UNITED NATIONS: Antonio Guterres, the secretary-general of the United Nations, has called for the UN Security Council to be reformed and a revision of the Bretton Woods system, a post-World War II international financial structure established under the US leadership.
The UN head addressed the BRICS meeting on Thursday in Johannesburg, South Africa, where he was a first-time participant. “Today’s structures reflect yesterday’s world,” he said. In the years following World War II when many African nations were still under colonial rule and were not even invited to the table, Guterres added, “they were largely created.”
He remarked, referring to the International Monetary Fund and the World Bank, “This is particularly true of the Security Council of the United Nations and the Bretton Woods institutions.” “Multilateral institutions must change to reflect the power and economic realities of the modern world if they are to stay universal.
Fragmentation will occur if there is no reform, he claimed. “We cannot afford a world with conflicting security frameworks, a divided financial system and global economy, and divergent technology strategies, including artificial intelligence.”
“The IMF estimates that such a fracture could cost 7% of global GDP — a cost that low-income countries, mainly in Africa, would disproportionately bear,” the senior UN official warned.
“I’ve come to Johannesburg with a clear message: Cooperation is the only viable option in a fractured world plagued by problems. For the 21st century, multilateralism must be revitalized and confidence quickly restored. For the sake of the common good, you must have the guts to compromise.”
He added that they were facing existential challenges, pointing to the deteriorating effects of climate change and the rising levels of poverty, hunger, and inequality. “That’s what our world needs: unity for action and unity for justice,” he said.
He added that more than 40% of the world’s population is represented by the BRICS group of global economies, which includes South Africa, Brazil, Russia, India, and China. All five states are also members of the larger G20 bloc. —APP
