what is GATT?state any two functions WTO?
GATT refers to General Agreement on Trade and Tariff. It was formed on 1st January 1948. The major objective of GATT was to promote free trade among the member countries by reducing the tariff and non-tariff barriers.
After the Uruguay round of negotiations, on 1st January 1995 GATT was transformed into WTO (World Trade Organisation). WTO facilitates bilateral and multilateral trade agreement among member nations. The following are some of the functions of WTO.
1. It provides an environment conducive to free trade by reducing tariff and non-tariff barriers.
2. It acts as a settlement body for trade related disputes among the member countries.
3. It holds consultations with IMF and IBRD (World Bank) so as to bring cooperation in global economic policy making.