Regional Trade Agreements With Special Focus On Motives For Formation Of A Nation

Abstract

Regional trade agreements (RTAs) cover more than half of international trade today, operating alongside global multilateral agreements under the World Trade Organization (WTO). In recent years, many countries have actively sought to establish new and often more modern and progressive – bilateral and regional trade agreements that aim to increase trade and boost economic growth. The current proliferation of RTAs reflects, in part, a demand for deeper integration than what has been achieved by older multilateral agreements. To the extent that RTAs go beyond commitments made in the WTO and remain open to additional participation by countries committed to meeting their standards, they can complement the multilateral trading system. In this article, regional trade agreements with special focus on motives, trends and significance for a nation’s formation has been highlighted.