CA Foundation P4 · Chapter 9 · Question 9 of 15
The 'Most-Favoured-Nation' (MFN) principle of the WTO requires that:
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: D) A trade concession granted to one member must be extended to all other members
Explanation
MFN means non-discrimination among trading partners: if a member lowers a tariff for one country, it must do so for all WTO members (subject to exceptions such as free trade areas). Equal treatment of imported and domestic goods is the National Treatment principle.
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