As world leaders gather this week in Canada for the fiftieth annual Group of Seven (G7) summit, the stakes are high. Against the backdrop of war in Ukraine, conflict in the Middle East, and mounting global economic tension, the G7 is once again thrust into the spotlight—not only for its decisions, but for what it represents.

But what exactly is the G7? Where did it come from, and what role does it play in an increasingly fragmented world?

Origins and Evolution of the G7

The Group of Seven, or G7, is an informal alliance of seven of the world’s most advanced economies: Canada, France, Germany, Italy, Japan, the United Kingdom, and the United States—along with the European Union, which participates as a non-enumerated member. While not a formal institution, the G7 serves as a forum for cooperation on economic governance, international security, and global development. Each year, the member states gather for the G7 Summit, where leaders discuss pressing global issues and aim to build consensus on joint actions. In 2025, Canada holds the rotating presidency, organizing this year’s summit in Kananaskis, Alberta, and setting the summit’s agenda.

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Leaders of the original G6 meet in 1975 to address the global economic crisis—marking the birth of what would become the G7. National Archives and Records Administration, Public domain, via Wikimedia Commons

The G7 began in 1975 as the Group of Six, founded by the U.S., France, West Germany, Italy, Japan, and the UK. Canada joined the following year, rounding out the group. At the time, the goal was simple but urgent: create a space for non-communist powers to coordinate economic policies during a period of global recession and inflation triggered by the OPEC oil embargo.

The European Union has participated fully since 1981, represented by the Presidents of the European Commission and the European Council, although the EU does not hold the rotating presidency.

By the 1980s, the G7’s scope expanded beyond economic coordination to include security, human rights, and global political stability. In the early 2000s, the group began engaging more directly with developing countries and supported initiatives related to climate change, gender equality, and disarmament, and now artificial intelligence (AI).

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French President Francois Hollande, British Prime Minister David Cameron, Italy’s Prime Minister Matteo Renzi, Germany’s Chancellor Angela Merkel, European Union Commission President Jean-Claude Juncker, President of the European Council Donald Tusk, Japanese Prime Minister Shinzo Abe, U.S. President Barack Obama and Canada’s Prime Minister Stephen Harper (L-R) attend the first working session of a G7 summit at the hotel castle Elmau in Kruen, Germany, June 7, 2015. Leaders from the Group of Seven (G7) industrial nations met on Sunday in the Bavarian Alps for a summit overshadowed by Greece’s debt crisis and ongoing violence in Ukraine. REUTERS/Alain Jocard/Pool

Structure and Function

Unlike formal international organizations such as the United Nations or NATO, the G7 has no charter, no permanent secretariat, and no legal authority. Its presidency rotates annually among member states, and the host country sets the summit’s agenda and coordinates logistics.

Despite this loose structure, the G7’s combined weight is considerable. In 2024, the member countries (excluding the EU) represented nearly $57 trillion in gross domestic product, about 29 percent of the global economy.

What Does the G7 Do?

The G7 serves three key purposes:

  1. Policy Coordination: It provides a platform for the world’s largest democratic economies to align their positions on urgent global issues—from pandemics to sanctions on rogue states.
  2. Crisis Response: In recent years, it has imposed sweeping sanctions on Russia for its invasion of Ukraine, organized global health initiatives during COVID-19, and coordinated economic responses to financial disruptions.
  3. Norm Setting: Though it cannot enforce laws, the G7 influences international norms on climate, human rights, and digital technologies.

The official website for this year’s summit features a comprehensive overview of the goals and accomplishments from each annual G7 gathering.

Russia, China, and New Geopolitical Realities

Russia was once part of the group, joining in 1998 to form the G8. The inclusion was an attempt by then-U.S. President Bill Clinton to integrate post-Soviet Russia into the West. But Moscow’s 2014 annexation of Crimea led to its indefinite suspension.

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MOS05 – 20000721 – NAGO, JAPAN : Russian President Vladimir Putin (L) and US President Bill Clinton (R) hold bilateral talks in Nago, Friday 21 July 2000. The leaders of Russia and the United States issued a joint statement after a summit here Friday agreeing to control the spread of missiles and missile technology.
EPA PHOTO ITAR-TASS/ITAR-TASS/jt-hh

Tensions with Russia have only grown. The war in Ukraine, now in its fourth year, has pushed the G7 to impose coordinated sanctions on Moscow and send billions in financial and military aid to Kyiv. In 2024, G7 countries agreed to fund Ukraine using profits from frozen Russian assets—a move hailed as a landmark show of unity.

Meanwhile, China has emerged as the G7’s primary geopolitical rival. At recent summits, leaders have hardened their stance on Beijing’s military assertiveness, economic coercion, and support for Russia. At this year’s summit, China pushed back against mounting criticism, accusing the G7 of driving a wedge between Beijing and the Global South.

This Year’s Summit: High Stakes in the Rockies

Held in Kananaskis, Alberta, the 2025 G7 summit arrives amid major global tensions. Host country Canada has abandoned the traditional goal of a unanimous communiqué in favor of issue-specific statements—a reflection of how difficult consensus has become, particularly with U.S. President Donald Trump returning to the summit stage.

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British Prime Minister Keir Starmer attends bilateral meeting with Italy’s Prime Minister Giorgia Meloni at the G7 summit leaders’ in Kananaskis, Alberta, Canada. Picture date: Sunday June 15, 2025. Stefan Rousseau/Pool via REUTERS

Trump’s second term has already shaken G7 unity. He has questioned Russia’s suspension, imposed tariffs on allies, and made overtures to Moscow—most recently suggesting Russian President Vladimir Putin could help mediate the Iran-Israel conflict. Meanwhile, oil prices have surged due to escalating strikes between Israel and Iran, adding to global economic uncertainty.

Among the key topics at this week’s G7 talks are economic cooperation, trade, China, artificial intelligence, and climate policy.

Is the Bloc Still Relevant?

Some question whether the G7, a club of Western powers, remains fit for purpose in a multipolar world. Others argue that the G7 retains value and purpose.

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Protesters rally a day before world leaders meet in Kananaskis for the G7 leaders’ summit, in Calgary, Alberta, Canada June 15, 2025. REUTERS/Todd Korol

This year’s summit has welcomed leaders from outside the group, including from Ukraine, India, and South Africa, reflecting the bloc’s awareness that global challenges demand broader coalitions.

As global crises mount, the G7’s role as a forum for democratic coordination is both more vital and more contested than ever. Whether the summit in Canada results in meaningful action or mere symbolism remains to be seen.