World Trade Organisation (WTO) Director-General Dr Ngozi Okonjo-Iweala has called for immediate reforms to modernize the 30-year-old institution and enhance its ability to address evolving global trade challenges.
Speaking at the Future Investment Initiative (FII) conference in Riyadh on Tuesday, Okonjo-Iweala said the WTO’s consensus-based decision-making system, which requires agreement from all 166 member nations, has slowed progress and limited the organization’s capacity to respond effectively to rapid global economic changes.
“We need to reform the system; we cannot be complacent,” she said, stressing the need to revisit existing processes. “We need to reform some of the ways we do business, like our consensus decision-making system, which is practised as unanimity; everyone has to agree, so it really slows down decision-making.”
She urged WTO members to reassess the institution’s governance and operational frameworks, noting that the current mechanisms were designed for a different era. According to her, the WTO must adapt to address emerging challenges, including digital trade, climate-related commerce, and increasing geopolitical tensions.
Okonjo-Iweala also encouraged constructive engagement with the United States over its long-standing criticisms of the organization, acknowledging that several of Washington’s concerns were valid and needed collective efforts to restore global confidence in the multilateral trading system.
“The fact that almost three-quarters of world goods trade is still going on under WTO terms is amazing,” she observed, adding that the organization’s endurance amid rising protectionism and unilateral measures proves that “the system is battered but not broken.”
She commended member countries for avoiding large-scale retaliatory measures following former U.S. President Donald Trump’s trade tariffs, describing such restraint as crucial in maintaining global trade stability.
The renewed call for reform comes as the WTO faces increasing strain from protectionist policies, supply chain disruptions, and disputes over industrial subsidies.
Analysts say Okonjo-Iweala’s push could revive momentum for institutional modernization ahead of the next WTO ministerial conference, where governance reform is expected to dominate discussions.
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