What is Transnational Governance

European Union

Post World War II it became evident to political leaders of most countries that there was a growing need to develop cordial relations amongst nations. In order to prevent any further wars and the devastation that follows in the wake of the conflict, global institutions like the United Nations and the International Court of Justice or the World Court were established.


As the world progressed and globalization started, it also became evident that nations needed to coordinate amongst themselves for economic as well as socio-political reason. Open market, free economy, international trade and other similar fiscal activities led to the development of a system of governance that circumvents geographical borders. Thus, better coordination and understanding amongst nations became essential. However, to ensure that this is done in a manner that is acceptable to all participating nations, a notion of ‘transnational governance’ began to develop.

Essential features of transnational governance have been discussed below.

Greater coordination amongst participating nations

The primary objective of transnational governance is to implement the concept of ‘World federalism’. Take for instance the European Union, which is one of the best examples of transnational governance. Herein 28 nations have developed trade relations amongst themselves, which has resulted in free movement of raw materials, minerals, goods, services and agricultural products. This has helped all the member nations progress economically.

However, it soon became essential for the nations to set up a proper governing system that upheld the rights of all the participating nations. A legal system also had to be established so that all the member states enjoyed equal rights and privileges. Hence, the Charter of Fundamental Rights of the European Union was created. A Court of Justice of the European Union was also set up to ensure that the legal rights of all member states were upheld.

This form of transnational governance proved to be beneficial to all member nations. As people could easily travel across international borders within the EU movement of goods and services also became easier. This also helped European nations to become economically successful and progressive.

Boost to the economy

For a nation to be economically progressive, it is essential to ensure that there is free movement of labour. Skilled and semi-skilled labourers must be prepared to move across borders within a country to make a country economically secure. It has been observed that countries where workers refuse to leave their hometowns in search of better opportunities, are often nations that are still economically backward. With the coming of transnational governance, workers will be able to move across international borders.

Nations participating in ‘transnational governance’ allow workers to move across borders and look for work. For example, a European Union worker does not need a visa to go and work anywhere within the Union. However, a worker coming from a country outside the Union will require a specific visa to live and work in that country. Thus, by becoming a participant in the form of transnational governance, countries can become economically stable as well.

Reduction of political conflicts

Continued political conflict amongst the two countries can prove to be a major strain on the economies of both nations. In such a situation, one of the easiest methods of resolving the conflict would be to develop a form of the trade relationship that is beneficial to both nations.

It has also been observed that nations participating in the form of transnational governance have been successfully able to resolve many political issues. Violent conflicts amongst nations can be avoided if they are already supported by a legal and judicial system that takes into consideration the rights of all the states participating in international, federal governance.

Boost to education

Nations participating in the form of international, federal governance benefit in several ways and one of these is education. As geographical borders are no longer strict boundaries, students can easily go from one country to another for further studies. This creates a favourable atmosphere for cultural exchange. As students learn about the culture and heritage of the nation, they pursue further studies, and they also take with them the culture and heritage of their homelands. Thus, it creates an atmosphere of understanding and cultural exchange.

It has also been found that such student exchange programmes have also given a boost to research opportunities. Subsequently, it has led to more significant investment into scientific research which has resulted in greater technological advancement, especially amongst nations participating in transnational governance.

Financial security

A major objective of transnational governance is to provide participating nations with a sense of security. For example, within the framework of federal governance if one state is financially weak, then other states of the nation will help it out. Similarly, when this framework is broadened, it leads to an international federation of countries. Herein if a nation is financially weak or is in debt, then other nations belonging to the federation will make efforts to help it. This provides all member states with a sense of security which is essential for any country to progress.

In recent history, one such incident occurred when Greece, a member of the European Union, fell into debt. It was helped by the member nations of the European Union to overcome its fiscal deficit. This helped the economy of Greece to recover. Without the help of the European Union, the condition of Greece would have been catastrophic.

Thus, with globalization and increased trade relations amongst nations, it has become evident that a form of transnational governance must be introduced to uphold the dignity and rights of all nations.

After the devastation of World War II, great thinkers and politicians like Mahatma Gandhi, Bertrand Russell and Albert Einstein promulgated the idea of greater coordination amongst countries. It is this coordination that has been taking shape as the European UnionEuropean Union, transnational governance and world federation. Better governance is essential to uphold human rights and to ensure that all human beings can live with dignity. 

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1090 Words

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Feb 17, 2020

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3 Pages

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