alleviate the recession, and the countries of the European Union, who favoured a reduction in spending and balanced budgets. The idea of imposing taxes on financial institutions, such as a global bank tax and the Robin Hood tax, which is supported by countries of the European Union but opposed by the United States and Canada, was another issue to be discussed at the summit.[13] International development was also on the agenda, as well as requests to increase international aid to Africa and other developing nations.[14] Also on the agenda was discussion of Israel's Gaza strip blockade and the nuclear programs of North Korea, each of which was met with criticism. The situation in Gaza was called "unsustainable", while the nuclear programs were considered very concerning for global and regional security.[10] Corruption and security in Afghanistan was also an issue raised by the United States.

On June 24, Toronto Mayor David Miller held a news conference at the International Media Centre, set up at the Exhibition Place, welcoming media from around the world.[15] Leaders of the G8 arrived in Toronto after wrapping up their meeting in Huntsville, Ontario. During the afternoon of June 26, the rest of the G-20 leaders arrived to take part in the G-20 summit. That evening, Stephen Harper formally welcomed the G-20 leaders to the summit and a working dinner was arranged[16] at the Fairmont Royal York Hotel.[17] The following day, June 27, the formal summit meeting began during the morning.

Preparations

Main article: 2010 G-20 Toronto summit preparations

Security

Security fencing erected along the middle of Wellington Street.

Security officials began preparing for summit security in Toronto around mid-February 2010.[18] Policing and patrolling was provided by the Toronto Police Service, the Ontario Provincial Police, the Royal Canadian Mounted Police, and Canadian Forces. The Peel Regional Police aided in policing at Toronto Pearson International Airport in Mississauga during the arrivals of delegates. The five departments formed an Integrated Security Unit (ISU), similar to the ISU created during the 2010 Winter Olympics in Vancouver. Calgary Police Service supplied 150 volunteer police officers a week before the summit.[19] Additional officers were deployed from York Regional Police, Halton Regional Police,[20] Barrie Police Service, Waterloo Regional Police, Niagara Regional Police, Hamilton Police Service, Ottawa Police Service,[21] and Service de police de la Ville de Montréal.

According to an early estimate by the Globe and Mail, 10,000 uniformed police officers, 1,000 security guards, and several Canadian military forces were to be deployed during the summit.[22] 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.[23] The total cost for security at both the G8 and the G-20 summits was determined to be $930 million.[24] The federal government paid the entire cost, which excluded any local business damages that were to arise.[25]

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.[22] Residents who lived within the security zone were issued registration cards prior to the summit. Other pedestrians who wished to enter the security zone were only able to do so at one of 38 checkpoints and were required to present two pieces of photo identification and provide reasoning for entry.[26] The area surrounding the Metro Toronto Convention Centre itself was fenced and off limits to civilians and protesters.[27] The 3-metre (10 ft) high fence was built at a cost of $5.5-million and began erection on June 7.[28] The fence was contracted out to SNC-Lavalin by Public Works and Government Services Canada and installed by two Gormley, Ontario-based companies.[29] 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.[30] The ISU decided on also using water cannons for riot control.[31]

Infrastructure

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

A former film studio located on Eastern Avenue was designated as a temporary detention centre for individuals arrested during the summit.[32] 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.[33] Canada Post declared that it would remove post boxes in the security zone.[34] 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.[35][36] Other removed municipal property include 745 newspaper boxes, 200 public trash cans, 70 mailboxes, 29 bus shelters, and 5 public information boards.[37]

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.[38] The Liquor Control Board of Ontario announced the closure of seven of liquor stores in Downtown during the summit as a precaution to looting.[39] The PATH,[26] CN Tower,[40] University of Toronto,[41] Art Gallery of Ontario,[42] and the Ontario Legislative Building[43] 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.[6][44][45][46] Mirvish Productions cancelled production of their two musicals Rock of Ages and Mamma Mia! during the week of the summit.[47] Similarly, the Factory Theatre cancelled shows during the summit week.[48]

