Global Systems and Governance Fact Sheet
What / Who affects Global Systems:
➔ IMF (International Monetary Fund)
◆ Alongside the World Bank, it helps to facilitate the global financial system by
regulating financial flows and stabilizing the global system.
◆ Always has a European managing director
◆ It provides loans as a last resort to prevent an economic crisis, by tackling the
balance of payments problems to stabilize national economies.
➔ World Bank
◆ Provides support for developing countries with the aim of reducing poverty
◆ Has funded controversial top-down schemes for hydroelectric power plants in
developing countries that don’t necessarily reduce poverty, and TNC’s benefit
HIC’s rather than the host country due to leakages.
◆ Always has an American president
➔ WTO (World Trade Organisation)
◆ Deals with the rules of trade between nations to facilitate international trade.
◆ Encourage trade by reducing tariffs and liberalising trade to overcome regulatory
barriers (such as trading blocs or protectionist policies).
◆ Provide stability by giving trade nations confidence that policies will not change.
◆ Holds rounds addressing particular issues
● 1986-1994: Uruguay Round - reducing barriers for trading manufactured
industrial goods
● 2001 - Doha Development Agenda, with the aims being 30% reduced
tariffs and reduction in subsidies paid to HIC’s to benefit NEE’s, reduce
food prices for NEE’s and provide fairer food prices for farmers.
● Despite this, Doha failed because the USA, EU, and Japan wanted to
export more to NEE’s, but NEE’s wanted cuts in tariffs to protect farmers.
There was no compromise, so talks collapsed.
● There was a success as a bilateral agreement was made between the EU
and Latin America for the trade of bananas
● Also in Bali, 2013, a multilateral agreement was made to speed up and
reduce the costs of moving goods - providing confidence.
➔ UNEP (United Nations Environment Program)
◆
➔ Earth Summit (Rio 1992) - Overseen by United Nations Convention on Climate
Change (UNFCCC)
◆ Responsible for overseeing negotiations on greenhouse gas reductions,
responsible for the atmospheric global common.
◆ Earth Summit set out Agenda 21 - a voluntary action plan to develop strategies
for long-term sustainable development
◆ 10 years later, in Johannesburg, world leaders met to focus on meeting global
challenges
◆ Summits are held to reinvigorate the global commitment to sustainable
What / Who affects Global Systems:
➔ IMF (International Monetary Fund)
◆ Alongside the World Bank, it helps to facilitate the global financial system by
regulating financial flows and stabilizing the global system.
◆ Always has a European managing director
◆ It provides loans as a last resort to prevent an economic crisis, by tackling the
balance of payments problems to stabilize national economies.
➔ World Bank
◆ Provides support for developing countries with the aim of reducing poverty
◆ Has funded controversial top-down schemes for hydroelectric power plants in
developing countries that don’t necessarily reduce poverty, and TNC’s benefit
HIC’s rather than the host country due to leakages.
◆ Always has an American president
➔ WTO (World Trade Organisation)
◆ Deals with the rules of trade between nations to facilitate international trade.
◆ Encourage trade by reducing tariffs and liberalising trade to overcome regulatory
barriers (such as trading blocs or protectionist policies).
◆ Provide stability by giving trade nations confidence that policies will not change.
◆ Holds rounds addressing particular issues
● 1986-1994: Uruguay Round - reducing barriers for trading manufactured
industrial goods
● 2001 - Doha Development Agenda, with the aims being 30% reduced
tariffs and reduction in subsidies paid to HIC’s to benefit NEE’s, reduce
food prices for NEE’s and provide fairer food prices for farmers.
● Despite this, Doha failed because the USA, EU, and Japan wanted to
export more to NEE’s, but NEE’s wanted cuts in tariffs to protect farmers.
There was no compromise, so talks collapsed.
● There was a success as a bilateral agreement was made between the EU
and Latin America for the trade of bananas
● Also in Bali, 2013, a multilateral agreement was made to speed up and
reduce the costs of moving goods - providing confidence.
➔ UNEP (United Nations Environment Program)
◆
➔ Earth Summit (Rio 1992) - Overseen by United Nations Convention on Climate
Change (UNFCCC)
◆ Responsible for overseeing negotiations on greenhouse gas reductions,
responsible for the atmospheric global common.
◆ Earth Summit set out Agenda 21 - a voluntary action plan to develop strategies
for long-term sustainable development
◆ 10 years later, in Johannesburg, world leaders met to focus on meeting global
challenges
◆ Summits are held to reinvigorate the global commitment to sustainable
