The World Trade Organization (WTO) has reappointed Ngozi Okonjo-Iweala for a second term as director-general, solidifying her position as the first woman and the first African to lead the global trade body.
This decision, announced on Friday, was made by consensus during a special closed-door meeting of the WTO’s General Council, underscoring her unopposed candidacy and widespread support among the organization’s 166 member nations.
Okonjo-Iweala, a 70-year-old Nigerian economist and development expert, has led the WTO since March 2021. Her reappointment guarantees continuity in leadership as she navigates the organization through a challenging period marked by geopolitical tensions, trade disputes, and the lingering effects of the COVID-19 pandemic on global commerce.
Her first term ends in August 2025, but her second term was confirmed well in advance. This move allows the WTO to prepare for its next significant ministerial conference scheduled for 2026 in Cameroon.
While Okonjo-Iweala’s unopposed candidacy accelerated the reappointment process, underlying political considerations played a significant role. African nations led the call to fast-track the decision, partly to ensure that her leadership was secured before a potential return of Donald Trump to the White House.
During his presidency, Trump frequently expressed disdain for international trade agreements and institutions, including the WTO.
READ ALSO: Coinbase to End USDC Rewards Program for EU Customers
In 2020, his administration blocked Okonjo-Iweala’s appointment for months, despite widespread global support. It was only after President Joe Biden took office in early 2021 that she was officially confirmed as the WTO’s director-general.
“African countries wanted to accelerate the process because they did not want Trump’s team to come in and veto her as they did four years ago,” explained Keith Rockwell, a senior research fellow at the Hinrich Foundation.
As she begins her second term, Okonjo-Iweala faces a host of challenges that will test her leadership and diplomatic skills:
- Geopolitical Tensions: The ongoing trade war between the United States and China continues to strain the global trading system, with implications for WTO negotiations and dispute resolution.
- Reform of the WTO: Calls for reforming the WTO have intensified, with members pushing for updates to trade rules, improved dispute settlement mechanisms, and greater inclusivity for developing nations.
- Climate and Trade: Addressing the intersection of trade and climate change remains a priority, with increasing demand for policies that promote sustainable trade practices.
- Evolving Trade Dynamics: The rise of digital trade, supply chain disruptions, and the impact of emerging technologies require the WTO to adapt its rules to modern realities.
Okonjo-Iweala’s leadership represents more than just administrative continuity. Her position as the first African and the first woman to lead the WTO is a significant milestone for inclusivity and diversity in global governance. It also highlights Africa’s growing influence on the global stage.
In her first term, she worked to enhance the WTO’s credibility, pushing for consensus-building among member nations and emphasizing the need for equitable trade policies that benefit both developed and developing countries.
READ ALSO: Canada Takes Legal Action Against Google, Calls for Breakup of Ad Tech Dominance
The possibility of Donald Trump’s return to the White House in 2025 casts a shadow over the WTO’s future. His administration’s protectionist policies and skepticism of multilateral trade agreements disrupted global commerce and undermined confidence in international institutions.
While Biden’s administration has taken a more cooperative approach, uncertainties about future U.S. trade policy make Okonjo-Iweala’s leadership even more crucial for maintaining the WTO’s relevance and effectiveness.
With her second term now secured, Okonjo-Iweala has the mandate to continue driving reforms and fostering dialogue among member nations. Her leadership will be pivotal as the WTO navigates the complexities of a rapidly changing global trade landscape.
As the world watches, her ability to steer the organization through these challenges will not only shape the future of international trade but also set a precedent for leadership in multilateral institutions.