United Nations - 2 | PSIR Optional for UPSC (Notes) PDF Download

International Agencies

International Organizations and Their Role in Global Unity

Throughout history, the idea of uniting people under common symbols and aspirations has been a goal, similar to the medieval empires' global missions. However, it has only been in the last century that this concept has taken a more tangible form, thanks to the efforts of international organizations.

Most significant international organizations are made up of numerous governments and are known as intergovernmental organizations (IGOs). Examples include:

• Universal Postal Union (UPU, 1874)
• International Telecommunication Union (ITU, 1932; successor to the International Telegraph Union, 1865)
• International Civil Aviation Organization (ICAO)

United Nations (UN) Organizations

• Various organizations under the UN carry out broader functions related to peace, human rights, justice, and economic and social development.
• These UN agencies are open to nearly all nations and have strong permanent structures.
• They focus on making and implementing new rules and policies.

Limitations of UN Organizations

• In practice, these organizations mainly engage in:
• Exchanging views and knowledge
• Conducting studies
• Drafting recommendations
• Providing technical assistance to governments

UN agencies cannot legislate, tax, or impose effective sanctions. Decisions are not binding until ratified by individual governments. Some technical agencies, like the ICAO and WHO, have limited rule-making powers, making certain standards binding unless members opt out within a specific timeframe.

National Elites and International Organizations

• National elites prefer this arrangement as it preserves their power and prevents competing international loyalties from weakening their domestic authority.
• For instance, the Food and Agricultural Organization (FAO) was denied significant powers over food prices and supplies in 1947.
• Although the International Monetary Fund (IMF) and International Bank for Reconstruction and Development (IBRD) restrict national control over currency management, the IMF has some sanctions power, including withholding financial support from uncooperative governments.
• However, expanding the IMF's powers at the cost of member sovereignty is challenging.

Influence of International Agencies on Public Policy

The impact of various international agencies on public policy-making by individual governments, including India, is likely to be limited but not entirely negligible.

Focus of the Unit

• The unit aims to discuss various international policy-making issues and the role of important United Nations organizations in addressing these issues.

Policy-Making and International Agencies 

Key Areas of UN Policy-Making

• International Peace and Security: Maintaining global peace and preventing conflicts.
• Disarmament: Promoting the reduction and elimination of weapons.
• Economic and Social Development: Supporting the growth and improvement of economies and societies worldwide.
• Environmental Problems: Tackling global environmental issues and promoting sustainability.
• Social and Humanitarian Assistance: Providing aid and support in crises and emergencies.
• Human Rights: Protecting and promoting human rights for all individuals.
• Independence of Colonial People: Supporting the independence and self-determination of colonized nations.

Impact of United Nation's Policies on Formulation of Policies by Member-Nations

International Peace and Security

• TheSecurity Councilis central to the UN's role in maintaining peace and security. While the UN Assembly makes recommendations, the Council has the authority to make binding decisions.
• The Council has five permanent members(the United States, the United Kingdom, France, Russia, and China) and ten non-permanent members elected for two-year terms. The decisions of the Council rely on the agreement of the five permanent members, each of whom has the power to veto.
• This system reflects the reality of global power dynamics, particularly during the Cold War era. While it has been challenging to compel any of the five permanent members to act against their interests, when they do agree, they can effectively address threats to peace and security.
• The UN has played a crucial role in mitigating the threat of war by facilitating coordination among these five major powers, addressing conflicts, and establishing peacekeeping operations in various regions.

Disarmament

• The UN has been instrumental in promoting disarmament and arms control through various treaties and agreements.
• Key treaties include the Antarctic Treaty(1959), the Treaty Banning Nuclear Weapon Tests(1963), the Treaty on the Non-Proliferation of Nuclear Weapons(1968), and the Biological Weapons Convention(1972).
• Bilateral negotiations, particularly between the Soviet Union and the United States, have also led to significant agreements aimed at limiting nuclear weapons testing and stockpiling.

Economic and Social Development

• The UN has made significant contributions to the economic and social development of poorer countries through various agencies.
• The International Bank for Reconstruction and Development(IBRD) has provided loans for post-war recovery and development, although it has faced criticism for favoring the interests of major contributors, particularly the United States.
• The World Health Organization(WHO) has supported health development in countries through expertise, equipment, and training.
• The United Nations Conference on Trade and Development(UNCTAD) has promoted exports from developing countries through preferential tariff systems.
• The General Agreement on Tariffs and Trade(GATT) has facilitated trade by reducing barriers, although enforcement of these rules has been challenging.
• The International Labour Organization(ILO) has worked to improve labor conditions globally, though its recommendations may not always align with the needs of workers in developing countries.

