Global Nexus

Exploring Regional Groupings & the Architecture of Global Governance

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Introduction & Overview

Global Governance

Refers to the complex processes and institutions, formal and informal, that guide collective action to address global challenges in the absence of a world government. It encompasses norms, rules, institutions, and practices that regulate global affairs.

Regional Groupings

Associations of states within a particular geographical area, formed for political, economic, or security cooperation. They serve as sub-global governance structures, often reflecting shared interests or proximity.

Both global governance mechanisms and regional groupings play increasingly crucial roles in shaping international relations, addressing trans-boundary issues like climate change, pandemics, terrorism, and economic stability. The United Nations stands as the preeminent global institution, while various regional bodies like the EU, ASEAN, and financial institutions like the IMF and World Bank, contribute to this multi-layered governance architecture. Understanding their objectives, functioning, challenges, and India's engagement with them is vital for UPSC aspirants.

Core Content: Key Players & Structures

3.4.1: The United Nations (UN)

The UN, established on October 24, 1945, after World War II, is the most prominent international organization. Its founding charter outlines its aims to maintain international peace and security, foster friendly relations among nations, achieve international cooperation, and be a center for harmonizing the actions of nations.

Objectives & Principles

Objectives:

  • To maintain international peace and security.
  • To develop friendly relations among nations.
  • To achieve international co-operation in solving global problems.
  • To be a centre for harmonizing the actions of nations.

Principles (Article 2, UN Charter):

  • Sovereign equality of all Members.
  • Fulfill obligations in good faith.
  • Settle disputes by peaceful means.
  • Refrain from threat or use of force.
  • Give UN every assistance.
  • Ensure non-Members act in accordance with Principles (for peace).
  • Non-intervention in domestic jurisdiction.
Major Organs
  • General Assembly (UNGA): Main deliberative, policymaking, representative organ. All 193 Member States.
  • Security Council (UNSC): Primary responsibility for peace & security. 15 Members (5 P5 with veto, 10 non-permanent).
  • International Court of Justice (ICJ): Principal judicial organ, The Hague. Settles legal disputes between states.
  • Economic and Social Council (ECOSOC): Coordination, policy review on economic, social, environmental issues. 54 members.
  • Secretariat: Headed by Secretary-General. Carries out day-to-day work.
  • Trusteeship Council: (Largely defunct since 1994).
Organ Key Function Members / Composition HQ
UNGA Main deliberative, policymaking 193 Member States New York
UNSC International peace & security 15 (5P with Veto + 10 E) New York
ICJ Judicial; settles legal disputes btwn states 15 Judges The Hague
ECOSOC Economic, social, environmental cooperation 54 elected members New York
Secretariat Administrative; supports other organs Sec-General & staff New York

Current Affairs Link:

The Ukraine conflict has further highlighted the limitations of the UNSC due to Russia's veto. India, during its 2021-2022 non-permanent membership, actively pushed for "reformed multilateralism."

3.4.1.2: UN Peacekeeping Operations and Humanitarian Interventions

UN Peacekeeping Operations
  • Evolved as a practical tool, not explicitly in Charter.
  • Deployed with host country consent and UNSC resolution.
  • Core principles: Consent, Impartiality, Non-use of force (except self-defense).
  • India is one of the largest and most consistent troop contributors.
  • Challenges: Resources, unclear mandates, politicization, SEA.
  • Recent focus: Protection of Civilians (PoC).
Humanitarian Interventions & R2P

Use of force in another state without consent to prevent grave human rights violations. Highly controversial.

Responsibility to Protect (R2P) - 3 Pillars (2005):

  1. State's primary responsibility to protect its populations.
  2. International community's responsibility to assist states.
  3. International community's responsibility to take collective action (via UNSC) if State fails.

Examples: NATO in Kosovo (1999, without UNSC), Libya (2011, with UNSC).

