Amid crises, breakthroughs at the G20 and UN offer hope for global cooperation and fairness.
Do you sometimes feel as if the world is falling apart before your eyes? If so, you are not alone. The global human rights landscape is bleak: wars rage on multiple fronts, natural disasters are exacerbated by human folly, and crises demanding urgent solutions and funding seem endless. Yet, recent advances in multilateralism at the Brazil-led G20 and the United Nations provide glimmers of hope.
“I don’t read the news anymore.” This sentiment is not unique to my social circle. A Reuters report highlights a growing trend: “Interest in news continues to decline, fuelling disconnection and selective news avoidance.”
It is not difficult to empathise with disengaged citizens. A quick scan of the headlines is enough to dampen anyone’s spirits. Wars in Ukraine, Africa, and the Middle East have intensified geopolitical tensions to levels unseen since the Cuban Missile Crisis of 1962. The spectre of nuclear war, which haunted my childhood, feels alarmingly real today. Meanwhile, rising polarisation and extreme ideologies threaten multilateralism, the bedrock of global cooperation and human rights protection. To make matters worse, an extreme concentration of wealth and power in the hands of multinationals and the ultra-wealthy is eroding democratic governance and depriving states of essential revenues to fund public services and uphold human rights.
An Oxfam report reveals a stark reality: during the COVID-19 pandemic, the wealth of billionaires surged by forty-six percent, while the wealth of the poorest half of the world’s population declined by two and a half percent.
It is enough to make anyone want to look away. But not all is lost.
There are spaces where change is taking root. These include not only grassroots initiatives to protect victims and the environment but also notable progress within the global multilateral system.
In September 2024, United Nations member states agreed on a new roadmap aimed at revitalising multilateralism. The “Pact for the Future” seeks to modernise global governance structures to reflect the realities of the twenty-first century. World leaders have pledged to create mechanisms capable of addressing today’s challenges and seizing tomorrow’s opportunities. The overarching goal is a future that is more secure, peaceful, equitable, inclusive, sustainable, and prosperous.
These commitments are already beginning to translate into tangible action. In late October 2024, the UN General Assembly approved the Terms of Reference for a Framework Convention on International Tax Cooperation. This marks a significant step towards a fairer global tax system capable of raising the resources all countries need to close development gaps, combat inequality, and tackle climate change. Negotiations on this framework will commence in 2025, with implementation expected by 2027.
This progress owes much to the determination of developing countries and emerging economies. In just a few months of negotiations at the UN, these nations have advanced efforts to reform the global tax system. They are now poised to secure a fairer allocation of taxation rights and to discourage tax policies that undermine human rights.
Earlier in 2024, at the G20 summit in Rio de Janeiro, leaders under Brazil’s presidency issued a statement heralding a breakthrough in the pursuit of fair and progressive taxation. Their declaration paves the way for holding the ultra-rich accountable by ensuring they pay their fair share of taxes.
Implementing global minimum taxes on multinational corporations and the ultra-wealthy, along with enhancing transparency through public reporting of corporate profits, are critical steps towards a more equitable economy. Australia recently demonstrated that such measures are feasible, passing world-first legislation requiring country-by-country public reporting of taxes and profits by multinational corporations.
Strengthening global tax cooperation is essential for equipping all nations with the resources needed to address the twin crises of human rights and climate change. The current international tax system, outdated and unjust, enables corporations and the ultra-wealthy to shirk their responsibilities. A UN Framework Convention offers a promising path forward. South Africa, as the new G20 presidency, has followed Brazil’s lead with an auspicious start.
While these developments may not be enough to restore public trust in the news, they offer a glimmer of hope. Progress is possible, and not all is lost. Let’s make 2025 count.
Magdalena Sepúlveda Carmona is Director of the United Nations Research Institute for Social Development (UNRISD) and commissioner of the Independent Commission for the Reform of International Corporate Taxation (ICRICT).