G7 announces $600 billion global infrastructure programs

Tags: International News

The G7 group has announced USD 600 billion global infrastructure programs for poor countries.

• Under the program, the US government and its allies will try to touch the USD 600 billion mark during the years 2022 and 2027.

• The move is intended to compete with China's Belt and Road Initiative.

• The proposed G7 funding would rely largely on private companies, in contrast to the Chinese government-run Belt and Road Initiative.

• The partnership has been unveiled by US President Joe Biden and G7 allies from Germany, Canada, Japan, Italy and the European Union.

• Belt and Road Initiative (BRI)

• The Belt and Road Initiative is formally known as the One Belt One Road initiative.

• It is a global infrastructure development strategy, launched by China in 2013.

• Under this, China had planned to invest in about 70 countries and international organisations.

• The project is the centrepiece of Chinese leader Xi Jinping's foreign policy.

• As of March 2022, 146 countries have signed the BRI.

• The Asian Infrastructure Investment Bank is dedicated to providing loans for infrastructure projects.

• About the G7

• The G7 or Group of Seven is a grouping of the seven most advanced economies.

• The seven countries are Canada, USA, UK, France, Germany, Japan and Italy.

• It was formed in 1975.

• The G7 countries meet annually to discuss issues of common interest such as global economic governance, international security and energy policy.

• All G7 countries and India are part of the G20.

• The G7 has no fixed headquarters.