Group of Eight - G-8

The term Group of Eight (G8) refers to an association of governments from several developed countries which assemble to discuss world socio-economic matters of global impact.

Over the years this association has grown and adapted. It was originally known as the G6 (Group of six), founded by France in 1975, which was comprised of the worlds six leading free market economies and included France, Germany, the United States, the United Kingdom, Italy and Japan. The organization was expanded into the G7 with the inclusion of Canada in 1976. The G8 in its present form was created in 1997 when Russia was included in the group.

The presidency of the G8 was rotated among members on an annual basis. Annual summits were hosted by the country currently holding the Presidency and that country was responsible for setting the summit’s agenda and determining which ministerial meetings will be held. In addition to the annual summit, G8 ministers meet throughout the year to discuss the world’s international relations, economic and environmental issues.

The credit crunch has caused a radical re-think of international relations and the level of international co-operation needed at the highest level. The large developing nations have begun to flex their economic muscles and their role in the world economy has been recognized through their greater involvement in international economic forums. Before the recent financial crisis, France and the United Kingdom had been pushing to include these developing nations in the G8 deliberations by incorporating what was known as the O5, the Outreach five nations. These included Brazil, China, South Africa, India and Mexico.

In 2009, at the Pittsburgh summit, it was announced that the G8 would be superseded by the G20 as the main economic council of wealthy nations. This radical change in the body was a direct result of the 2008 - 2009 financial crises and recognition of the increasing importance in global affairs which is now being played by the newly developed and rapidly developing nations of the world. These nations now contribute a significant amount of international trade and at present, are the world’s major engines for growth and demand a greater influence in world affairs in accordance with their new and evolving economic powers.