At a high-level panel on “Harnessing the benefits of digital trade” on 27 June at the Aid for Trade Global Review, speakers discussed the potential of digital trade to support growth and innovation in developing economies.
They highlighted the rapid expansion of digitally delivered services and the importance of building the necessary infrastructure to help countries participate in the digital economy.
The challenges and opportunities for developing economies, particularly African countries, in exploiting their digital trade potential were also discussed. Speakers underlined the need for improved digital connectivity, a supportive regulatory environment and trade capacity building.
In her opening remarks, WTO Director-General Ngozi Okonjo-Iweala said: “The digital economy presents immense opportunities for growth, innovation, development and inclusivity. Trade in digitally delivered services is the fastest growing segment of global trade, growing at an average of 8% per year since 2005 and quadrupling in value to reach $4.25 trillion last year. This growth is faster than growth for trade in goods and even for other services. It's particularly promising in Africa, and it's promising in other developing parts of the world.”
Ambassador Hung Seng Tan of Singapore provided some insights into what developing economies can do to achieve greater integration into the digital economy.
He said that it is important for developing economies to fully embrace digital trade because it is becoming the engine of economic growth.
He also encouraged developing economies to participate in the formulation of digital trade rules in the WTO and develop their digital infrastructure. This encompasses issues such as digital identity, authorisation and consent, e-payment interoperability, and data exchange.
David Yardley, of the Australian Department of Foreign Affairs and Trade provided an update on the e-commerce negotiations taking place at the WTO under the joint statement initiative.