3.4.1.3: Role in Human Rights, Development, and Environment

Human Rights
  • UDHR (1948) foundational.
  • Bodies: OHCHR, HRC.
  • Promotes norms, monitors, reports.
  • Challenges: Enforcement, politicization.
Development
  • UNDP lead agency.
  • Drives Sustainable Development Goals (SDGs, Agenda 2030).
  • Agencies: UNICEF, UNFPA, UN Women.
  • Facilitates cooperation, funding, knowledge sharing.
Environment
  • UNEP leading authority.
  • Conventions: UNFCCC (climate), CBD (biodiversity), UNCCD (desertification).
  • IPCC for scientific assessments.
  • Promotes sustainable development.

Current Affairs: Kunming-Montreal GBF (2022), Loss and Damage Fund (COP27/28).

3.4.1.4: Challenges and Reforms (Security Council Reform, Veto Power)

Major Challenges
  • Geopolitical Rivalries (P5 divisions).
  • Sovereignty vs. Intervention.
  • Funding issues.
  • Bureaucracy and efficiency.
  • Legitimacy and Representation (UNSC).
Security Council Reform & Veto Power
  • Key demands: Expansion in both permanent and non-permanent categories.
  • G4 Nations: India, Brazil, Germany, Japan (mutually support).
  • Uniting for Consensus (UfC): Opposes new permanent members (e.g., Pakistan, Italy).
  • African Union: Demands 2 permanent seats with veto.
  • Veto Power: Highly contentious. P5 unwilling to dilute. Critics: undemocratic. Proponents: prevents hasty decisions.

Current Affairs: "Our Common Agenda" report, India's push for "reformed multilateralism."

3.4.2: European Union (EU)

The EU is a unique economic and political partnership between 27 European countries. It has delivered over half a century of peace, stability, and prosperity, helped raise living standards, and launched a single European currency, the euro.

3.4.2.1: Evolution from ECSC to EU

1951: ECSC

European Coal and Steel Community. Founding members: Belgium, Germany, France, Italy, Luxembourg, Netherlands. Aimed to pool coal and steel.

1957: Treaties of Rome

Established EEC (common market) and EURATOM.

1992: Maastricht Treaty

Formally established the European Union (EU). Introduced three-pillar structure, laid groundwork for Euro, introduced EU citizenship.

2007: Lisbon Treaty (in force 2009)

Made EU more democratic, efficient, coherent. Abolished three-pillar structure, created High Representative post.

3.4.2.2: Common Market, Eurozone, Schengen Area, CFSP

Common Market

Free movement of goods, services, capital, and people within EU. Removes trade barriers.

Eurozone

20 of 27 EU countries adopted Euro (€). Managed by ECB. Benefits: price stability, reduced transaction costs. Challenges: one-size-fits-all policy.

Schengen Area

Zone of 27 states (23 EU + 4 non-EU) where internal border controls abolished. Allows free movement of persons.

CFSP

Common Foreign & Security Policy. Focus: peace, security, democracy, human rights. Headed by High Representative. Decisions generally require unanimity.

Current Affairs: EU's response to Russia-Ukraine war tested CFSP.

3.4.2.3: Challenges

Sovereignty vs. Integration

Ongoing tension between deepening integration (supranationalism) and preserving national sovereignty (intergovernmentalism). Rise of Euroscepticism.

Migration Crisis

Large influx straining resources & cohesion. Disagreements over burden-sharing. Current Affairs: New Pact on Migration and Asylum (Dec 2023).

Eurozone Debt Crisis

Exposed structural weaknesses. Led to austerity, bailouts, ESM. Lingering concerns.

Brexit

UK's withdrawal (Jan 2020). Significant implications. Challenges re: Northern Ireland Protocol, trade. Current Affairs: Windsor Framework (Feb 2023) to resolve NI Protocol.

3.4.3: Other Significant Regional & Global Groupings

ASEAN

  • Est. 1967 (Bangkok Declaration). 10 SE Asian nations.
  • Objectives: Economic growth, social progress, regional peace.
  • "ASEAN Way": Non-interference, consensus, quiet diplomacy.
  • 3 Pillars: Political-Security, Economic, Socio-Cultural Community.
  • India's Act East Policy: ASEAN central to India's Indo-Pacific vision. Comprehensive Strategic Partnership (2022).
  • Current Affairs: AITIGA review, India's stance on Myanmar.

