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The New World Order and Its Perils for the Global South

Major Ali Imran

Maj. Ali Imran, Security Officer, writes & coaches security topics to aspirants.

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18 July 2025

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The shift from a unipolar to a multipolar world order presents significant perils for the Global South, transforming these nations into battlegrounds for great power competition. This includes heightened risks of proxy warfare, economic exploitation through debt-trap diplomacy, increased economic vulnerability due to trade weaponization, erosion of sovereignty, and intensification of internal conflicts. To navigate these dangers, the article suggests that the Global South must adopt a strategic blueprint emphasizing non-alignment, strengthened regionalism, multilateral reform, and diversified economic partnerships.

The New World Order and Its Perils for the Global South

The global geopolitical landscape is undergoing a tectonic shift, marking the transition from a unipolar era to a complex, multipolar new world order. This transformation, characterized by the ascendancy of new global powers such as China and the resurgence of regional actors, is fundamentally reshaping international relations, economic structures, and power dynamics. While this evolving paradigm may offer opportunities for global recalibration, it presents profound and often perilous challenges for the nations of the Global South, a contemporary term for what was once called the "Third World." Caught in the vortex of great power competition, these nations face heightened risks of economic exploitation, political subjugation, and becoming unwilling arenas for proxy conflicts. A clear-eyed understanding of the implications of this new world order is therefore crucial for these countries to navigate its inherent dangers and harness its limited opportunities.

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From Cold War Blocs to a Multipolar World: A Brief History

The term "Third World" was a product of the Cold War, coined by French demographer Alfred Sauvy in 1952 to describe nations that were not formally aligned with either the capitalist "First World" (led by the United States) or the communist "Second World" (led by the Soviet Union). Today, this anachronistic term has been largely replaced by "Global South" or "developing countries," denoting nations in Africa, Asia, and Latin America grappling with developmental challenges.

The "World Order" refers to the prevailing distribution of power and the system of rules and institutions that govern international affairs. The post-World War II order was starkly bipolar, defined by the ideological and geopolitical rivalry between the U.S. and the USSR. The collapse of the Soviet Union in 1991 ushered in a unipolar moment, where the United States stood as the sole superpower, its influence shaping global politics, economics, and security.

This unipolarity, however, has proven to be transient. The 21st century has witnessed the steady erosion of American hegemony and the rise of a multipolar system. This shift has been driven by several key factors:

  • China's Economic Ascendancy: China's transformation into the world's second-largest economy, its technological advancements in areas like 5G and AI, and its ambitious Belt and Road Initiative (BRI) have established it as a peer competitor to the U.S.
  • Resurgence of Russia: Under Vladimir Putin, Russia has reasserted its geopolitical influence, using its energy resources as a strategic lever and demonstrating its military capabilities in conflicts from Georgia to Ukraine.
  • Rise of Regional Powers: Nations like India, Brazil, Turkey, and Saudi Arabia are increasingly asserting their influence, pursuing independent foreign policies and creating a more fragmented and unpredictable global landscape.
  • Creation of Alternative Institutions: The formation of blocs like BRICS (Brazil, Russia, India, China, South Africa) and the Shanghai Cooperation Organisation (SCO) challenges the post-war, Western-dominated financial architecture of the IMF and World Bank.

The Perilous Implications of Multipolarity for the Global South

1. The Resurgence of Proxy Warfare and Regional Instability

In a multipolar world, the Global South is increasingly becoming the chessboard for great power competition. Rather than direct confrontation, major powers engage in proxy wars, supporting opposing factions in regional conflicts to advance their own strategic interests. This dynamic exacerbates instability, prolongs conflicts, and inflicts devastating humanitarian costs.

  • Contemporary Evidence: The Syrian Civil War serves as a textbook example, where Russia and Iran supported the Assad regime, while the U.S., Turkey, and Gulf states backed various rebel groups, turning the country into a fractured battleground. More recently, the conflict in Ukraine has had cascading effects on the Global South. The blockade of grain exports and disruptions in energy markets triggered a severe food and energy crisis across Africa and the Middle East, demonstrating how a distant conflict can directly destabilize developing nations.

2. The Debt-Trap Diplomacy and Neo-Colonialism

In their quest for resources and influence, emerging powers, particularly China, have extended massive loans for infrastructure projects across the Global South. While these investments can offer development opportunities, they often come with opaque terms, high interest rates, and a lack of transparency, leading to unsustainable debt burdens.

