Q. “Most Favored Nation” provision is related to which of the following?
Quarterly-SFG-Jan-to-March
Red Book

[A] World Bank

[B] WTO

[C] AIIB

[D] IMF

Answer: B
Notes:

The WTO provides a rule based transparent and predictable multilateral trading system.  

  • The WTO rules envisage non-discrimination in the form of National Treatment and Most Favoured Nation (MFN) treatment to India’s exports in the markets of other WTO Members.  
  • National Treatment ensures that India’s products once imported into the territory of other WTO Members would not be discriminated vis-à-vis the domestic products in those countries.  
  • MFN treatment principle ensures that members do not discriminate among various WTO members. 

Source: TMH Ramesh Singh 


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