In an experience-sharing session held the same day, members stressed the importance of accelerating digital trade growth within developing economies.
The Organisation for Economic Co-operation and Development (OECD) noted that Aid-for-Trade disbursements reached USD 48 billion in 2023, representing a 5 percent decrease from 2022. While most funds were channelled towards strengthening infrastructure and productive sectors, the OECD noted, only 2 percent of Aid for Trade was allocated to trade policy and regulations.
Representatives from Australia, Barbados, the Pacific Islands Forum and the United Kingdom shared their insights into ways to increase the participation of developing economies in the multilateral trading system. They highlighted that it is important for economies to develop and implement national strategies and to coordinate effectively with development partners. For example, progress in implementing the Pacific Aid-for-Trade Strategy, covering services, e-commerce, trade facilitation and quality infrastructure, was acknowledged.
The financial support dedicated to the WTO accession of Comoros and Timor-Leste was highlighted. Speakers also acknowledged the support provided under the Advisory Centre on WTO Law, the Enhanced Integrated Framework, the Fish Fund and the Standards and Trade Development Facility.
The role of cooperation among developing economies in strengthening these economies’ trade capacities was also recognized. Speakers welcomed greater collaboration with the private sector on scaling up financial support.
Members also examined the European Union’s 2024 Aid for Trade Progress Report. As one of the top donors of Aid for Trade, the European Union and its member states provided 36 percent of the total disbursements in 2022, accounting for EUR 22 billion. The report also highlighted the role of Aid for Trade in creating an enabling environment for investments under the EU’s Global Gateway investment strategy.
According to the Digital Trade Integration Database of the European University Institute, the level of integration into digital trade differs widely across economies, with fewer enabling policies observed in lower-income economies. The database contains information on the digital trade policies of 146 economies.
Speakers noted that in Africa, digital trade integration is being held back by regulatory fragmentation, infrastructure gaps and limited access of small businesses to digital markets.
To bolster the continent’s digital trade expansion, speakers underlined the importance of technical assistance and capacity-building activities to harmonize digital trade regulations, investments in broadband and logistics and greater access of small businesses to digital trade finance.
For example, speakers stressed the importance of fully implementing the Digital Trade Protocol of the African Continental Free Trade Area. Estimates indicate this could increase intra-regional trade in services by up to 10.3 per cent.
- More information on the WTO-led Aid for Trade initiative can be found here.
The post WTO members look into bolstering support for trade policies, fast-tracking digital trade growth appeared first on Caribbean News Global.
