Multilateralism

In a recent podcast with Lex Fridman, Prime Minister Narendra Modi criticized multilateral organisations, especially the United Nations, for their inability to contain international conflicts.

• The Trump administration’s “America First” policy has led to a shift away from multilateralism and international law.

U.S. Shift to Isolationism

• ‘America First’ Policy: Prioritizes national interests over international commitments.
• Unilateral Withdrawals:
  • World Health Organization (WHO)
  • UN Human Rights Council (UNHRC)
  • Paris Climate Agreement
  • Sanctions against the International Criminal Court (ICC)
• DEFUND Act: Proposed by Republican Senator Mike Lee, aims to:
  • Withdraw the U.S. from the United Nations.
  • Repeal the United Nations Participation Act (1945) and UN Headquarters Agreement (1947).
  • Stop U.S. contributions to UN peacekeeping and revoke immunity of UN officials.

About Multilateralism

• Definition:  Multilateralism is a system of coordinating relations between three or more states based on agreed principles, where no single party dominates the decision-making process​.
• Core Principles:
  • Indivisibility of Interests: A collective interest that transcends individual national interests.
  • Diffuse Reciprocity: Benefits are not always immediate or direct but are expected to balance over time.
  • Dispute Settlement: Mechanisms to ensure compliance and address grievances​.

Role of the U.S. in Multilateral Organizations

• Major Financial Contributor to Global Institutions: The U.S. is the largest financial contributor to the United Nations (UN), covering around 22% of the UN’s regular budget and 25% of peacekeeping operations.
  • It also funds key specialized agencies like WHO, UNESCO, and UNICEF, giving it leverage over global initiatives.
• Dominance in Bretton Woods Institutions: The U.S. holds 16.5% of voting power in the International Monetary Fund (IMF) and World Bank, effectively granting it veto power over major decisions.
  • The IMF and World Bank often reflect U.S. policy priorities, shaping global economic governance.
• Institutional Influence in WTO and Global Trade: The U.S. has played a leading role in the World Trade Organization (WTO), shaping global trade rules.
• Leadership in Climate Action and Global Health: The U.S. rejoined the Paris Climate Agreement in 2021, reaffirming its commitment to global climate governance.
  • It is a key funder of global health initiatives like GAVI and the Global Fund, contributing billions to combat pandemics and improve global health security.
• Security and Peacekeeping Influence: As a permanent member of the UN Security Council (UNSC), the U.S. wields veto power over key resolutions, influencing global security decisions.
  • It remains a major contributor to NATO and UN peacekeeping missions, although recent trends have shown reduced enthusiasm for such roles.
• Selective Engagement and Unilateralism: The U.S. has withdrawn from multilateral agreements such as the Iran Nuclear Deal (JCPOA) and previously exited the WHO and UNHRC, undermining multilateral cooperation.

Impact of U.S. Shift on Multilateralism

• Withdrawal from International Institutions: Weakening of global climate action frameworks and public health coordination.
  • Undermined trust in U.S. leadership in global governance, leading other nations to step up in climate and health diplomacy (e.g., EU, China).
• Sanctions and Attack on the International Criminal Court (ICC): Undermined the legitimacy of international legal institutions that ensure accountability for grave human rights violations.
• Blockade on WTO Dispute Settlement Mechanism: Created a crisis in the global trade dispute resolution system, undermining trust in WTO mechanisms.
  • The WTO is now facing an “existential crisis” as trade disputes remain unresolved.
• Introduction of Protectionist Policies and Trade Wars: Undermined the rules-based trading system established under GATT/WTO. Increased uncertainty for developing nations dependent on global trade.
  • The U.S. imposed high tariffs on steel and aluminum imports under Section 232 of the Trade Expansion Act, citing national security concerns.
• Threat to United Nations and Peacekeeping Missions: Undermined U.S. influence within the UN and weakened global peace efforts.
  • Shifted the burden of maintaining global peace and security to other countries, particularly European and Asian nations.
• Rise of Alternative Multilateral Frameworks: Weakened the Western-dominated international order, creating space for China and Russia to expand their influence.
  • U.S. disengagement from multilateral frameworks has led to the rise of alternative groupings like BRICS, SCO (Shanghai Cooperation Organization), and regional initiatives like the Regional Comprehensive Economic Partnership (RCEP)​.

