Caribbean Trade Law and Development

Tag: Ngozi Okonjo Iweala

  • WTO: New DG Okonjo-Iweala officially assumes office and delivers maiden speech

    WTO: New DG Okonjo-Iweala officially assumes office and delivers maiden speech

    Alicia Nicholls

    On March 1, 2021, and after a protracted selection period, the World Trade Organization (WTO)’s seventh and first female Director-General, Dr. Ngozi Okonjo-Iweala officially took office. A world -respected finance expert and development economist, Dr. Okonjo-Iweala further makes history by being the first DG from the African continent.

    In her maiden speech, the new DG acknowledged the high expectations attendant with her assumption of office. While noting she would do her utmost to move the organisation forward, she rightly indicated that as a membership-driven organisation cooperation of its 164 members was needed. As such, she implored Members that “high expectations of my leadership also means that I have high expectations of you to help me deliver”.

    As is widely acknowledged, Dr. Okonjo-Iweala assumes directorship of the WTO at a critical time in that organisation’s over two decades-long history. She will be leading an organisation which is fighting fires on several fronts and faces questions of its continued relevance given its stalemated negotiations function and defunct Appellate Body. The new DG reiterated to Members that “it cannot be business as usual”.

    Outlining some of the priorities Members had indicated to her, she urged the need to “work hard to complete a few deliverables before MC12 so that Ministers can focus on ratifying agreements and agreeing best methods for implementation”. In particular, she cited the “the need to prioritize action on COVID-19 both for the immediate and longer term and focus on completing Fisheries Subsidies negotiations before the middle of the year”.

    She also recommended that “three or four clear deliverables” be finalized before the WTO’s overdue Twelfth Ministerial Conference. (MC12). MC12 was originally to be held in Kazakhstan in 2020 but was postponed due to the COVID-19 pandemic. At the General Council meeting on March 1, WTO members decided that MC12 will take place “in the week of 29 November 2021” in Geneva, Switzerland.

    The new DG also drew attention to the unequal global distribution of COVID-19 vaccines, in which many poor countries lag behind rich countries in accessing doses for their citizens. She noted her hope to be able to “initiate a dialogue and information exchange between us and representatives of manufacturers associations from developing and developed countries”.

    Dr. Okonjo-Iweala’s term of office will expire on August 25, 2025 and is renewable for one more term. Read her full speech here.

    We at the CTLD Blog take this opportunity to congratulate Dr. Okonjo-Iweala and wish her a successful tenure.

    Alicia Nicholls, B.Sc., M.Sc., LL.B. is a trade and development consultant with a keen interest in sustainable development, international law and trade. All views herein expressed are her personal views and should not be attributed to any institution with which she may from time to time be affiliated. You can read more of her commentaries and follow her on Twitter @LicyLaw.

  • WTO DG Race: Okonjo-Iweala secures Biden-Harris support

    WTO DG Race: Okonjo-Iweala secures Biden-Harris support

    Alicia Nicholls

    After several weeks of speculation over whether it would maintain the United States (US) objection to the selection of Dr. Ngozi Okonjo-Iweala as the next Director-General of the World Trade Organization (WTO), the Biden-Harris Administration this afternoon announced that it is in support of the world renowned development economist’s selection to the post.

    In a statement released this evening on the website of the United States Trade Representative (USTR), it was noted that:

    The Biden-Harris Administration is pleased to express its strong support for the candidacy of Dr. Ngozi Okonjo-Iweala as the next Director General of the WTO.  Dr. Okonjo-Iweala brings a wealth of knowledge in economics and international diplomacy from her 25 years with the World Bank and two terms as Nigerian Finance Minister.  She is widely respected for her effective leadership and has proven experience managing a large international organization with a diverse membership.  

    USTR Statement of February 5, 2021

    Last year, after what seemed to be consensus around Dr. Okonjo-Iweala’s selection, the US (then under the Trump Administration) objected to, and effectively blocked her appointment, citing her limited experience in international trade compared to the other finalist, South Korea Minister of Trade, Yoo Hyung-Hee. Immediately before leaving office, then outgoing USTR Robert Lighthizer doubled down on his objection to her appointment, saying it would be a “mistake”.

