ABSTRACT
The Most Favoured Nation (MFN) obligation calls for a country to grant to every other country with which it has signed an MFN treaty the most favourable treatment that it grants to any other country with respect to imports, exports and related regulations. Although the expression ‘most favoured nation’ suggests that some sort of special treatment or privilege is accorded to the country entitled to MFN treatment, the idea underlying the principle is the opposite, that is the main objective of the principle is to prevent discrimination, by generalizing concessions made to a specific trading partner. The MFN principle is often referred to as the cornerstone of the multilateral trading system.
