Most favoured Nation (MFN) Clause in international agreements is designed to ensure that each party will be treated on exactly the same footing as the most favoured third country. The International Law Commission of the United Nations defines MFN as,
-----treatment accorded by the granting state to the beneficiary state or to persons or things in determined relationship with the state, no less favourable than treatment extended by the granting state to a third state or to persons or things in the same relationship with that third state.
 Report of the International Law Commission on the Work of Its Thirtieth Session,  2Y.B. Intl L. Commn 5, UN Doc. A/33/192(1978), reprinted in 17 Intl Legal Materials 1518 (1978).