What to Expect from the Italian G7 Presidency

The role of the G7 has evolved significantly over time, adapting to new global realities. Described by the Italian sherpa as “the control tower for liberal democracies,” the G7 now aims to better coordinate with the rest of the world. In this context, Italy assumes the G7 presidency, succeeding Japan, during a period of fragile international balances. With societal and technological changes and potentially disruptive events threatening multilateralism and the G7, the presidency presents an opportunity for Italy to affirm its leadership in addressing global challenges.

The Pillars of the Italian G7 Presidency

The pillars of the Italian G7 presidency include continuity with the Japanese presidency’s agenda while ensuring Italy’s priorities take center stage. These priorities encompass bolstering the international order, addressing ongoing conflicts, tackling the global challenge of migration, supporting energy transition and energy security, fortifying global supply and value chains and ensuring food security.

Italy recognizes the imperative to address these issues within the broader context of global power, moving beyond the traditional “West and the rest” narrative. The presidency acknowledges the importance of collaboration with the Global South, with a specific focus on the Indo-Pacific region and the African continent, emphasizing increased cooperation leading up to the 2024 Brazil-hosted G20 Summit.

Beyond these imperatives, the Italian Government’s focus and public discourse center around three main priorities:

1. Addressing ongoing conflicts.
   The ongoing conflicts, particularly the Ukraine-Russia war and Hamas-Israel war, the underlying tensions in the Balkans, as well as the threats in the so-called Coup Belt across the Horn of Africa and Sahel question the current functioning of diplomatic relations.
   The geopolitical implications of these conflicts—in particular in Ukraine and Middle East—have a direct effect on the global energy landscape, impacting economies and industries worldwide. Additionally, supply chain vulnerabilities are exposed as conflicts disrupt transportation routes and trade, as we may see in the Red Sea.
   Supporting the war efforts in Ukraine and the reconstruction of the country are two other key issues for the Italian presidency of the G7. Beyond these issues, the Italian government also recognizes the opportunity of future trade and business relations with Kyiv, as attested by the participation of Italian enterprises during the Conference on Reconstruction in Ukraine organized by the Meloni government in 2023.
2. Africa and the Global South as cornerstones of the Italian foreign policy.
   Meloni’s focus on Africa is driven by several factors, including Italy’s geo-strategic position, the need to diversify the energy supply chains following the war in Ukraine and the imperative to tackle illicit migration flows. At the core of this strategy sits the recently announced Mattei Plan, meant to foster collaboration between the public and the private sectors and a non-exploitative relationship with African states, working towards shared objectives while addressing the presence of other significant actors in the continent like China and Russia.
   The Indo-Pacific region is another crucial area for diplomatic relations. Border militarization and economic downturn in China make Indo-Pacific regional relations unstable, with Southeast Asian countries seeking support from the United States or Russia. Italy is fully committed in investing in relations with the region, as attested by recent remarks by Prime Minister Meloni and Minister of Foreign Affairs Antonio Tajani defining the area as a strategic node for global political and economic relations. To this extent, the Italian Parliament is working on an Indo-Pacific strategy as well.
3. A human-centric artificial intelligence.
   Prime Minister Meloni aims to lead a discourse on “human-centered and human-controlled” AI technology. Leveraging the legacy of the 2023 G7 summit’s Hiroshima AI Process – a living document listing 11 guiding principles addressing risks and challenges posed by AI – Italy seeks to establish a governance framework to enforce ethical barriers that prevent the proliferation of fake news through generative AI. In this regard, Meloni’s goal is to define a “code of conduct” to limit AI-powered information distortion as well as the influence of Big Tech.
   Furthermore, the Italian presidency will try to strike a balance between AI utilization and its impact on the labor market. To this extent, the Italian government will organize a fully AI-dedicated forum, the International Conference on Artificial Intelligence and Employment, with the aim of ensuring that AI aids, rather than replaces, human labor.
   Finally, as recently stated by Luca de Angelis, director general for emerging technologies at the Ministry of Enterprises and Made in Italy, the Italian G7 will also focus on AI accessibility, thus working on the market barriers faced by businesses to access AI tools.

What this Means for Business

The current geopolitical landscape poses challenges such as increased costs and uncertain investments. Yet, it also offers growth prospects for businesses capable of navigating political instability and identifying growth opportunities amidst uncertainty. Under Italy’s leadership, the G7 agenda presents a platform for collaborative efforts and broader stakeholder involvement that, if properly engaged, can lead to shared benefits and lasting impact.