Intro to Multilateral Agencies

Information about Intro to Multilateral Agencies

Published on May 8, 2008

Author: Teresa1

Source: authorstream.com

Content

Introduction to Multilateral Agencies:  Introduction to Multilateral Agencies The WTO, World Bank, and IMF The World Trade Organization (WTO):  The World Trade Organization (WTO) A Global Trading Regime History – The Organization Formerly Known as GATT:  History – The Organization Formerly Known as GATT General Agreement on Tariffs and Trade (GATT) formed in 1947 to encourage tariff reductions. Original goal had been to create a International Trade Organization, that would stand with the World Bank and the International Monetary Fund (IMF) to manage the international economy. That ITO goal included not only trade issues, but also management of foreign investment, unfair competitive practices, etc. As a threat to national sovereignty the ITO failed to be accepted. The default was GATT, which was a series of multi-lateral treaties for trade created provisionally, in anticipation of the ITO. GATT developed a system to adjudicate trade disputes between nations (e.g. dolphin-free tuna import case). What were the major challenges in the GATT era?:  What were the major challenges in the GATT era? Non-tariff Barriers (NTBs) – were the legitimate or not? Agricultural commodities Industrialized countries had much of the power and to protect their own farm industries, they resisted tariff reductions on agricultural products. Perceived unfairness by agricultural nations Creation of the WTO:  Creation of the WTO Developed through negotiation during the “Uruguay Round” (7 ½ years) Founded on January 1, 1995 in Geneva Currently 148 member countries The three purposes: A forum for trade negotiation A set of rules to govern trade A mechanism to settle trade disputes What is the Source of Criticism of the WTO?:  What is the Source of Criticism of the WTO? WTO stated objective: “The goal is to help producers of goods and services, exporters, and importers conduct their business” What are the major challenges now?:  What are the major challenges now? Managing trade in services. When do they cross borders? Intellectual property. Should it only accrue to corporations? Continuing tension over agricultural commodities. Civil society challenges about labor and environmental issues. Should the WTO have a more open process? Some Acronyms:  Some Acronyms MFN = Most Favored Nation status TRIPS = Trade Related Aspects of Intellectual Property Rights TRIMs = Trade Related Investment Measures A good site to check trade related acronyms (e.g. G7 and G77) and also terms (e.g. countervailing measures, parallel imports): http://www.wto.org/english/thewto_e/glossary_e/glossary_e.htm The World Bank Group:  The World Bank Group Source of funding for development purposes A brief history:  A brief history Founded in 1947 as part of the Bretton Woods Conference Initial objective: rebuilding and redevelopment following World War II First loan: $250 million to France Current objective: poverty alleviation in pporer countries through financial and technical assistance A specialized agency of the United Nations Currently 184 members The Five Agencies of the WBG:  The Five Agencies of the WBG International Bank for Reconstruction and Development For poor and middle income nations: sub-market rate loans International Development Association For the poorest nations: grants and interest free loans (The IBRD and the IDA are “The World Bank”) International Finance Corporation Loans for private enterprises were capital access is limited Multilateral Investment Guarantee Agency Insurance of foreign investment for non-commercial losses International Centre for the Settlement of Investment Disputes A forum for conciliation between governments and investors Slide13:  Board of Governors Executive Directors President Staff Functions Regional Vice Presidents Network Vice Presidents Additional Staff Functions The World Bank (IBRD and IDA) Structure World Bank Management :  World Bank Management All member nations (lenders and borrowers) have shares in the bank that reflect the size of their economies The Board of Governors, representatives of all member countries meet once a year to set overall strategy. Day-to-day operations are overseen by the Executive Directors who also represent the members. The five largest shareholders (Japan, UK, France, Germany, US) each have a director and the other nations, based on geographic regions, elect 19 directors. The president is elected for a five-year, renewable term. That position has always been held by a US national. He is responsible for the overall management of the Bank. World Bank Funding:  World Bank Funding So-called donor nations guarantee credit-worthiness and provide billions of dollars in callable credit for the Bank. The Bank actually gets its working capital, however, by floating bonds, which are bought by governments, institutional investors and others. At times, the Bank does generate an annual surplus, which is used to reduce debt of to increase IDA funds. Four Additional Multilateral Lending Institutions:  Four Additional Multilateral Lending Institutions Asian Development Bank (Manila) Inter-American Development Bank (Washington D.C.) European Bank for Reconstruction and Development (London) African Development Bank (Abidjan, Cote D’Ivoire) The International Monetary Fund (IMF):  The International Monetary Fund (IMF) “Stabilizing” National Economies The Basics:  The Basics Established in 1945 Headquartered in Washington DC 148 member nations Major goals: Expansion of world trade Stabilization of exchange rates Avoidance of competitive devaluations Orderly correction of balance of payments problems To accomplish that, the IMF…:  To accomplish that, the IMF… Monitors national economies and analyzes national economic institutions Makes policy and structural reform suggestions to national governments Lends to countries with balance of payments problems Provides technical assistance to governments and central banks on financial issues The IMF has a clear view as to what it sees as a good economy:  The IMF has a clear view as to what it sees as a good economy Limited government involvement in the economy Open to international trade and investment Free systems of currency exchange Low domestic inflation Limited or no balance of payments deficits Institutional transparency Limited size of economic actors Predictable exchange rate policy Similar Management Structure to World Bank, except…:  Similar Management Structure to World Bank, except… Russia, Saudi Arabia, and China also have seats on the Executive Board The top manager is called the “Executive Director” Funding is through a “quota” system in which members provide capital based on economic size. The US provides 17.5% of funding; Japan 6.5%; China 3.02%; and Palao provides 0.001%. Special Drawing Rights (SDRs):  Special Drawing Rights (SDRs) Created because of a concern of insufficient liquidity to support the expansion of global trade. Sometimes referred to as “paper gold” Market basket currency based on the US$, Euro, Yen, UK Pound SDRs are a reserve currency held by central banks. Can be used in transactions across nations, with 16 institutional holders and with the IMF Types of IMF Assistance:  Types of IMF Assistance Stand-by Arrangements and Supplemental Reserve Facility Generally designed to help with short-term BoP problems and market confidence issues Extended Fund Facility (3-4 years) Assistant with longer term BoP issues, typically linked to structural adjustment Poverty Reduction and Growth Facility Subsidized interest rates for poorest countries with longer terms Emergency Facility Generally to deal with short-term issues created by natural disasters or to respond to the end of military conflicts

