Harmonization without representation: Small states, the Basel Committee, and the WTO

SummaryFor many small states, the experience with the Basel Committee and other standard-setting bodies has not been favorable as they have been excluded from participation in the formulation of standards that negatively affect them. This raises common concerns for small states, including lack of representation, non-transparency, discrimination, and lack of sovereignty. This paper argues that small states, which cannot comply with Basel standards, are effectively placed at a competitive disadvantage and stand to lose potential domestic and international investors. It argues that one possible way to address this problem is by formally strengthening the participatory role of small states in the WTO.