Functions of World Trade Organization (WTO)
World trade Organization (WTO) provides the principal contractual obligations determining how governments frame and implement on domestic trade legislation and regulations. The purpose of the WTO is to ensure that global trade commences smoothly, freely and predictably. The WTO creates and embodies the legal ground rules for global trade among member nations and thus offers a system for international commerce. Based in Geneva, Switzerland, in the same building where GATT was located. It’s essential functions are:
- Administering and implementing the multilateral and plurilateral trade agreement which together constitutes the WTO.
- To provide symposium for dialogues among members nations regarding multilateral trade relations in matters delineated in the agreements.
- Acting as a forum for multilateral trade negotiations.
- Resolution of trade disputes.
- Overseeing national trade policies.
- Administering the understanding on rules and procedures governing the settlement of disputes.
- Co-operating with other international institutions involved in global economic policy making.
- Administering the trade review-mechanism in relation to international trade.
- Cooperating with international institutions such as IMF and IBRD and its affiliated agencies involved in global policy making.