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.[49] Exits to Yonge Street and Bay Street on the Gardiner Expressway were closed during the summit dates.[26] 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.[50] Via Rail announced that it would not operate at Union Station during the summit dates,[51] instead providing shuttle bus service from the Yorkdale and Scarborough Centre bus terminals to the Brampton and Oshawa stations respectively.[26] 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.[52] Porter Airlines was given permission to continue flights in and out of Billy Bishop Toronto City Airport.[53] The Toronto District School Board and Toronto Catholic District School Board cancelled school bus services to six Downtown schools on June 25,[54] affecting 45,000 students, 10,000 of whom are disabled.[55]

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.[56] 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.[57] 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.[58][59] The Northern Ontario Oasis included donated canoes, a shoreline with deck chairs for journalists to cool off, and a mobile phone recharging station.[60] The background was a large screen that portrayed various images of the Muskoka region.[60] 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.[61]

Attendance

Participants of the summit gather for a 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 continent of Africa along with South Africa, a G-20 member.[62] Netherlands, Spain, Vietnam, and Nigeria were also invited.[63] 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.[64][65] Recently elected 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.[66] Australia's Deputy Prime Minister Wayne Swan represented the nation instead of Kevin Rudd, former Prime Minister, whose premiership abruptly ended on June 24.[66]

Toronto Pearson International Airport was the port of entry for delegates attending both the G8 and G-20 summits. French President Nicolas Sarkozy and Chinese President Hu Jintao were the first of the G-20 leaders to arrive in Canada. The arrival of Hu coincided with his state visit to Canada, hosted by Canadian Governor General Michaëlle Jean in Ottawa.[67][68] Presidents Jacob Zuma of South Africa and Goodluck Jonathan of Nigeria arrived on June 24.[69] David Cameron arrived on June 25, following a short visit in Halifax to celebrate the centennial of the Canadian Forces Maritime Command. Remaining leaders with the G8 also arrived on the same day.[66]

After the G8 summit in Huntsville, Ontario ended, Cameron, whose aircraft was grounded due to weather conditions, hitched a ride to Toronto in Marine One with US President Barack Obama.[70] Brazilian president Luiz Inácio Lula da Silva cancelled his trip to stay back and monitor the situation on the recent flooding in northeastern Brazil; in his place, Guido Mantega, Brazil's finance minister, headed the nation's delegation.[71]

The following participants of the Toronto summit include the core 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,[72] as well as other nations and regional organizations invited to take part in the summit.

Leaders

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.
Core G-20 members
Host nation and leader are indicated in bold text.
Member Represented by Title
Argentina Argentina Cristina Fernández de Kirchner [73] President
Australia Australia Wayne Swan [74] Deputy Prime Minister
Brazil Brazil Guido Mantega [75] Finance Minister
Canada Canada Stephen Harper[76] Prime Minister
China China Hu Jintao [77] President
France France Nicolas Sarkozy [78] President
Germany Germany Angela Merkel [79] Chancellor
India India Manmohan Singh [80] Prime Minister
Indonesia Indonesia Susilo Bambang Yudhoyono [81] President
Italy Italy Silvio Berlusconi [82] Prime Minister
Japan Japan Naoto Kan [83] Prime Minister
Mexico Mexico Felipe Calderón [84] President
Russia Russia Dmitry Medvedev [85] President
Saudi Arabia Saudi Arabia Abdullah bin Abdul Aziz [86] King
South Africa South Africa Jacob Zuma [87] President
South Korea South Korea Lee Myung-bak [88] President
Turkey Turkey Recep Tayyip Erdoğan [89] Prime Minister
United Kingdom United Kingdom David Cameron [90] Prime Minister
United States United States Barack Obama [91] President
European Union European Commission Jose Manuel Barroso [92] President
European Council Herman Van Rompuy [93] President
Invited nations
Nation Represented by Title
Algeria Algeria Ahmed Ouyahia [94][95] Prime Minister
Colombia Colombia Álvaro Uribe [94][95] President
Egypt Egypt Hosni Mubarak [94][95] President
Ethiopia Ethiopia Meles Zenawi [95][96][94] Prime Minister
Haiti Haiti Jean-Max Bellerive [94][95] Prime Minister
Jamaica Jamaica Bruce Golding [94][95] Prime Minister
Malawi Malawi Bingu wa Mutharika [94][96] President
Netherlands Netherlands Jan Peter Balkenende [97] Prime Minister
Nigeria Nigeria Goodluck Jonathan [96] President
Senegal Senegal Souleymane Ndéné Ndiaye [94][95] Prime Minister
Spain Spain José Luis Rodríguez Zapatero [98] Prime Minister
Vietnam Vietnam Nguyễn Tấn Dũng [77] Prime Minister
International organizations
Organization Represented by Title
African Union Bingu wa Mutharika [99] Chairperson
ASEAN Surin Pitsuwan [100] Secretary General
Nguyễn Tấn Dũng [100] Summit President
Financial Stability Board Mario Draghi [101] Chairman
International Labour Organization Juan Somavía [102] Director-General
International Monetary Fund Dominique Strauss-Kahn [103] Managing Director
NEPAD Meles Zenawi [99] Chairman
OECD José Ángel Gurría [104] Secretary General
United Nations United Nations Ban Ki-moon [105] Secretary General
World Bank Group Robert Zoellick [104] President
World Trade Organization Pascal Lamy [103] Director-General