U.N. Development Decades

U.N. Development Decades: Objectives and Outcomes

• First U.N. Development Decade (1960s): Launched with the aim of achieving a 5% growth rate for developing countries. However, the actual growth was only 4.6% in total domestic product and about 2% per capita.
• One reason for the slow progress was identified as the lack of a proper international development strategy.
• Second U.N. Development Decade (1970s): Focused on promoting sustained economic growth, ensuring a higher standard of living, and narrowing the gap between developed and developing countries.
• However, the gap increased during this period, and the net flow of financial resources from developed to developing countries decreased.
• Third U.N. Development Decade (1981 onwards): Governments committed to establishing a New International Economic Order (NIEO) based on justice and equality.
• The focus was on translating the goals and objectives of the international development strategy into reality through effective policy measures across all development sectors.

Role of International Agencies 

The International Labour Organisation (ILO)

ILO Overview: 
The International Labour Organization (ILO), established in 1919, is the only major organization predating the United Nations system. Initially focused on labor, the ILO has evolved into a key player in promoting social justice and improving living standards globally.

Unique Structure:
The ILO is distinctive among international organizations because it includes representatives of labor, employers, and governments on an equal footing. This unique structure gives private citizens, such as labor and employer representatives, the same voting rights as governments.

International Labour Code:
The ILO has developed a comprehensive international labor code through various conventions and recommendations. These are established during the International Labour Conference, which cannot pass binding legislation on its own.

Ratification and Reporting:
Once a convention is ratified and comes into force, countries are obligated to implement its provisions. Ratifying countries must also report annually to the ILO on the application of the convention.

Enforcement Mechanisms:
The ILO Constitution provides mechanisms to ensure compliance with ratified conventions. These include:

• Representations by Workers' or Employers' Organizations: If organizations believe a government has failed to comply, they can make representations to the ILO.
• Complaints Between Member Governments: Any member government can file a complaint against another for noncompliance.

Support for Member States:
The ILO plays a crucial role in assisting member states in combating unemployment. Guided by International Labour Standards, the ILO helps countries establish employment bureaus and develop vocational training facilities.

Impact in India:
The ILO's conventions, recommendations, and mutual supervision mechanisms have significantly improved working conditions,management-labor relations, and the protection of basic labor rights in India. These efforts have also promoted social security and reduced the frequency and intensity of labor conflicts.

The United Nations Educational, Scientific and Cultural Organisation (UNESCO)

UNESCO's Role and Objectives

• UNESCO aims to promote peace and security by fostering collaboration among nations through education, science, and culture.
• The organization strives for universal respect for justice, the rule of law, and human rights, as outlined in the United Nations Charter.
• UNESCO focuses on democratizing education, science, and the arts, while also advancing all branches of science and intellectual activity to enhance both material and spiritual well-being.
• The organization seeks to combat illiteracy globally, improve educational standards, encourage fundamental education, foster scientific research, and promote the dissemination of scientific knowledge.
• UNESCO facilitates the exchange of individuals to promote cultural activities, enhances mass communication facilities, and generally advocates for international understanding.
• A significant portion of UNESCO's programs is implemented through contracts or subventions to various non-governmental organizations, such as the International Council of Scientific Unions.
• UNESCO collaborates closely with other UN specialized agencies like WHO(World Health Organization),FAO(Food and Agriculture Organization), and UNEP(United Nations Environment Programme) on relevant matters.
• Through its programs, UNESCO, along with National Commissions, generates public interest and achieves progress in education,natural sciences,social and human sciences,cultural promotion, and communications development globally.
• UNESCO's influence is reflected in various public policies enacted in countries like India, such as the proposed Cultural Policy Statement.

The World Health Organisation (WHO)

Formation of WHO and Its Early Years

• In 1946, the UN Economic and Social Council proposed an international conference to establish a single health organization within the UN.
• The World Health Organization (WHO) was officially founded in April 1948, following the adoption of its constitution in July 1946.

1974: A Turning Point for Global Health

• Despite advancements in medicine, WHO member states recognized a significant failure in providing basic health services, particularly to rural and urban poor populations.
• This led to the goal of "Health for All by the Year 2000," emphasizing primary health care.

WHO's Role and Impact

• WHO assists governments in improving health services, focusing on expertise, fellowships, equipment, and support to regional organizations.
• The organization has played a crucial role in raising awareness about the social aspects of development and influencing public policies in member nations, including India.
• WHO's guidelines have impacted Indian policies on communicable disease control, health education, and rural healthcare development.

United Nations Environment Programme (UNEP)

The 20^thcentury witnessed a rapid increase in the world’s population along with advancements in technology. These changes significantly impacted how we produce and consume goods, putting unprecedented pressure on the environment. In the 1960s, issues like soil erosion, pollution, and resource conservation became critical, prompting global awareness and action.