SCO

  • Est. 2001. Members: China, Russia, CARs, India (2017), Pakistan (2017), Iran (2023).
  • Objectives: Mutual trust, cooperation (politics, economy, security), combating "three evils" (terrorism, separatism, extremism).
  • Main bodies: HSC, HGC, RATS (Tashkent).
  • India's Role: Engage Central Asia, counter-terrorism, energy security, dialogue platform.
  • Current Affairs: India hosted 2023 Summit (virtual), New Delhi Declaration, Iran's full membership.

BRICS

  • Brazil, Russia, India, China, South Africa (SA joined 2010).
  • Principles: Equality, mutual respect, consensus.
  • Objectives: Deepen cooperation, contribute to global growth, reform global governance.
  • New Development Bank (NDB, 2014): HQ Shanghai. Finances infra & sustainable dev.
  • Contingent Reserve Arrangement (CRA).
  • Current Affairs: 15th BRICS Summit (2023) invited 6 new members (Argentina, Egypt, Ethiopia, Iran, Saudi Arabia, UAE from Jan 2024). Discussions on de-dollarization.

G7 & G20

  • G7: Leading industrialised nations (Can, Fr, Ger, It, Jap, UK, US + EU). Russia suspended (G8). Focus: global economy, security.
  • G20: Premier forum for global economic cooperation. 19 countries + EU. African Union (AU) became permanent member (2023 New Delhi Summit).
  • India's G20 Presidency (Dec 2022-Nov 2023): Theme "Vasudhaiva Kutumbakam". Outcomes: New Delhi Declaration, AU membership, Global Biofuel Alliance, IMEC.

OPEC

  • Est. 1960. 12 member countries (early 2024). HQ Vienna.
  • Objective: Coordinate petroleum policies, secure fair prices, stable supply.
  • OPEC+: OPEC members + non-OPEC oil exporters (e.g., Russia) to manage supply.
  • Role in energy politics: Influences global oil prices. Faces challenges from non-OPEC producers, renewables.

3.4.4: International Financial Institutions (IFIs) & Trade Orgs

IMF & World Bank

Established Bretton Woods Conference, 1944. "Bretton Woods Twins."

IMF (International Monetary Fund):
  • Mandate: Global monetary cooperation, financial stability, trade, growth, poverty reduction.
  • Provides loans for Balance of Payments (BoP) problems.
  • Structural Adjustment Programs (SAPs): Controversial conditionalities.
  • Reform Debates: Increasing quota/voting shares for emerging economies. 16th General Review of Quotas (Dec 2023) agreed 50% increase, proportional.
World Bank Group:
  • Five institutions (IBRD, IDA, IFC, MIGA, ICSID).
  • Mandate: Reduce poverty, support development (loans, grants, advice).
  • Focus: Long-term development projects (infra, health, education).
  • Criticisms: Developed country dominance, SAP-like conditionalities.
  • Reform Debates: Voice for developing countries. "Evolution Roadmap" (2023) to tackle climate, pandemics. Ajay Banga (Indian-American) became President (June 2023).

WTO (World Trade Organization)

  • Est. Jan 1, 1995 (succeeded GATT, 1948). HQ Geneva.
  • Functions: Administer trade agreements, trade negotiations, dispute settlement, monitor policies.
  • Principles: Non-discrimination (MFN, National Treatment), freer trade.
  • Uruguay Round (1986-1994): Led to WTO, expanded rules (services, IP, agri).
  • Doha Development Agenda (DDA, 2001): Largely stalled.
  • Dispute Settlement Body (DSB): Rulings binding. Appellate Body Crisis: US blocking appointments, non-functional since 2019.
  • Current Affairs: MC12 (2022) - Fisheries Subsidies, TRIPS waiver for COVID. MC13 (Feb 2024) - extended e-commerce moratorium, failed on agri, dispute settlement.
  • Challenges: Protectionism, geopolitical rivalries, consensus difficulty, RTAs.

