Dr. Ngozi Okonjo-Iweala, an economist and Director-General of the World Trade Organisation (WTO), made history in 2021 by becoming the first woman and the first African to lead the WTO. With Dr. Okonjo-Iweala's 70th birthday fast coming up on June 30, we thought it was the perfect time to introduce this epic leader to the Missing Perspectives audience.
The economist's work advocating for a fair, rules-based global economy and equitable global health for all beings has even captured the attention of high profile figures like Megan Markle and Prince Harry, who profiled her in TIME magazine as part of the publication’s annual Top 100 Most Influential People list. Markle and Okonjo-Iweala, who participated in a female leadership panel in May, share some striking similarities.
Beyond their shared Nigerian ancestry, what unites these two women is their perspectives on leadership. Okonjo-Iweala asserts that it transcends pioneering titles – it’s not just being a woman or culturally diverse. At its core, her approach to political and economic leadership entails being the most competent individual to steer, implement substantive change and deliver results. In other words, the best person to do the job. Demonstrating these attributes, Dr. Ngozi Okonjo-Iweala’s leadership is rooted in the imperative to cultivate a fair and rules-based global economy. Today, I invite the astute readers of Missing Perspectives to ponder over the essence of authentic and impactful leadership in our ever evolving and intricate global landscape. Let’s delve into the life of this extraordinary woman who is a proponent of a revolutionary concept – ‘re-globalisation’, a pivotal element in the grand scheme of world economic reform.
Why she's the woman for the job
Dr. Ngozi Okonjo-Iweala, a Harvard and MIT alumna, is a renowned economist known for her work at the World Bank and as Nigeria’s longest-serving Finance Minister. A trailblazer, she was the first woman to hold both the Finance and Foreign Minister positions in Nigeria. In these roles, she spearheaded negotiations with the Paris Club of Creditors, a group of creditor countries aiming to tackle worldwide debt problems. Her efforts culminated in the elimination of $30 billion of Nigeria's debt, which included the outright cancellation of $18 billion. Her leadership, marked by effective trade negotiations and robust economic reforms, has significantly influenced Nigeria’s standing as one of Africa’s largest economies. Currently, the country is considering whether to apply for G20 membership. These achievements speak volumes of her influence.
Navigating the labyrinth of global trade (dis)agreements
Dr. Ngozi Okonjo-Iweala has her work cut out for her. The WTO faces a plethora of formidable challenges ahead accentuated by the global cost of living crisis. Geopolitical conflicts, leading to disruptions in trade and commerce, have intensified the inflationary pressures that are fueling this crisis, meaning, greater expenses businesses incur in the production and procurement of goods are being transferred to consumers, who may not necessarily have the means to shoulder these cost increases. Consequently, governments like Australia with its Future Made in Australia Act are feeling an increased urgency to counteract some of these effects with protectionist policies. Yet protectionism poses a significant threat to the fabric of globalisation. In addition to these economic challenges, growing concerns exist about the unchecked persistent violations of trade rules. This is largely due to issues within the dispute resolution mechanism within the WTO. The situation is further complicated by recent wars that have disrupted trade, particularly in the food and fuel sectors. These disruptions have not only hindered efforts towards climate adaptation but have also led to reduced market access for developing nations. This is particularly troubling as it threatens the economic stability of these countries.
Yet, amidst these trials, there are signs of cooperation between nations. A prime example is the recent resolution between Australia and China, which have reached a mutual agreement following a long running dispute over wine duties. What has also been encouraging is the conclusion of years of discussion that culminated in the recent Investment Facilitation for Development Agreement. This accord seeks to ensure that Foreign Direct Investment is more streamlined, sustainable, and transparent. Assistant Minister for Trade Tim Ayres described this development as “a significant moment for the WTO, showing it can continue to innovate and deliver new international trade and investment rules.” In the wake of this agreement, it’s evident that the WTO’s leader is presented with a myriad of opportunities and intricate challenges ahead.
Tackling the chasm of economic disparity
Deeply zealous about improving the divide between developed and developing countries, Okonjo-Iweala has used every opportunity to encourage a more equitable trading system. For instance, as the former Managing Director of the World Bank, Okonjo-Iweala steered several initiatives to assist low-income countries during the 2008-2009 Global Financial Crisis. Once chairing the Board of Gavi (Global Alliance for Vaccines and Immunisation), she has advocated for equitable access to COVID-19 vaccines for millions of vulnerable people. Poorer nations are most impacted in the face of consecutive economic crises.
Across the globe, there is growing concern that globalisation could subject countries to excessive risks. Consequently, nations are shifting their focus inward, investing in industrial policies, nearshoring, and economic self-sufficiency, rather than pursuing the integration and free trade that characterised the latter half of the 20th century. Okonjo-Iweala has been an outspoken critic, advocating for the WTO to be reinvented. Despite its indispensable role, she asserts that the organisation “must be updated to remain fit for purpose”. Recent efforts made at the WTO’s 13th Ministerial Conference in Abu Dhabi raised the organisation’s reform agenda once more, however, the scope of the Ministerial Declaration was “limited”, and there were areas where agreement was not reached. She encourages reformative thinking that globalisation should not be repeated as it was done before but reconceived entirely to be more inclusive. Instead, she has encouraged the use of the term known as “re-globalisation” which means to bring the developing world or the margins of the global economy to the mainstream. According to her, investing in these economies with the right business environment will not only help to build resilient supply chains but inclusive growth.
Novel thinker, brave leader
Undoubtedly, all countries stand to benefit from an equitable rules-based trading system. As a leader, Okonjo-Iweala encourages that there is merit in strategic cooperation because there are too many issues that need to be solved through the collective strength of the global commons. Throughout her tenure, the global economy has experienced significant splintering. Nevertheless, crises can also serve as a catalyst for a fresh start. If her leadership is successful, the WTO may revamp the global economy for the better. Her vision of ‘re-globalisation’ offers a promising path forward, fostering more nuanced deliberation that moves beyond the traditional narrative of ‘economic winners and losers’.
In these turbulent times, being a novel thinker and a brave leader is not just an asset, but a prerequisite for survival. On a personal level, Okonjo-Iweala takes pride in her African identity, showcasing her tailored African-printed outfits on the global stage. When it comes to her leadership, her courage is found through her emphasis on authenticity, calling out structural issues that allow for marginalisation, debunking sexist stereotypes and systems that aid gender inequality. The journey forward towards a better economic future is certainly monumental. But having read her written publications, I personally admire her unwavering commitment to personal development and social inclusion, which is deeply ingrained in her very being as a development economist. In addition to improving outcomes for the developing world and global economy, Okonjo-Iweala is actively inspiring the next generation of leaders. Indeed, maybe the next one could be you.
Faseeha Hashmi holds a Master of International Relations from the University of Melbourne, works for the Australian Government and has an interest in global politics and human security.