NAM’s objective of establishing a New International Economic Order

The Non-Aligned Movement has reiterated since its inception that inequality within and among countries is a concern for all countries regardless of their level of development and that it represents a growing challenge with multiple implications for the realization of economic and social potential and the achievement of the internationally agreed development goals. The movement has stressed the importance of greater consideration of the impact of social and economic inequalities in development, including in the design and implementation of development strategies. As part of this objective, NAM has called for a structural change in the global economy and the establishment of a New International Economic Order (NIEO).
The origin of North-South dialogue for a new economic order may be traced back to over 30 years ago, at the Afro-Asian Conference at Bandung held in 1955. However, the formal idea of the NIEO was put forward in the Algiers Conference of non-aligned countries in 1973.
It was at the Fifth summit of the Non-Aligned Movement held at Colombo, Sri Lanka that NAM countries issued a unanimous declaration calling for a new international economic order on August 19, 1976. The Colombo resolution declared: The Colombo Resolution declared: “The institution of a new international financial order is of the highest political importance … The solution to the economic problems of the developing countries demand the establishment of a universal and equitable new monetary system… Only a complete restructuring of international economic relations, thanks the institution of a new world economic order will put the developing countries in a position to attain an acceptable level of development. “.
The Colombo declaration identified the following essential elements of such a New International Economic Order : 1) Fundamental restructuring of the entire apparatus of international trade so as to achieve an indexation, improving the terms of trade of developing countries and ensuring fair and remunerative prices in real terms to primary export products and an appropriate share of world trade for developing countries through the expansion of processing, diversification and full participation in transport, marketing and distribution of their products.; 2) Deep restructuring of world production on the basis of a new international division of labor through improved access to the markets of the developing countries for the manufactured products of developing countries, transfer of technology on favorable terms and conditions, redevelopment of industries from developed countries to developing countries; 3) Radical overhauling of the present international monetary arrangements, which are characterized by the absence of a rational, equitable and universal system, the anarchy of chaotic currency fluctuations, haphazard growth of international liquidity, widespread inflation, lack of responsiveness to the needs of developing countries and the domination of decision making by a few developed countries; 4) Guaranteeing an adequate transfer of resources for development on an assured, continuous, and predictable basis with respect to the criteria of independence and in a non-discriminatory manner not likely to create division among developing countries; and 5) determining a satisfactory solution to the problem of public debt, particularly for the least developed and most seriously affected countries; and 6) Providing adequate resources and appropriate technology on favorable terms for investment to ensure increased production of food agricultural inputs in the developing countries.
The NIEO envisaged by NAM a few decades ago continues to hold relevance even today. NIEO aims at social justice among the trading countries of the world. It seeks restructuring of existing institutions and forming new organizations to regulate the flow of trade, technology, capital funds in the common interest of the world’s global economy and due benefits in favour of the less developing countries. Hence, it is no surprise that NAM in its successive summit declarations continues to emphasize the importance of the establishing such an international economic order.
At the NAM Tehran Summit (2012) and then at the NAM Ministerial conference at Algiers 92014), the Non-Aligned Movement reaffirmed the Declaration and Programme of Action on the Establishment of a New International Economic Order(resolution 3201).and the validity of their major principles by which the United Nations General Assembly proclaimed its determination to work urgently for the establishment of an international economic order based on equity, sovereign equality, interdependence, common interest and cooperation among all States, irrespective of their economic and social systems, which shall correct inequalities and redress existing injustices, make it possible to eliminate the widening gap between the developed and the developing countries, and ensure steadily accelerating economic and social development and peace and justice for present and future generations.
In the current global scenario, despite the best efforts of the Non-Aligned Movement, the international economic order shows many signs of discrimination that are proving disadvantageous to the developing economies. Only a concerted and collective effort on the part of the developing nations can lead to the fulfillment of the vision of the New International Economic Order and in this regards, the Non-Aligned Movement –the largest grouping of developing nations of the world – has to play a significant role.

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