Conceptual: Global GDP Share by Select Groupings (Illustrative)

G20
80%
EU
17%
BRICS (Expanded)
37%
ASEAN
3%
G7
43%

Note: Figures are illustrative and approximate, representing conceptual shares of global GDP.

Prelims-ready Notes

  • UN: Est. 1945, 193 Members. Objectives: Peace & Security, Friendly Relations, International Cooperation, Harmonizing Actions. Key Organs: UNGA, UNSC (P5 veto), ICJ (The Hague), ECOSOC, Secretariat. India is major Peacekeeping contributor. R2P concept. Reforms: UNSC expansion (G4 vs UfC), Veto debate.
  • EU: Evolution ECSC (1951) & EEC (1957) to EU (Maastricht 1992), Lisbon (2009). 27 Members. Features: Common Market, Eurozone (20 members), Schengen Area (27 states), CFSP. Challenges: Sovereignty vs Integration, Migration, Debt, Brexit.
  • ASEAN (1967): 10 SE Asian nations. "ASEAN Way." India's Act East Policy, Comprehensive Strategic Partnership (2022).
  • SCO (2001): China, Russia, CARs, India (2017), Pakistan (2017), Iran (2023). Focus: Security, Counter-terrorism (RATS). India chaired 2023 Summit.
  • BRICS: Brazil, Russia, India, China, South Africa. NDB (Shanghai), CRA. BRICS invited 6 new members (Argentina, Egypt, Ethiopia, Iran, Saudi Arabia, UAE from Jan 2024) in 2023.
  • G7: Leading industrialized nations (Can, Fr, Ger, It, Jap, UK, US + EU). Russia suspended.
  • G20: 19 countries + EU + African Union (AU joined 2023). Premier forum for intl. economic coop. India held Presidency Dec 2022-Nov 2023 (Theme: "Vasudhaiva Kutumbakam"). Key outcomes: New Delhi Declaration, AU membership, Global Biofuel Alliance.
  • OPEC (1960): 12 oil-exporting countries. Coordinates petroleum policies. OPEC+ includes non-OPEC.
  • IMF & World Bank (Bretton Woods, 1944): IMF (financial stability, BoP support, SDRs), WB Group (poverty reduction, development). Reforms: Voice for developing countries, governance changes. Ajay Banga (WB President).
  • WTO (1995, succeeded GATT): Rules of global trade. Non-discrimination (MFN, NT). Doha Round stalled. Dispute Settlement (Appellate Body crisis). MC12 (2022): Fisheries, TRIPS waiver (COVID). MC13 (2024): E-commerce moratorium, no breakthrough on agriculture.

Mains-ready Analytical Notes

UN: Debates & Contemporary Relevance

Debates/Discussions:

  • UNSC Effectiveness: P5 veto leads to deadlock (Syria, Ukraine). Pro-veto: ensures engagement. Anti-veto: undemocratic.
  • Sovereignty vs. R2P: Concerns about misuse of R2P, India advocates caution.
  • UNSC Reform: G4 vs. UfC. P5 reluctance.

Contemporary Relevance/Impact:

  • Indispensable platform for diplomacy, norm-setting (SDGs, climate).
  • Peacekeeping vital; UN agencies provide aid.
  • India's Engagement: Advocate for reformed multilateralism, major peacekeeper, voice for Global South.
EU: Debates & Contemporary Relevance

Debates/Discussions:

  • Democratic Deficit: Accountability of institutions.
  • Future of Integration: Multi-speed Europe vs. ever closer union.
  • Strategic Autonomy: Ambition to act independently (security, economy).

Contemporary Relevance/Impact:

  • World's largest single market, major global trader. "Brussels Effect."
  • Key player in climate action (European Green Deal).
  • Ukraine War's Impact: Catalyst for greater EU unity on foreign policy, defense.
  • Real-world: Digital Markets Act (DMA), REPowerEU, Global Gateway.
Other Groupings: Debates & Significance for India

Debates/Discussions:

  • ASEAN Centrality: Tested by internal divisions, major power influence. "ASEAN Way" - strength vs. weakness.
  • SCO's Character: Security vs. economic; anti-West bloc perception vs. India's strategic autonomy.
  • BRICS Expansion & Purpose: Dilution vs. strengthened voice for Global South. Alternative to Western financial architecture?
  • G7's Relevance: Declining economic weight, legitimacy challenged.
  • G20's Effectiveness: Consensus challenges (climate finance), but India's presidency showed potential.

