Ngozi Okonjo-Iweala, Director-General of the World Trade Organization (WTO), delivered a compelling message while participating in a “No Recovery without Trade and Investment” session at the World Economic Forum Annual Meeting 2024.
Addressing the significant impact of events like the Coronavirus pandemic and geopolitical tensions on globalisation over the past four years, Okonjo-Iweala stressed the need for a more inclusive approach to new growth models.
In her words: “We need to think of globalization not in the way it was done before, but differently. And we need to ensure that those who did not benefit during the first round benefit this time.”
Highlighting the negative perception of globalization due to the exclusion of poor people in rich countries and the marginalization of developing countries, Okonjo-Iweala proposed a new paradigm termed “reglobalisation.” She emphasized the importance of learning from past mistakes and ensuring that the new approach avoids the pitfalls of exclusion.
Providing practical insights, Okonjo-Iweala suggested diversifying supply chains and deconcentrating sectors and geographies that are causing issues. This involves extending these activities to developing countries and other regions with suitable business environments. She cited an example of cooperation between economies in Europe and Africa, such as the alliance between Rwanda and the European Investment Bank announced in December to boost investment in critical raw material value chains.
Other participants in the session, including Canadian Deputy Prime Minister Chrystia Freeland, echoed Okonjo-Iweala’s sentiments. Freeland emphasized the importance of evaluating economic policies based on their impact on the well-being of the represented population: “As we build our economic policies, the question we have to ask is: will this make the life of the people I represent better?”
