As the Second Committee of the United Nations General Assembly, the Economic and Financial Committee, also known as ECOFIN, deals with international issues revolving around economic growth and development. Established in 1945, following the ratification of the United Nations Charter, ECOFIN’s primary purpose within the United Nations is to support global economic growth. Discussion within ECOFIN spans a variety of issues pertaining to global economic activity, and is not limited to topics that relate directly to macroeconomics, international trade, and the global financial system.
ECOFIN dives into specific sectors of economic growth, with some examples being the changing energy market, corruption of multinational corporations, and the eradication of poverty. With few limitations and a spectrum of issues to be debated upon, ECOFIN will an unforgettable committee suitable for delegates of all experience levels.
The global energy industry, which is essential for economic development in both developing and developed nations alike, is currently completely reliant on fossil fuels. The costs of fossil fuels come from two areas: one is economic costs from extracting, purchasing, and transporting them to where they are needed, the other is the damages it has on the environment, which costs the world trillions of dollars in damages.
As it becomes clear that fossil fuels are no longer economically or environmentally sustainable, ECOFIN must an alternative source of energy that is more suited towards sustainable development across the world. Furthermore, efforts should be made to mitigate the effects of altering the energy industry, as nations with economies dependent around fossil fuels must be able to adapt to changing supply and demand.
The issue of corruption is becoming increasingly relevant in the world. Corporate corruption presents a setback to ECOFIN’s objectives of eradicating poverty to monitoring international commerce. Furthermore, international non-governmental organizations are also prone to corruption. Consequently, the corruption of multinational corporation is not only harmful to global economic development, but also damages the credibility of trade in the market. Such an issue calls for diplomacy and intuition as delegates navigate through a multi-faceted topic.