Syllabus: GS-II, Subject: International Relations, Topic: Global issues, Issue: Issues in Global Order
Global Order: aimed at upholding sovereign equality and collective security among nations
- Post-World War order initiated with
- Declaration of the United Nations in 1942
- endorsement of the Atlantic Charter in 1941.
- International economic order created by: Bretton Woods Conference (1944) through the establishment of
- International Monetary Fund (IMF)
- World Bank (WB)
- General Agreement on Tariffs and Trade (GATT), later succeeded by World Trade Organization (WTO) in 1994.
- Key issue with the global order:
- Bias: The WB and IMF governance structures favor the United States and Europe reflecting old power structures.
- UN system, based on international treaties, favors original signatories.
- Efforts to challenge the biased global order–
- the Non-Aligned Movement and
- G-77,
- ad hoc groups like OECD, QUAD
- Asian Infrastructure Investment Bank etc.
The emergence of regional, ad hoc organizations indicates a need for reform in the global order.
| +1 Advantage for Mains
Examples of dominance in global order: · An American citizen always heads the World Bank; · ‘Europe’ (Western Europe, in practice) gets to nominate the head of the IMF. IMF voting right favor America and Europe: · Voting right of original BRICS members (Brazil, Russia, India, China and South Africa) are 2.22, 2.59, 2.63, 6.08 and 0.63. · Voting right US and European countries The U.S 16.5, U.K. (4.03), Germany (5.31) and the rest of the G-7 percentage approaches 30. · By this USA can effectively reject any reform. |
