Which organisation deals with the global trade regulations?
Answer & explanation
Correct answer: option 4
The correct answer is Option (4) → World Trade Organisation
The General Agreement on Tariffs and Trade (GATT) was formed in 1948 to free world trade from high customs tariffs and other restrictions. From 1 January 1995 it was turned into the World Trade Organisation (WTO), the only international organisation dealing with the global rules of trade between nations. It sets the rules for the global trading system and settles disputes between its members.
NCERT (2025-26): “World Trade Organisation In1948, to liberalise the world from high customs tariffs and various other types of restrictions, General Agreement for Tariffs and Trade (GATT) was formed by some countries. In 1994, it was decided by the member countries to set up a permanent institution for looking after the promotion of free and fair trade amongst nation and the GATT was transformed into the World Trade Organisation from 1st January 1995. WTO is the only international organisation dealing with the global rules of trade between nations. It sets the rules for the global trading system and resolves disputes between its member nations.…” |