Trade monitoring
Foreword
This report is published in the context of the joint OECD-WTO Aid for Trade Monitoring and Evaluation exercise which underpins the WTO’s 8th Global Review of Aid for Trade on “Empowering Connected Sustainable Trade” (July 2022). This is the eighth volume of the Aid for Trade at a Glance series.
Executive summary
The 2022 Aid for Trade Monitoring and Evaluation (M&E) exercise takes place amidst crises of unprecedented magnitude significantly affecting trade and investment. The COVID-19 pandemic has caused severe human and economic losses slowing down and in some cases reversing hard won progress towards the Sustainable Development Goals (SDGs). Countries lacking the capacity to implement large monetary and fiscal stimuli were hit hard experiencing widening inequalities. While 2021 showed signs of a swift recovery in early 2022 Russia’s war against Ukraine created a major humanitarian crisis and derailed economic growth prospects. Spikes in the price of energy and food caused by the war combined with rapidly rising inflation are posing serious food security risks in low-income countries (LICs).
Statistical note
According to the WTO Task Force on Aid for Trade projects and programmes are part of aid for trade if these activities have been identified as trade related development priorities in the partner country’s national development strategies.
Explanatory note
The aid-for-trade country profiles provide factual information aid-for-trade financing flows trade costs trade performance and key development indicators at the country level. The aim is to compare a performance in these four categories for the year 2020 as compared to 2006 the year of the inception of the aid-for-trade initiative and against country group benchmarks for these selected indicators. The aim of the country profiles is to stimulate debate on aid-for-trade effectiveness.
Aid for Trade Global Review 2022
Aid for Trade seeks to enable developing countries and in particular least-developed countries (LDCs) to use trade as a means of fostering economic growth sustainable development and poverty reduction. It promotes the integration of developing countries especially LDCs into the multilateral trading system and aims to galvanize support to build supply-side capacity and trade-related infrastructure in these countries to improve trade performance. This publication draws on the responses provided by participants to the questionnaire of the 2022 OECD–WTO Aid for Trade monitoring and evaluation (M&E) exercise which underpins the WTO’s 2022 Global Review of Aid for Trade. This publication presents an analysis of the M&E questionnaire responses and describes priority areas and issues for the Aid for Trade Initiative for 2022 and the coming years.
Introduction
Aid for Trade seeks to enable developing countries and in particular least-developed countries (LDCs) to use trade as a means of fostering economic growth sustainable development and poverty reduction. It promotes the integration of developing countries especially LDCs into the multilateral trading system and aims to galvanize support to build supply-side capacity and trade-related infrastructure in these countries to improve trade performance.
Foreword
The successful conclusion to the WTO’s 12th Ministerial Conference (MC12) is an important step towards a stronger and more effective multilateral trading system. MC12 shows that the WTO delivers results for the benefit of people around the world. MC12 has also highlighted the important role of the WTO in addressing the problems of the global commons in areas such as the environment and food security and in acting in the interests of members across different levels of economic development.
Conclusion
The results of the 2022 OECD–WTO monitoring and evaluation (M&E) exercise underline the need for more Aid for Trade and for better-targeted financing. They confirm that the COVID-19 pandemic was a significant setback for the integration into world trade of many developing countries and for their development prospects especially for least-developed countries (LDCs).
Executive summary
Trade objectives feature prominently in the development strategies of developing countries. Despite the COVID-19 pandemic trade remains a development priority. This is the strong message that emerges from the 2022 Aid for Trade monitoring and evaluation (M&E) exercise conducted jointly with the Organisation for Economic Co-operation and Development (OECD).
Trade negotiations and discussions
Changes to the rules of trade require the agreement of WTO members who must reach a decision through negotiations.
Introduction
The overall objective of the WTO is to help its members use trade as a means to raise living standards create jobs and improve people’s lives. The WTO operates the global system of trade rules and helps developing countries build their trade capacity. It also provides a forum for its members to negotiate trade agreements and to resolve the trade problems they face with each other.
Secretariat and budget
The WTO Secretariat has over 600 regular staff and coordinates the activities of the WTO. Most of the WTO’s annual budget consists of contributions by its members.
Outreach
The WTO maintains regular dialogue with the business community non-governmental organizations parliamentarians other international organizations the media and the general public to enhance cooperation and raise awareness of trade issues.
Dispute settlement
WTO members bring disputes to the WTO if they think their rights under trade agreements are being infringed. Settling disputes is the responsibility of the Dispute Settlement Body.
12th Ministerial Conference – a snapshot
The 12th Ministerial Conference took place from 12 to 17 June 2021 at the WTO’s headquarters in Geneva. It was originally scheduled to take place in December 2022 but was postponed due to the pandemic.
Implementation and monitoring
Various WTO councils and committees seek to ensure that WTO agreements are being properly implemented. All WTO members undergo periodic scrutiny of their trade policies and practices.
Supporting development and building trade capacity
The WTO aims to help developing countries build their trade capacity and allows them a longer time to implement trade agreements. Hundreds of training courses are organized each year for officials from developing countries.
Membership
The WTO currently has 164 members. The accession process for new members promotes their integration into the global economy.