Impact of Shift Towards Unilateralism on International Law and Accountability

• Erosion of International Legal Norms: Sets a precedent where powerful states can evade international legal scrutiny.
  • Erodes the authority of international institutions tasked with upholding justice and accountability.
• Undermining Multilateral Accountability Mechanisms: Weakens international human rights enforcement mechanisms, allowing violators to evade scrutiny.
  • The U.S. withdrawal from the UN Human Rights Council (UNHRC) in 2018, citing bias, weakened the Council’s legitimacy and reduced its influence in addressing global human rights violations.
• Marginalization of the United Nations and Security Council: Undermines the principle of collective action under Chapter VII of the UN Charter, which grants the UNSC authority over the use of force.
  • Unilateral U.S. military actions in Syria (2017 and 2018) bypassed the UN Security Council (UNSC), undermining the UN’s authority in maintaining global peace.
• Disruption of WTO Dispute Settlement Mechanism: Countries unable to resolve disputes through the WTO are resorting to unilateral retaliatory actions.
  • A dysfunctional dispute settlement system leads to increased uncertainty in global trade.
• Increased Use of Unilateral Sanctions and Coercive Diplomacy: Weakens the credibility of negotiated agreements when one party unilaterally exits and imposes sanctions.
  • The U.S. imposed unilateral sanctions on Iran after withdrawing from the Joint Comprehensive Plan of Action (JCPOA) in 2018, despite Iran’s compliance as verified by the IAEA.

Opportunities for Non-Western Nations

• Assumption of Leadership in Global Governance
  • Shaping Global Norms: Non-Western nations can promote a multipolar world order by advocating for equitable and inclusive global governance.
  • Strengthening Regional Frameworks: Greater influence in shaping the global agenda through non-Western alliances and regional groupings.
• Push for UNSC Reform and Greater Representation
  • Permanent Seats for Emerging Powers: Growing calls for UNSC reform offer non-Western nations a chance to secure permanent membership with veto power.
  • Democratizing Global Decision-Making: Reforming the UNSC would allow underrepresented regions like Asia, Africa, and Latin America to have a stronger voice in global security matters.
• Strengthening Regional Trade and Economic Frameworks
  • Economic Leadership in Regional Trade: Non-Western nations can leverage regional agreements to build economic resilience and reduce dependence on Western-dominated trade systems.
  • Reducing Vulnerability to Western Sanctions: Strengthened regional trade frameworks reduce the economic impact of Western-imposed sanctions.
• Promoting Indigenous Technological and Digital Ecosystems
  • Reduction of Technological Dependence: By developing their own digital ecosystems, non-Western nations can reduce reliance on Western technology.
  • Leadership in Digital Governance: Non-Western nations can play a pivotal role in shaping global digital governance frameworks, including AI, cybersecurity, and data privacy.
• Expansion of Alternative Multilateral Frameworks
  • Creation of Parallel Multilateral Institutions: Non-Western nations can build alternative frameworks that challenge Western-dominated institutions like the IMF and World Bank.
  • Influence on Global Policy Agendas: These institutions offer a platform for advancing the interests of the Global South and shaping new norms in areas like climate, trade, and technology.
• Advocating for a Fairer Global Financial System
  • Diversifying Global Financial Architecture: Non-Western nations can create and promote alternative financial mechanisms that provide equitable financing for developing countries.
  • Reducing Dependence on IMF/World Bank: Strengthened non-Western financial institutions reduce reliance on Western-dominated financial structures, offering fairer lending terms.

India’s Multilateral Strategy: Historical Phases

Phase 1: High-Decibel Universalism (1947–1960)

• Support for Decolonization: India actively supported the decolonization movement in Asia and Africa.
• Champion of Global Disarmament: India advocated for nuclear disarmament and a ban on nuclear weapons.
  • Proposed the Comprehensive Nuclear-Test-Ban Treaty (CTBT) and called for a peaceful resolution of conflicts.
• Faith in UN Mechanisms: India sought to resolve international disputes through UN mediation.
  • Actively contributed to UN peacekeeping missions in Korea, Congo, and the Middle East.

Phase 2: Regime Shifting (1961–1991)

• Formation of the Non-Aligned Movement (NAM): India, along with Yugoslavia, Egypt, Indonesia, and Ghana, founded NAM in 1961 to promote neutrality in the Cold War.
• Creation of G-77: In 1964, India played a pivotal role in establishing the Group of 77 (G-77), a coalition of developing nations aimed at promoting economic cooperation.
• South-South Cooperation: India promoted South-South cooperation to foster economic and technical collaboration among developing nations.
• Critique of Global Financial Institutions: India criticized the Bretton Woods Institutions (IMF and World Bank) for perpetuating Western dominance and advocated for reforms.

