Study shows WTO collapse could slash exports of developing countries by 33%

سه‌شنبه 04 اردیبهشت 1403

New economic modelling shows developing economies would see significant long-term trade reductions without the safety-net of the World Trade Organization (WTO).

Key findings:

A 33% drop in developing countries’ merchandise trade relative to a baseline scenario with the multilateral system still in place
A permanent GDP loss to developing countries of over 5% – driven in part by a 5% decline in foreign direct investment flows
Acute export losses of 43% in low-income economies and 32% in middle-income countries
At a regional level, significant export reductions in Sub-Saharan African (42%) and South Asia (41%).

A new study commissioned by the International Chamber of Commerce (ICC) and conducted by Oxford Economics analyses the potential long-term structural impacts of WTO dissolution on developing economies and unequivocally demonstrates the vital importance of the WTO in fostering global economic growth and development.

ICC Secretary General John W.H. Denton AO said:

“This study shows what is ultimately at stake – if the international community is serious about promoting global sustainable development, we must stop any further erosion of WTO rules and strengthen the multilateral system through successful reform of the organization. It is high time to move beyond national positions and collaborate in our shared global interest.”

More information:

https://iccwbo.org/news-publications/policies-reports/study-shows-wto-collapse-could-slash-exports-of-developing-countries-by-33-percent/