What was the Group of 77 ? Why was it formed ? Describe its aim and activities.
(a) The Group of 77 was a group of developing nations which have become independent in 1950s and 1960s. (b) The main reasons for its formation were as mentioned below : The IMF and the World Bank were designed to meet the financial needs of the industrial countries. They were not equipped to cope with the challenge of poverty etc. of the developing countries. The former colonial powers still controlled and exploited vital natural resources of former colonies or developing countries (c) Thus the developing countries formed the Group of 77 to demand a new international economic order (NIEO) as mentioned below : Real control over their natural resources. More development assistance. Fairer prices for raw materials. Better access for their manufactured goods in developed countries’ markets. Thus it was a reaction to the activities of the Bretton Woods system and to protect the interests of the developing countries.