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.[106] The perceived security threat caused the Integrated Security Unit to increase security measures.[107]

Protests began one week ahead of the summit, organized by groups including Oxfam Canada and the Ontario Coalition Against Poverty.[108] Issues such as poverty,[108] gay rights,[109] capitalism and globalization,[110] indigenous rights,[111] and controversial issues with the Toronto summit were the object of protests.[112] Despite a few arrests, protests over the week were mainly determined to be peaceful.[113]

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.[114] Police cruisers were set on fire and vehicles of media corporations were damaged.[115] Nearby hospitals, shopping centres, and hotels were put in a lockdown mode while public transit services were diverted from Downtown to other locations.[116]

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.[117] A group of protesters was also "kettled" for several hours through the night after black bloc protesters were believed to be in the crowd.[118] Over 900 people were confirmed to be arrested over the week.[119] The ISU performed sweeping arrests within a specific boundary from the summit venue.[120] 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.[121] Individuals arrested during the protests condemned the treatment they received from police.[122]

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.[123]

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.[124]

At the summit, US President Barack Obama warned that global recovery was still "fragile."[125] In hopes of boosting American exports, he announced the proposal of a free trade agreement between the United States and South Korea.[126] A key agreement the leaders of deleveloped nations made was to cut annual budget deficits in half by 2013.[127] The leaders also agreed on reducing debt-to-GDP ratio in each economy by 2016.[127] 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,[128] but the way the contributions would be collected would be up to each government.[129] It was also decided that institutions would be required to keep a higher amount of financial capital in case of future financial shocks.[130] Climate change and food security were also discussed; the leaders reiterated their commitment to a "greener growth"[131]

The G-20 Toronto Summit Declaration, which was released shortly after the summit concluded, stated that "serious challenges remain."[132] 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.[133]

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. 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.[134]

Controversies

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.[135] 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 $1.1-billion budget for hosting the summits "obscene"[136] and "insane."[137] Others argued that the money could have been used for long-pending municipal projects in Canada, such as Toronto's Transit City.[138] The security cost for the two summits, which was determined to be $930 million, was more expensive than the combined security costs of the 2010 Winter Olympics and Paralympics in Vancouver and Whistler, British Columbia, which were $878 million.[137]

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.[136] 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.[139] 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.[136] 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."[140] During the summit, French President Nicolas Sarkozy claimed that the costs for hosting the proposed G8 and G-20 summits in France in 2011 would be one-tenth of Canada's.[141]

The creation of the $23-million G8/G-20 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."[142] Criticism mostly targeted Stephen Harper and Canada's Conservative government. Some protesting groups gave names to the artificial lake, such as "Harper's Folly".[143] 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."[144] According to some critics, the spending misled the objective of the summits into showing off Canada's attributes instead of promoting the summits' agendas.[145] 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.[145] Harper also defended by saying, "This is a classic attempt for us to be able to market the country."[146] Upon its opening, the artificial lake received mixed reviews from Canadian reporters.[147]

Local impact

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."[148] The alert was criticized by mayor David Miller as an "over-reaction."[149]

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.[150] 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.[151] 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 damage repairs.[152]

See also

References

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