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Most Favored Nation (MFN) Clause

24/1/19 Most Favored Nation (MFN) Clause

A most favored nation clause is a provision, included in international trade agreements, whereby each contracting nation agrees to accord each other the same favorable terms that are offered in agreements entered into with any other nation. It is a method of establishing equality of trading opportunities among states by guaranteeing that if one country is given better trade terms by another, then all other stated must get the same terms.

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