The correct answer is: Both 3 and 4.
The World Trade Organization (WTO) is an intergovernmental organization that regulates and facilitates international trade. It is the successor to the General Agreement on Tariffs and Trade (GATT), which was established in 1947. The WTO was established in 1995 with the goal of promoting free trade and economic development.
The WTO has a number of functions, including:
- Administering the General Agreement on Tariffs and Trade (GATT) and other multilateral trade agreements
- Settling trade disputes between member countries
- Facilitating trade negotiations between member countries
- Promoting trade liberalization
- Cooperating with other international organizations
The WTO is governed by a Ministerial Conference, which is held every two years. The day-to-day work of the WTO is carried out by the Secretariat, which is headed by the Director-General.
The WTO has 164 member countries, which account for over 98% of world trade. The most recent member to join the WTO was Somalia in 2020.
The WTO has been criticized for a number of reasons, including:
- Its perceived lack of transparency
- Its perceived bias towards developed countries
- Its perceived failure to address the needs of developing countries
Despite these criticisms, the WTO remains an important institution in the global trading system. It has helped to reduce tariffs and other trade barriers, and it has played a role in resolving trade disputes. The WTO is likely to continue to play an important role in the global trading system in the years to come.
The following are the correct statements about the WTO:
- The WTO administers the ‘Trade Review Mechanism’.
- The WTO cooperates in an appropriate manner with the IMF and the World Bank.
The following are the incorrect statements about the WTO:
- The WTO initiates peace process among the member countries to enhance international trade.
- The WTO avoids the task of ‘Settlement of Disputes’ among the member countries.