    This decision by the Biden-Harris Administration, hopefully, clears the way for the appointment of Dr. Okonjo-Iweala who would become not just the organisation’s first black and first female Director General, but its first from the African continent. A Nigerian born and internationally respected development economist who is also a naturalised US citizen, Dr. Okonjo-Iweala will bring to the post of WTO DG a wealth of experience and knowledge in tackling development issues at the national and global levels, international diplomacy and finance. Among other things, she previously served as Nigeria’s Minister of Finance for two terms where she championed several reforms, as well as second-in-command (Managing Director) at the World Bank. She currently serves as board chair of GAVI, the Vaccine Alliance, as well as sits on the boards of several other international agencies.

    The USTR statement also lauded the credentials of Minister Yoo who withdrew her bid for the WTO’s top post.

    The full statement may be accessed here.

    Image source: Wikipedia

  • WTO on track to select first female Director-General

    WTO on track to select first female Director-General

    Alicia Nicholls

    The World Trade Organization (WTO) is on track to select its first female Director-General (DG). Out of an original field of eight candidates which was later narrowed down to five, the two finalists for consideration to become the global trade watchdog’s seventh Director-General are Nigeria’s Dr. Ngozi Okonjo-Iweala and South Korea’s  Yoo Myung-hee.

    If either candidate wins the support of the WTO’s diverse membership of 164, it will be the organisation’s first female DG after a quarter century of existence.

    Who are the finalists?

    Both women are highly qualified and experienced in the political and international relations fields, although their areas of expertise differ. Dr. Ngozi Okonjo-Iweala, who has both Nigerian and US citizenship, has not only held ministerial portfolios in Nigeria, but also spent many years as an economist at the World Bank where she eventually rose to the position of Managing Director – the Washington-based institution’s second highest position. If selected, Dr. Okonjo-Iweala would be the first African to lead the WTO. She beat out fellow African country nominees, Ms. Amina Mohamed of Kenya and Mr. Abdel-Hamid Mamdouh of Egypt who had been among the eight original candidates. Ms. Mohamed, however, had been among the five candidates to advance to the second round.

    Ms. Yoo Myung-hee is a lawyer and South Korea’s current Minister of Trade and brings twenty-five years of career experience in the international trade field. She was involved in several key negotiations including the Korea-China Free Trade Agreement, the renegotiation of the Korea-US FTA (KORUS) and the on-going Regional Comprehensive Economic Partnership (RCEP). If selected, she would be the second Asian to hold the WTO’s top position, after Thailand’s Supachai Panitchpakdi held the post from 2002-2005.

    The DG selection process commenced shortly after then DG Roberto Azevedo’s surprise announcement that he would be demitting office a full year before his second and final term was due to expire. The process is currently in its third and final round of consultations and the final selection is set to occur by early November once Members can agree on whom they prefer.

    What does it all mean?

    The prospect of a female WTO DG is, of course, a progressive, symbolic and promising step for an institution which is one of the most important in the global economic governance architecture.

    However, symbolism aside, regardless of whichever candidate eventually emerges victorious, she will have a monumental task on her hands. That is, she will have to help save an organization which is badly in need of reform and facing mounting pressure and criticism from once staunch advocates of the multilateral trading system.

    Some of the many issues include the stalled negotiations function, the current Appellate Body impasse, threats of a US exit from the WTO if incumbent US President Donald Trump wins the November presidential elections, US-China tensions, and growing disagreement among members over the current model of ‘special and differential treatment’.

    Moreover, it should be recalled that the post of Director-General has few executive powers. The WTO is a Member-driven organisation, meaning that the eventual DG will have to frequently harness her soft power for any progress to be made in addressing the myriad of issues affecting the organization. As such, while technical knowledge and experience are important, perhaps doubly important would be each finalists’ skills of negotiation and capability of inspiring the trust, goodwill and confidence of the WTO’s membership.

    May the best woman for the task win!

    Alicia Nicholls, B.Sc., M.Sc., LL.B. is a trade and development consultant with a keen interest in sustainable development, international law and trade. All views herein expressed are her personal views and should not be attributed to any institution with which she may from time to time be affiliated. You can read more of her commentaries and follow her on Twitter @LicyLaw.