Significance for India:

  • Critical platforms for India's foreign policy (Act East, Central Asia, Global South).
  • Example: India's G20 presidency successes (New Delhi Declaration, AU membership).
IFIs & Trade Orgs: Debates & Contemporary Relevance

Debates/Discussions:

  • IMF/WB Legitimacy & Governance: Calls for quota/voting reform, leadership dominance.
  • Effectiveness of Conditionalities: SAPs' legacy controversial.
  • WTO's Future: Appellate Body crisis, protectionism, difficulty in rule-making.
  • Multilateralism vs. Regionalism: RTAs undermining or complementing WTO?

Contemporary Relevance/Impact:

  • IMF: Crucial in managing sovereign debt, global financial surveillance.
  • World Bank: Major financier of development, increasing focus on climate finance.
  • WTO: Rules underpin global trade, despite challenges. India key player, advocating for developing countries (e.g., public stockholding).
  • Real-world: IMF RST, World Bank CCDRs, India's stance at WTO MC13 (public stockholding, e-commerce moratorium).

Current Affairs & Recent Developments

  • UNSC Reform: Intensified post-Ukraine, India's continued push.
  • India's G20 Presidency (Dec 2022 - Nov 2023): New Delhi Leaders' Declaration, AU admission, Global Biofuel Alliance, India-Middle East-Europe Economic Corridor (IMEC).
  • BRICS Expansion (Aug 2023): Invitation to Argentina, Egypt, Ethiopia, Iran, Saudi Arabia, UAE.
  • SCO Summit (July 2023): India's Chairmanship, New Delhi Declaration, Iran's full membership.
  • ASEAN-India Comprehensive Strategic Partnership (2022): Ongoing AITIGA review.
  • EU's New Pact on Migration and Asylum (Dec 2023): Political agreement reached.
  • EU's response to Ukraine crisis: Sanctions, aid, focus on strategic autonomy, EDIRPA.
  • Windsor Framework (Feb 2023): Addressing Northern Ireland Protocol issues.
  • IMF 16th General Review of Quotas (Dec 2023): 50% increase, no immediate share realignment.
  • World Bank Evolution Roadmap (2023): New vision and mission. Ajay Banga as new President (June 2023).
  • WTO MC13 (Feb 2024): Limited outcomes, e-commerce moratorium extended. Appellate Body crisis persists.
  • Kunming-Montreal Global Biodiversity Framework (Dec 2022).
  • Loss and Damage Fund operationalized (COP28, Dec 2023).

UPSC Previous Year Questions (PYQs)

Prelims MCQs:

  1. With reference to the "New Development Bank", consider the following statements: (UPSC Prelims 2023)
    1. It has been set up by APEC.
    2. The headquarters of New Development Bank is in Shanghai.
    Which of the statements given above is/are correct? (a) 1 only (b) 2 only (c) Both 1 and 2 (d) Neither 1 nor 2

    Answer: (b)

  2. Consider the following statements: (UPSC Prelims 2022)
    1. The G20 group was originally established as a platform for the Finance Ministers and Central Bank Governors to discuss international economic and financial issues.
    2. Digital public infrastructure is one of India’s G20 priorities.
    Which of the statements given above is/are correct? (a) 1 only (b) 2 only (c) Both 1 and 2 (d) Neither 1 nor 2

    Answer: (c)

  3. With reference to the United Nations General Assembly, consider the following statements: (UPSC Prelims 2022)
    1. The UN General Assembly can grant observer status to non-member States.
    2. Inter-governmental organisations can seek observer status in the UN General Assembly.
    3. Permanent Observers in the UN General Assembly can maintain missions at the UN headquarters.
    Which of the statements given above are correct? (a) 1 and 2 only (b) 2 and 3 only (c) 1 and 3 only (d) 1, 2 and 3