Phase 3: Multi-Alignment (Post-1991)

• Participation in Emerging Multilateral Forums:
  • G20 Membership (1999): India joined the G20 to engage with the world’s largest economies and shape the global financial agenda.
  • BRICS (2009): India became a founding member of BRICS (Brazil, Russia, India, China, South Africa), advocating for reform of global institutions and strengthening South-South cooperation.
• Strategic Role in Indo-Pacific through QUAD:
  • QUAD Formation (2007, revived in 2017): India engaged with the U.S., Japan, and Australia to promote a free, open, and inclusive Indo-Pacific.
• Climate Leadership through International Solar Alliance (ISA): Launched by India in 2015, ISA promotes solar energy adoption among developing nations to combat climate change.
• Engagement with Regional and Global Institutions: India continues to play an active role in UN peacekeeping operations and advocates for reform of the UNSC.
  • Engages with ASEAN, African Union, and other regional groupings to promote connectivity and development.

India’s Road to Global Leadership

• UNSC Reform and Greater Representation: India advocates for permanent membership in the UN Security Council (UNSC) to reflect its geopolitical and economic stature.
• Championing South-South Cooperation: India promotes Global South solidarity through platforms like NAM, IBSA, and BRICS to advance developing nations’ interests.
• Leadership in Climate Action: India leads initiatives like the International Solar Alliance (ISA) and champions climate justice, emphasizing sustainable development.
• Shaping Global Digital Governance: India pushes for digital sovereignty and frameworks for AI, data privacy, and cybersecurity through G20 and other platforms.
• Regional Connectivity and Trade: Through QUAD, SCO, and ASEAN, India enhances regional trade, maritime security, and connectivity.
• Building Alternative Financial Institutions: India supports reforms in the IMF, World Bank, and fosters alternative financial structures like the New Development Bank (NDB).

Flaws in Global Institutions

• Unrepresentative UNSC Structure: UNSC’s structure marginalizes large parts of the Global South.
  • Veto power often leads to policy paralysis on issues like Syria and Ukraine.
• Dominance of Western Powers in Bretton Woods Institutions: Developing countries have minimal influence in decision-making.
  • IMF’s loan conditions often impose austerity measures that harm local economies.
• Crisis in WTO Dispute Settlement System: Countries resort to unilateral retaliatory actions, increasing global trade uncertainty.
  • Smaller economies lose a platform to challenge unfair trade practices.
• Ineffectiveness of UN Peacekeeping and Conflict Resolution: Weak mandates and inadequate resources lead to ineffective conflict management.
  • Repeated failures reduce trust in the UN’s capacity to maintain global peace.
• Weak Enforcement of International Law: Limited enforcement mechanisms undermine the credibility of international law.
  • Powerful nations often escape accountability, weakening the principle of equal application of international norms.
• Inadequate Action on Climate Change: Voluntary targets result in inconsistent commitments, slowing global progress.
  • Small island nations and developing countries suffer disproportionate consequences of climate inaction.
• Digital Divide and Inequality in Global Digital Governance: Lack of representation in global digital governance leads to policies that favor advanced economies.
  • Uneven access to technology perpetuates global disparities.

Way Forward for India and the World

• Pushing for UNSC Reform and Inclusive Global Governance: Advocate for UN Security Council (UNSC) reform to reflect contemporary global realities.
  • Strengthen G4 alliance (India, Brazil, Japan, Germany) and engage African nations for a unified call for reform.
• Reforming Global Financial Institutions: Promote a fairer global financial architecture that gives developing nations a greater voice.
  • Push for increased voting rights for developing nations in the IMF and World Bank and strengthen alternative mechanisms like the New Development Bank (NDB).
• Leading Climate Action and Sustainable Development: Champion climate justice and technology transfer for developing nations.
  • Expand the reach of the International Solar Alliance (ISA) and push for increased climate finance for vulnerable nations.
• Shaping Global Digital Governance: Advocate for equitable digital governance frameworks to address AI, cybersecurity, and data privacy.
  • Leverage India’s G20 leadership to create inclusive global norms for emerging technologies.
• Enhancing South-South Cooperation: Deepen South-South partnerships through platforms like IBSA, BRICS, and NAM.
  • Promote economic cooperation and knowledge-sharing to advance Global South interests.
• Strengthening Regional Security and Connectivity: Bolster regional security and economic ties, especially in the Indo-Pacific and Central Asia.
  • Deepen engagement through QUAD, SCO, and ASEAN, ensuring regional stability and connectivity.

Conclusion

India must develop its own brand of multilateralism, focusing on its neighborhood and the Global South. India’s road to global leadership will pass through South Asia, emphasizing the importance of regional cooperation and international law.