  • Contemporary Evidence: Sri Lanka's Hambantota Port is a widely cited case. After Sri Lanka was unable to service its Chinese loans, it was compelled to lease the port to a Chinese state-owned company for 99 years in 2017, a move critics decried as a "debt-trap" that compromised national sovereignty. Similar concerns have been raised about projects in several African nations, such as Djibouti, where Chinese debt amounts to a significant portion of its GDP, raising fears of strategic leverage over its key port facilities.

3. Economic Vulnerability and Trade Weaponization

The rivalry between major powers is increasingly being fought in the economic arena. Trade wars, sanctions, and technology restrictions create significant volatility for developing economies that are deeply integrated into global supply chains.

  • Contemporary Evidence: The U.S.-China trade war, initiated in 2018, disrupted global trade and forced countries in Southeast Asia and beyond to navigate a treacherous path between their two largest trading partners. More recently, Russia's invasion of Ukraine led to Western sanctions that, while targeting Russia, caused a spike in global energy and food prices. Pakistan's inflation, for example, soared to multi-decade highs in 2022-23, partly driven by the surge in import costs for fuel and wheat, directly linked to the conflict.

4. Erosion of Sovereignty and Diplomatic Coercion

In a multipolar order, developing nations are subjected to intense diplomatic pressure to align with one bloc over another. This "with us or against us" dynamic severely constrains their foreign policy autonomy and ability to make decisions based on their own national interests.

  • Contemporary Evidence: The pressure on African nations to condemn Russia's invasion of Ukraine at the UN is a clear example. Many chose to abstain, attempting to maintain a non-aligned stance, but faced diplomatic pressure from both Western and Russian blocs. Similarly, Pakistan's deep strategic alignment with China through the China-Pakistan Economic Corridor (CPEC) has created persistent friction in its relationship with the United States and India, influencing its foreign policy calculus on numerous fronts.

5. Intensification of Terrorism and Internal Conflicts

Geopolitical competition often involves the exploitation of internal ethnic and sectarian fault lines within developing nations. External powers may arm and fund non-state actors and extremist groups to destabilize rival-aligned governments, escalating terrorism and internal strife.

  • Contemporary Evidence: The conflict in Yemen has been fueled by a proxy war between Saudi Arabia (backed by the West) and Iran (backing the Houthi rebels), resulting in one of the world's worst humanitarian crises. In the Sahel region of Africa, the presence of competing foreign military forces (French, American, and now Russian Wagner Group mercenaries) has complicated counter-terrorism efforts and, in some cases, exacerbated instability.

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A Strategic Blueprint for the Global South

To navigate this treacherous new world order, developing nations must adopt a proactive and strategic approach.

  1. Embrace Strategic Non-Alignment: Rather than being forced into rigid alliances, nations of the Global South should pursue a flexible, multi-aligned foreign policy, engaging with all major powers based on specific, issue-based national interests.
  2. Strengthen Regionalism: Robust regional organizations like the African Union (AU), ASEAN, and Mercosur can provide a collective platform to enhance bargaining power, resolve disputes internally, and resist external pressures.
  3. Advocate for Multilateral Reform: The Global South must collectively demand reform of global governance institutions like the UN Security Council, the IMF, and the World Bank to ensure their representation and interests are protected.
  4. Diversify Economic Partnerships: Reducing dependency on a single power for trade, investment, and technology is critical. This involves fostering South-South cooperation and building resilient, diversified economies.

Conclusion

The transition to a multipolar world order is fraught with peril for the nations of the Global South. The risks of becoming pawns in great power games, falling into debt traps, and suffering from economic coercion are real and immediate. However, this new era also presents a strategic opening. By pursuing intelligent, non-aligned foreign policies, strengthening regional cooperation, and diversifying their economic foundations, these nations can mitigate the threats and carve out a space for sovereign action. Their ability to navigate this complex landscape will not only determine their own future but will also shape the character of the 21st-century world order itself.

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18 July 2025

Written By

Major Ali Imran

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Sir Syed Kazim Ali

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Sir Syed Kazim Ali

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1st Update: July 18, 2025 | 2nd Update: July 18, 2025

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