In response to these growing environmental concerns, the United Nations convened the first World Conference on the Human Environment in Stockholm in 1972. This conference, attended by representatives from around the world, resulted in a declaration and a comprehensive plan of action to address environmental challenges.

Following the conference, the United Nations Environment Programme (UNEP) was established to monitor environmental changes and promote sustainable practices. UNEP, the first UN agency based in a developing country, has since played a crucial role in various environmental initiatives, including marine pollution prevention and the protection of the ozone layer.

Importance of Environmental Protection
Former Indian Prime Minister Rajiv Gandhi emphasized the critical importance of ecological protection for developing countries. He highlighted that India's efforts to meet the basic needs of its growing population can only be sustainable in the long term if the ecology is safeguarded. India has taken significant steps to raise awareness and establish the necessary frameworks for environmental protection.

• In the 20^thcentury, especially after World War II, the rise in population and advancements in technology led to new pressures on the environment due to changes in production and consumption patterns.
• Initially, the implications of these changes were overlooked, but by the 1960s,issues like soil erosion,pollution,resource conservation, and the drying up of once fertile areas became urgent.
• These environmental challenges prompted a global response, especially in industrialized nations.
• In 1968, the United Nations(UN) decided to hold a world conference on the human environment to address these pressing issues.
• The first UN conference on the Human Environment took place in Stockholm in June 1972. It was a platform for action on environmental problems, not the beginning of concern.
• At the end of the conference, participants from around the world adopted a declaration and a 109-point plan of action for the human environment.
• Based on the conference's recommendations, the UN General Assembly established the United Nations Environment Programme (UNEP) in 1972. UNEP, headquartered in Nairobi, was tasked with monitoring environmental changes and promoting good environmental practices.
• UNEP's key programs include "Earthwatch," an international surveillance network with services like the Global Environmental Monitoring System and the International Register of Potentially Toxic Chemicals.
• UNEP has also worked against marine pollution, expanding efforts from the Mediterranean to regions like the Red Sea, Gulf of Aden, Caribbean, and beyond.
• In 1985, under UNEP's guidance, a global convention for the protection of the Ozone Layer was adopted in Vienna.
• UNEP's voluntary Environment Fund has supported over 800 projects related to marine pollution, soil degradation, urban and rural ecology, and alternative energy sources.
• In the report "Our Common Future," Rajiv Gandhi stressed that ecological degradation affects developing countries more severely than developed ones. He highlighted India's efforts to meet the needs of its large population while protecting the ecology through awareness, legislation, and institutions.

International Financial Institutions and TNCs

Formation of International Economic Institutions (1944)

• In 1944, representatives from 44 nations met in Bretton Woods, New Hampshire, USA, to address post-World War II economic challenges.
• The conference proposed the establishment of:
• International Monetary Fund (IMF): To assist countries with balance of payments issues and international monetary stability.
• International Bank for Reconstruction and Development (IBRD): To provide long-term capital assistance for economic reconstruction and development.
• International Trade Organization (ITO): To promote the liberalization of international trade.
• The IMF and IBRD were established in 1946, but the ITO proposal was replaced by the General Agreement on Tariffs and Trade (GATT) in 1947.

International Monetary Fund (IMF)

• During World War II, it became clear that countries would face significant reconstruction challenges.
• The UK was expected to be the world's main debtor nation, while the US, with its increased wartime production capacity, would be the main creditor nation.
• The UK, US, and their allies believed that international economic and financial cooperation was essential to prevent a repeat of the 1930s economic chaos.
• In 1943, two plans were proposed:
• US Plan (White Plan): For an International Stabilisation Fund.
• British Plan (Keynes Plan): For an International Clearing Union.
• The IMF, established in 1945, was similar to the US plan.
• IMF Resources: Come from member subscriptions and borrowings.
• Quotas and Subscriptions: Each member has a quota determining its financial and organizational relationships with the IMF.
• Quotas influence voting power, maximum access to financing, and shares in Special Drawing Rights (SDR) allocations.
• Members must subscribe an amount equivalent to their quota, with up to 25% paid in reserve assets (SDRs or usable currencies) and the rest in the member's currency.
• Borrowings: The IMF can supplement its resources by borrowing from official and private sources.
• Voting Power: Important for policy decisions and Board representation.
• Facilities and policies for financial support include:
• Tranche Policies
• Extended Fund Facility
• Permanent Facilities
• Temporary Facilities

Tranche Policies

• Involve Reserve Tranche and Credit Tranche.
• Reserve Tranche: If the Fund's holdings of a member's currency are less than the quota, the difference is the Reserve Tranche.
• Credit Tranche: Further purchases in four credit tranches, each 25% of the member's quota.