Related presentations


Other presentations created by Teresa1

cairine macdonald fmi5
16. 04. 2008
0 views

cairine macdonald fmi5

Renewable Energy LCHS
23. 01. 2008
0 views

Renewable Energy LCHS

sampling
30. 01. 2008
0 views

sampling

reduceusecycle
09. 01. 2008
0 views

reduceusecycle

aaquilts
10. 01. 2008
0 views

aaquilts

volkman
12. 01. 2008
0 views

volkman

berlin nightlife
15. 01. 2008
0 views

berlin nightlife

rec10induction
16. 01. 2008
0 views

rec10induction

FIRO B Lecture
17. 01. 2008
0 views

FIRO B Lecture

AAPC Training Faith Partners
13. 01. 2008
0 views

AAPC Training Faith Partners

OSHA Flammables 1
18. 01. 2008
0 views

OSHA Flammables 1

rules of origin english
22. 01. 2008
0 views

rules of origin english

FinalP
22. 01. 2008
0 views

FinalP

Alexander Graham Bell
24. 01. 2008
0 views

Alexander Graham Bell

Life Ch14 Animal Behavior
04. 02. 2008
0 views

Life Ch14 Animal Behavior

VOIP pres
04. 02. 2008
0 views

VOIP pres

LA Dept WLF
08. 01. 2008
0 views

LA Dept WLF

CPCB LK
12. 02. 2008
0 views

CPCB LK

dlove
17. 01. 2008
0 views

dlove

Sparks
19. 01. 2008
0 views

Sparks

FDI ENGLISH
29. 01. 2008
0 views

FDI ENGLISH

mt qbs
20. 02. 2008
0 views

mt qbs

11940 upload 00001
15. 01. 2008
0 views

11940 upload 00001

Hobart2 SIDS Afternoon
29. 02. 2008
0 views

Hobart2 SIDS Afternoon

photo presentation
03. 03. 2008
0 views

photo presentation

Rotary YE Training
14. 03. 2008
0 views

Rotary YE Training

Lecture4a
15. 03. 2008
0 views

Lecture4a

sym12 36j
16. 03. 2008
0 views

sym12 36j

euro disney final
19. 03. 2008
0 views

euro disney final

Central and Eastern Africa
02. 04. 2008
0 views

Central and Eastern Africa

vaidya
08. 04. 2008
0 views

vaidya

Found of Rec pres
17. 04. 2008
0 views

Found of Rec pres

download399
09. 01. 2008
0 views

download399

20071127120480
11. 01. 2008
0 views

20071127120480

32 charles
18. 04. 2008
0 views

32 charles

HMICPresentationInFr ance
21. 04. 2008
0 views

HMICPresentationInFr ance

1 Peter Lesson 14 Final
22. 04. 2008
0 views

1 Peter Lesson 14 Final

Demens
06. 02. 2008
0 views

Demens

ICN DTF Dec 2007 Darren Hill
24. 04. 2008
0 views

ICN DTF Dec 2007 Darren Hill

foregrounding no anim
13. 01. 2008
0 views

foregrounding no anim

annchppt
17. 01. 2008
0 views

annchppt

OverviewIntlTrade
07. 05. 2008
0 views

OverviewIntlTrade

ISSP 2007
22. 01. 2008
0 views

ISSP 2007

reading listening
30. 04. 2008
0 views

reading listening

structureslide
02. 05. 2008
0 views

structureslide

No Strings
02. 05. 2008
0 views

No Strings

26b theoriginoflife
28. 01. 2008
0 views

26b theoriginoflife

dyn supply chains
28. 01. 2008
0 views

dyn supply chains

Woodcuts
05. 02. 2008
0 views

Woodcuts

kolesnik
14. 02. 2008
0 views

kolesnik

Using CAS with Acegi
30. 01. 2008
0 views

Using CAS with Acegi

3hc241jto8twxns
12. 02. 2008
0 views

3hc241jto8twxns

ICSB2002 Section 1 Slides
03. 03. 2008
0 views

ICSB2002 Section 1 Slides

Andy Barraclough presentation
18. 02. 2008
0 views

Andy Barraclough presentation

June2003
15. 04. 2008
0 views

June2003

collq01
25. 02. 2008
0 views

collq01

LBL CEC Presentation 2005 03 16
23. 01. 2008
0 views

LBL CEC Presentation 2005 03 16

Mt Rainier Slide Show
05. 02. 2008
0 views

Mt Rainier Slide Show

Minow Privacy Libraries
24. 03. 2008
0 views

Minow Privacy Libraries