WTO, IMF and World Bank

what is the role of the World Trade Organisation?

• The WTO is a global international organisation dealing with the rules of trade between nations

• This can be done by ‘substantial reduction of tariffs and other obstacles to trade’

• Their role is to help producers of goods and services, exporters, and importers and conduct their business

• It is also a forum for governments to negotiate trade agreements, and where member governments try to sort out trade problems they face with each other

• The WTOs global systems lower trade barriers through negotiations and operates under principle of non-discrimination

• The WTO aims to stimulate economic growth and employment/achieve higher living standards, full employment and sustainable development. As expressed by the WTO’s founding Marrakesh Agreement

characteristics of the WTO?

• Aims to promote and encourage free trade

• They regulate world trade

• They do this by reducing and removing barriers to trade like tarrifts

• They hold trade talks known as ‘trade rounds’

• They mediate in trade disputes

• They enforce members’ adherence to agreements

• They can impose penalties and demand compensation when members do not keep to agreements

functions of the WTO?

• Administrating WTO trade agreements

• Forum for trade negotiations

• Handling trade disputes

• monitoring national trade policies

• Technical assistance and training for developing economies

• Cooperation with other international organisations w

what is involved in WTO agreements?

negotiated and signed by the bulk of the world trade nations

• These documents provide the legal ground rules for internally commerce

• Contracts, binding governments to keep their trade policies within agreed limits

• The goal is to help producers of goods and services, exporters, and importers conduct their business, while allowing governments to meet social and environmental objectives

what is an example of the WTO involvement?

The WTO is currently the host to new negotiations, under the ‘Doha Development Agenda’ launched in 2001

characteristics of the IMF?

• aims to promote international economic co-operation

• They lend to governments

• They give monetary/fiscal/exchange rate policies

• they make funds available to countries to meet BofP needs and provide loans to prevent government debt default

• They encourage debt relief

• They promote stability in exchange rates

• They assist countries switching to more market-based economic systems

what are the IMF aims?

• promote international monetary cooperation

• Facilitate the expansion and balanced growth of international trade

• Promote exchange stability

• Assist in the establishment of a multilateral system of payments;

• Make resources available to members experiencing balance of payments difficulties

how many membership countries are in the IMF?

189 countries

who is on the executive board for the IMF?

24 DIRECTORS - each representing a single country or a group of countries

what is the total quotas the IMF have made?

$668 as of 2016

what did the IMF establish at the UN conference in Bretton in 1944?

44 countries sought to build a framework for economic cooperation to avoid a repetition of the competitive devaluations that the had contributed to the Great Depression of the 1930s

what is the IMFs responsibilities?

Ensure the stability of the international monetary system

• system of exchange rates

• International payments that enable countries to transact with each other

characteristics of the world bank?

• They fund development projects in developing economies

• they provide zero to low interest rates on loans

• They collect data on economics

• They provide advice to developing economies

• They aim to minimise poverty and boost prosperity for the poorest people

• They help create sustainable economic growth for developing economies

what are the two goals the world bank want to achieve by 2030?

• End extreme poverty by decreasing the percentage of people living on less that $1.90 a day to no more than 3%

• Promote shared prosperity by fostering the income growth of the bottom 40% for every country

which five organisations doest the world bank consist of?

International Bank for Reconstruction and Development

The International Development association

The International Finance Corporation

The Multilateral Investment Guarantee Agency

International centre for settlement of investment disputes