Extended Fund Facility

• Provides assistance to members for balance of payments deficits for longer periods and larger amounts compared to quotas.

Permanents Facilities

• Include Compensatory Financing Facility and Buffer Stock Financing Facility.
• Compensatory Financing Facility: Established in 1963 to compensate for fluctuations in cereal import costs.
• Buffer Stock Financing Facility (BSFF): Provides resources to finance member contributions to approved buffer stocks.

Temporary Facilities

• Established with borrowed resources, such as the temporary oil facility during the 1974-1975 oil price surge.

IMF Conditionality

• Requires countries using Fund resources to implement economic policies for a viable balance of payments position.
• Includes measures like ceilings on government expenditure, budget deficit, overall credit ceiling, sectoral credit ceiling, withdrawal on subsidies, and exchange rate action.

Technical Assistance

• Fund officials provide advice on stabilisation programmes in member countries.
• The Fund has succeeded in promoting international monetary cooperation and expanding international trade, but is currently challenged by the debt crises of developing countries.

International Bank for Reconstruction and Development (IBRD)

• Emerging from the 1944 Bretton Woods Conference, the IBRD, or World Bank, was established as a sister organization to the IMF.
• Its primary objectives include:
• Reconstruction and Development: Facilitating capital investment for production purposes to promote long-term balanced growth of international trade, increased productivity, higher living standards, and improved labor conditions.
• Supplementing Private Investment: Providing financing when private capital is not available on reasonable terms.
• Coordinating International Loans: Prioritizing projects based on urgency and usefulness while considering the impact on business conditions in member territories.
• Membership in the IBRD requires prior membership in the IMF. The IBRD has two affiliates, the International Finance Corporation (IFC) and the International Development Association (IDA), collectively known as the World Bank Group.
• Upon establishment, the IBRD had an authorized capital of $10 billion, with member countries required to pay only one-fifth of their subscription initially, with the remainder available on call.
• Member subscriptions form the basis of the Bank's financial resources.
• In its lending practices, the Bank adheres to several key policies:
• Repayment Prospects: Evaluating the repayment capacity of loans based on natural resource availability, productive capacity, and existing debt.
• Project Specificity: Lending only for specific, economically and technically sound projects of high priority.
• Foreign Exchange Content: Loans are intended to cover the foreign exchange component of project costs, with borrowing countries expected to mobilize domestic resources.
• Procurement Flexibility: Encouraging borrowers to procure goods and services for Bank-financed projects from the cheapest available sources, regardless of country.
• Regular Monitoring: Maintaining ongoing contact with borrowers to assess project progress and monitor economic and financial developments.
• Promotion of Local Private Enterprise: Indirectly supporting the growth of local private businesses through its lending practices.
• Since World War II, the influence of multinational or transnational corporations in international trade has been increasing, although information about their activities has often been limited and closely held. Some of these corporations possess resources greater than those of many governments represented at the United Nations.

In 1972, the UN Economic and Social Council requested a study on the impact of transnational corporations on development and international relations. This led to the establishment of a permanent commission on transnational corporations and an information and research center within the UN Secretariat.

The UN Centre on Transnational Corporations was created in 1974 to develop a comprehensive information system on transnational corporations' activities, analyze and disseminate this information, provide technical assistance to host countries, and strengthen their capacity in dealings with these corporations.

GATT and national trade protection policies also illustrate the role of international agencies in policy formulation.

Recent Trends

Background of the UN

• The United Nations (UN) was established in 1945, near the end of World War II, to address the problems of preventing future world wars and the threat of nuclear destruction.
• Initially, the UN focused on post-war reconstruction and then shifted its attention to the development of underdeveloped countries. However, the success in these countries was limited, and the gap between rich and poor nations widened.

Impact of the Cold War

• During the Cold War, the UN operated with unequal partners, leading to a dominant-dependence relationship instead of mutual cooperation.
• Recent events in Europe and the Soviet Union, such as the reunification of Germany and the shift towards democracy and market economies in Eastern Europe, highlighted the failures of dogmatic socialism.
• The collapse of the Soviet system transformed the global power structure from bipolar (US and USSR) to unipolar (dominance of the USA), ending the Cold War.

Economic Challenges and Development Needs

• Despite the end of the Cold War, developing countries continued to face severe conditions, exacerbated by the need for defense spending and extreme inequalities.
• Development is crucial for improving the living conditions of the majority of the global population, but challenges such as resource allocation for defense and inequality hinder progress.
• The UN is urged to reassess these issues and promote international cooperation for poverty alleviation, which could expand markets for industrial goods and benefit all countries, including developed ones.