    Answer: (d)

  4. “R2P (Responsibility to Protect)” sometimes seen in the news, is related to: (UPSC Prelims 2015) (a) Protection of environment and biodiversity (b) Protection of civilians in armed conflicts (c) Protection of global commons (d) Protection of intellectual property rights

    Answer: (b)

Mains Questions:

  1. The newly tri-nation partnership AUKUS is aimed at countering China’s ambitions in the Indo-Pacific region. Is it going to supersede the existing partnerships in the region? Discuss the strength and impact of AUKUS in the present scenario. (UPSC Mains 2021)
  2. ‘The long-sustained image of India as a leader of the oppressed and marginalised nations has disappeared on account of its new found role in the emerging global order.’ Elaborate. (UPSC Mains 2019)
  3. Critically examine the aims and objectives of SCO. What importance does it hold for India? (UPSC Mains 2021)
  4. What are the main functions of the United Nations Economic and Social Council (ECOSOC)? Explain different functional commissions attached to it. (UPSC Mains 2017)

Trend Analysis (UPSC Questioning Style)

Prelims

  • Factual Details: Membership, establishment, objectives, key initiatives/organs, summits.
  • Conceptual Clarity: Basic concepts (Common Market, R2P).
  • Multi-statement Questions: Increasing trend, requires precise knowledge.
  • India's Association: Questions frequently link groupings to India's role.
  • Evolution: From direct facts to nuanced questions with strong current affairs linkage.

Mains

  • Analytical & Critical Evaluation: Assessing aims, effectiveness, challenges.
  • India's Role & Significance: Consistent theme.
  • Contemporary Relevance & Impact: Linking to current global issues (Ukraine war, G20 presidency).
  • Reforms & Challenges: Discussing need for reforms (UNSC, IMF, WTO).
  • Integration with Current Affairs: Heavily influenced by recent events.
  • Keywords: "Discuss," "Elaborate," "Critically Examine," "Analyze."

Original MCQs for Prelims

  1. Consider the following statements regarding the European Union's Common Foreign and Security Policy (CFSP):
    1. Decisions under CFSP are typically made by a qualified majority voting system to ensure swift action.
    2. The High Representative of the Union for Foreign Affairs and Security Policy is responsible for conducting the CFSP and also serves as a Vice-President of the European Commission.
    3. The European Defence Agency (EDA) operates under the framework of the CFSP to support member states in improving their defence capabilities.
    Which of the statements given above is/are correct? (a) 1 and 2 only (b) 2 and 3 only (c) 3 only (d) 1, 2 and 3

    Answer: (b)

  2. With reference to India's engagement with the Shanghai Cooperation Organisation (SCO), which of the following initiatives or bodies is most directly relevant to India's security concerns regarding terrorism? (a) The SCO Business Council (b) The SCO Interbank Consortium (c) The Regional Anti-Terrorist Structure (RATS) (d) The SCO University

    Answer: (c)

  3. Which of the following accurately describes a key outcome of the G20 New Delhi Leaders' Summit held in September 2023 under India's Presidency? (a) Establishment of a legally binding global carbon tax. (b) The formal admission of the African Union as a permanent member of the G20. (c) A definitive agreement to phase out all fossil fuel subsidies by 2025. (d) The dissolution of the Financial Stability Board (FSB) and its replacement with a new G20 regulatory body.

    Answer: (b)

Original Descriptive Questions for Mains

  1. The contemporary global order is characterized by a complex interplay between multilateral institutions and regional groupings. In this context, discuss the challenges and opportunities for India in navigating its interests through forums like the UN, BRICS, and SCO. How can India leverage these platforms to advance its vision of a "reformed multilateralism"?
  2. The World Trade Organization (WTO) is facing an existential crisis with challenges to its dispute settlement mechanism and the rise of protectionist tendencies. Analyze the key factors contributing to this crisis and suggest measures that India, as a prominent developing economy, can advocate for to revitalize the multilateral trading system.