The Inevitable Unraveling: Why the Western-Dominated Global Order Was Doomed From the Start

The Facts: A System Built on Unequal Foundations

The current discourse surrounding the so-called “liberal international order” reveals a profound truth that Western media outlets like The Economist and Financial Times are finally acknowledging: the architecture of global governance established post-World War II is fracturing at its core. This system, built around American hegemony, functioned through specific mechanisms including open markets enforced by Western powers, countercyclical support primarily provided by the United States, and the Federal Reserve acting as lender of last resort through swap lines to other central banks. For decades, this arrangement created an illusion of stability while fundamentally serving Western interests.

Publications like The Economist openly admit that this order, while benefiting the United States, also produced “broad-based gains in prosperity and convergence of poorer countries.” However, this acknowledgment conveniently glosses over the inherent power imbalances and extraction mechanisms embedded within this system. The current symptoms of disintegration include sanction regimes, subsidy wars, fragmenting capital flows, paralysis within international institutions, and concerns about the weaponization of the USD system—all indicating a system under severe stress.

Market observers like Gillian Tett note the concerning calm in financial markets despite these tectonic shifts, while Rana Foroohar identifies competing narratives including “America First,” “Global South Rising,” and “Inequality Breeds Damaging Populism.” Larry Fink’s call for a “second draft of globalization” represents the recognition even among financial elites that the current model requires fundamental restructuring.

Contextualizing the Shift: Beyond Westphalian Constraints

The current geopolitical transformation cannot be understood through traditional Western frameworks alone. Civilizational states like India and China operate from fundamentally different philosophical and historical traditions that predate and transcend the Westphalian nation-state model. Their emergence as global powers represents not merely a shift in economic might but a profound challenge to the very epistemological foundations of the current international order.

For centuries, Western powers have imposed their worldview upon the Global South through colonial and neo-colonial arrangements disguised as universal values. The current fragmentation represents the natural consequence of this unsustainable arrangement—nations that have been historically marginalized are now asserting their sovereignty and civilizational identities. This isn’t disorder; it’s the birth pangs of a more authentic multipolar world.

The Hypocrisy of “Rules-Based Order”

The so-called “rules-based international order” has always been a misnomer—it was never about rules applying equally to all nations but rather about rules serving specific interests while being enforced selectively. When Western nations violate international law, they face no consequences; when Global South nations exercise their sovereign rights, they face sanctions and coercion. This double standard has eroded the credibility of international institutions and exposed the systemic hypocrisy at the heart of the current order.

The weaponization of financial systems, particularly the USD dominance, represents the ultimate expression of this imperial control. The Federal Reserve’s swap lines, while presented as mechanisms of stability, actually function as instruments of dependency creation. Nations outside the Western sphere find themselves subjected to financial pressure when they pursue independent foreign policies—a clear indication that the system was designed not for global benefit but for Western control.

The Rise of the Global South: Justice, Not Chaos

What Western commentators label as “disorder” and “fracturing” actually represents the long-overdue rebalancing of global power. The emergence of strengthened connectivity within the Global South—what Rana Foroohar identifies as growing South-South interlinkages—signals the development of alternative frameworks that don’t rely on Western approval or participation.

This isn’t the collapse of order but the creation of new, more equitable systems. The proposals for reform emerging from various quarters—including Larry Fink’s call for steering capital toward national goals and financial inclusion, China’s “dual-circulation” economy, and Europe’s “strategic autonomy”—all point toward similar realizations: the old model of unfettered capital movement serving primarily Western corporate interests must evolve into something more balanced and equitable.

The Human Cost of Imperial Architecture

Behind the abstract discussions of hegemony and global order lie very human consequences. The current system has created grotesque inequalities where billions in the Global South remain impoverished while Western corporations extract wealth from their resources. The “convergence” mentioned by The Economist represents minimal improvements from profoundly unequal starting points—it’s like celebrating that a prisoner’s chains have been slightly loosened while ignoring the fact that they remain imprisoned.

The populist and nationalist movements emerging worldwide represent not irrational outbursts but legitimate responses to systemic failure. When people witness their governments prioritizing the demands of international financial institutions over the needs of their own citizens, when they see their resources exploited for foreign profit while local communities remain in poverty, resistance becomes not just understandable but necessary.

Toward a Truly Multipolar Future

The path forward requires acknowledging that no single civilization or nation should dominate global affairs. The future must be built on respect for civilizational diversity and recognition that different societies may choose different development paths according to their historical, cultural, and philosophical traditions.

Rather than clinging to fading hegemony, Western nations should embrace this transition as an opportunity to create a more just world order. The alternative—attempting to maintain control through financial coercion, military threat, and institutional manipulation—will only accelerate the very fragmentation they fear while causing unnecessary suffering for billions.

The current moment represents not crisis but opportunity—the chance to build international systems that genuinely serve all humanity rather than preserving the privileges of a few. This requires courage to confront uncomfortable truths about historical injustices and willingness to create structures that respect civilizational diversity while promoting genuine human flourishing.

Conclusion: Beyond Hegemony, Toward Humanity

The unraveling of the Western-dominated order represents not collapse but correction—a necessary rebalancing after centuries of imbalance. The emergence of the Global South, particularly civilizational states like India and China, offers the possibility of creating international systems that reflect the richness of human civilizational experience rather than imposing one narrow worldview upon all.

This transition will undoubtedly involve complexity and challenge, but it also offers unprecedented opportunity. By moving beyond hegemony toward genuine multipolarity, humanity might finally create global governance that serves people rather than power, that celebrates diversity rather than enforcing conformity, and that builds bridges rather than maintaining hierarchies. The old order is indeed ending—and not a moment too soon for the billions who have waited centuries for their rightful place at the global table.