Category: World Current Affairs | Last updated: 2026-09-18

The World Trade Organization (WTO) provides a structured mechanism for its member states to resolve disputes concerning trade rules and agreements. What is the primary objective of the WTO's Dispute Settlement Body (DSB)?

A) To impose unilateral trade sanctions on countries found to be violating trade rules without further negotiation.
B) To interpret WTO agreements and ensure that member countries comply with their multilateral trade obligations.
C) To directly intervene in a country's domestic economic policy decisions to dictate specific reforms.
D) To encourage and facilitate bilateral trade agreements between disputing parties outside the WTO framework.

Explanation

The DSB's main role is to provide a rules-based system for members to resolve trade disputes by interpreting WTO agreements and ensuring that members adhere to the agreed-upon multilateral trade rules, rather than imposing unilateral sanctions or dictating domestic policy.

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