THE contemporary international system is undergoing a profound transformation marked by a crisis in global governance and the erosion of multilateralism. Institutions that once underpinned cooperation, such as the United Nations and the World Trade Organization, are increasingly constrained by geopolitical rivalries, nationalist politics and declining trust among states. For a developing, globally integrated country like Bangladesh, this erosion of multilateral cooperation poses both structural risks and strategic challenges. As Bangladesh navigates climate vulnerability, trade dependence, migration pressures and development transitions, the weakening of global governance frameworks has direct and far-reaching implications.
At the heart of the global governance crisis is the fragmentation of international cooperation. Major powers increasingly prioritise unilateralism and regional alliances over global consensus. The rivalry between the United States and China has intensified competition across trade, technology and security, often paralysing multilateral decision-making. For instance, stalemates in the WTO dispute settlement system have undermined the predictability of global trade rules. Bangladesh, whose export-led growth model depends heavily on stable market access, particularly for ready-made garments, faces heightened uncertainty in this fragmented system. The erosion of rule-based trade governance increases the risk of protectionism, which could disproportionately affect countries with limited bargaining power.
Climate governance further illustrates the limitations of current multilateral frameworks. Despite global agreements under the United Nations Framework Convention on Climate Change, progress on emissions reductions and climate finance remains inadequate. Bangladesh, one of the most climate-vulnerable nations, depends heavily on international commitments for adaptation and mitigation financing. However, delays in operationalizing mechanisms such as loss and damage funds reveal a gap between global promises and actual delivery. In a context where powerful nations often prioritise domestic interests, the multilateral system struggles to enforce accountability. Consequently, Bangladesh bears disproportionate costs for a problem it contributed minimally to, highlighting inequities embedded in global governance structures.
The crisis of multilateralism is also evident in humanitarian and migration governance. The protracted Rohingya refugee crisis underscores the limits of collective international action. Despite widespread recognition of the humanitarian emergency and the involvement of agencies such as the United Nations High Commissioner for Refugees, durable solutions remain elusive. Repatriation efforts are stalled and global attention has waned. Bangladesh continues to host more than a million refugees, with diminishing international financial support. This reflects a broader trend of ‘responsibility fatigue’ among the global community, raising concerns about the sustainability of humanitarian multilateralism.
Another dimension of the governance crisis is global health cooperation, as revealed by the Covid pandemic. Vaccine nationalism, unequal access to medical resources and fragmented policy responses exposed weaknesses in institutions such as the World Health Organization. For Bangladesh, these failures led to delayed vaccine access and economic disruptions. The pandemic demonstrated that global crises require coordinated responses, yet existing governance mechanisms often fall short due to political fragmentation and capacity constraints.
Bangladesh’s impending graduation from least developed country status further complicates its engagement with a weakening multilateral order. As it transitions, Bangladesh will gradually lose preferential trade benefits and concessional financing provided through global frameworks. In a robust multilateral system, such transitions would be supported by structured mechanisms that ensure a smooth adjustment. However, the erosion of cooperation limits the effectiveness of these support systems. Without strong global advocacy and institutional backing, Bangladesh risks a ‘graduation shock’ that could undermine export competitiveness and development financing.
Despite these challenges, the global governance crisis also creates opportunities for strategic adaptation. Bangladesh has demonstrated pragmatic diplomacy by engaging across multiple platforms, including regional and South-South cooperation initiatives. Strengthening partnerships within organisations such as the South Asian Association for Regional Cooperation and exploring new economic alliances can partially offset the limitations of global multilateralism. Furthermore, Bangladesh can play a proactive role in coalition-building among developing countries to amplify its voice in global forums, particularly on climate justice and trade equity.
Policy responses must therefore be multidimensional. First, Bangladesh should diversify its trade partnerships and reduce overreliance on a small number of export markets. Second, it must invest in institutional capacity to engage effectively in complex global negotiations. Third, leveraging digital diplomacy and data-driven policy advocacy can enhance its influence in international forums. Finally, strengthening domestic resilience through economic diversification, climate adaptation and social protection will reduce vulnerability to external governance failures.
The crisis in global governance and the erosion of multilateralism pose significant challenges to Bangladesh’s development trajectory. As international institutions struggle to remain effective in an increasingly polarised world, countries like Bangladesh face heightened exposure to global risks without commensurate support. However, by adopting adaptive strategies, strengthening regional cooperation and actively participating in global norm-setting, Bangladesh can navigate this uncertain landscape. The future of its development will depend not only on domestic policy choices but also on its ability to engage strategically with a transforming global order in which multilateralism, though weakened, remains indispensable.
Dr Nasim Ahmed is former additional secretary to the government and currently works as associate professor of public policy at the Bangladesh Institute of Governance and Management (affiliated with the University of Dhaka).
