How global governance can help nations to deal with global problems

By Erika Mann

Globalisation as a world-wide phenomenon

Globalisation is an intermittent process. Its impact may differ from time to time, but it
always brings the economic, political, social and cultural aspects of society to the global
level. Simultaneously, it continues to demonstrate new traits on an almost-daily basis and
is constantly exposed to new events. For example, the terrorist attacks of September 11th
2001 have left a profound impact on the international agenda of global negotiations and
economic agreements. This has particularly highlighted the need for a global strategy for
security.
The implications of globalisation are perceivable to all. The global opening of markets
promotes a free circulation of goods and money, as well as other world-wide services.
Many individuals, enterprises and states stand to gain from this process. They will enjoy
global offers of goods, services, capital and manpower, and ultimately, a higher standard
of living.
Yet, globalisation is not always considered a blessing. The WTO rounds of recent years
reflect the growing concern and discontent, surrounding the issue of globalisation. People
feel exposed to and threatened by a process they have no influence over, and fear being
sacrificed in a global competition that is beyond their comprehension. In particular, a
number of developing nations dread lagging even further behind the developed countries,
as a result of having to combat international duties and other trade barriers, and
consequently being excluded from the global growth.
The process of globalisation therefore implies opportunities and risks. The question is not
how to stop or avoid it. Rather, it should be how to take full advantage of the benefits of
globalisation, while working to minimise its negative effects. Ensuring that global
markets benefit ordinary people will accomplish this.

International organisations
Global governance stresses on co-operative forms of conflict management between
countries, multinational institutions, economic systems, forms of media and civic
societies. Given the growing number of domestic and cross-border activities and their
external effects, international relations have become so complex that many global issues
now have to be managed complementarily by national governments and international
organisations.
International organisations and agreements like the World Bank, the International
Monetary Fund and the WTO, and their regional counterparts, such as the EU and
NAFTA, have to establish and develop a set of rules to satisfy the needs of both
developed and developing countries. While it may not always be easy, the WTO
contributes to global governance by attempting to offer a constructive platform for the
settlement of trade disputes between nations.

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Nevertheless, such institutions are often wrought with conflicts of interest among
member states, and their structures require constant review and update. Thus, these
organisations undergo constant change and need time to solidify their legitimacy among
citizens.

Representing the citizens

One measure to ensure that the representation of civic society is not limited to
governments within the multilateral framework of the WTO, could be to create a
parliamentarian body affiliated to the WTO. This "assembly" or "forum" would be
responsible for monitoring WTO activities and would serve as an additional "porte-
parole" of the citizens in the WTO discourse. This would facilitate a regular exchange
between parliamentarians from the WTO Member States, which in turn could help
increase the level of transparency of WTO discussions and agreements.
However, transparency alone cannot address the concerns of globalisation and fears of
exclusion. Internal improvements must also be implemented. As globalisation challenges
social and economic life at every level, global competition forces nations to rethink their
economic and political approaches and reshape their policies.
Several developing countries will have to reorganise their domestic politics and their
regional economic orientation to address the issue of internal democracy. However, it
should be stressed that the notion of “democracy” is not universal and has to be adpated
accordingly to the structures and characteristics of the society it is being applied to.
Additionally, to level the playing field in global negotiations, capacity-building must also
take place in developing countries; more developed countries should support capacity-
building initiatives by providing the necessary information and financial aid, beyond
what already exists. Increased project-sharing between international organisations should
also be encouraged.
These issues must be dealt with carefully and in a very differentiated way. Still, such
actions serve to increase the level of civic inclusiveness and ensure the transparency of
multilateral institutions like the WTO. After all, since the WTO and other international
bodies are still intergovernmental organisations, any substantive reform that is to find
success must begin at the national level, and be initiated and implemented by member
states.

Global governance and national sovereignty

Clearly then, global governance does not necessarily undermine the sovereignty of
national states. On the contrary, global governance helps nations to retain and develop
their capacity to deal with global problems, which they stand to lose in the process of
globalisation.

Erika Mann is a Member of the European Parliament (Socialist Group)

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