Meaning of Coordinate Invariance
For the philosophically inclined, there is still some subtlety. If the metric components are considered the dynamical variables of General Relativity, the condition that the equations are coordinate invariant doesn't have any content by itself. All physical theories are invariant under coordinate transformations if formulated properly. It is possible to write down Maxwell's equations in any coordinate system, and predict the future in the same way.
But in order to formulate electromagnetism in an arbitrary coordinate system, one must introduce a description of the space-time geometry which is not tied down to a special coordinate system. This description is a metric tensor at every point, or a connection which defines which nearby vectors are parallel. The mathematical object introduced, the Minkowski metric, changes form from one coordinate system to another, but it isn't part of the dynamics, it doesn't obey equations of motion. No matter what happens to the electromagnetic field, it is always the same. It acts without being acted upon.
In General Relativity, every separate local quantity which is used to describe the geometry is itself a local dynamical field, with its own equation of motion. This produces severe restrictions, because the equation of motion has to be a sensible one. It must determine the future from initial conditions, it must not have runaway instabilities for small perturbations, it must define a positive definite energy for small deviations. If one takes the point of view that coordinate invariance is trivially true, the principle of coordinate invariance simply states that the metric itself is dynamical and its equation of motion does not involve a fixed background geometry.
Read more about this topic: Hole Argument
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