On the eve of the WTO Ministerial Conference MC14, Ngozi Okonjo-Iweala called on developing economies to urgently fix gaps in digital infrastructure and data systems that are limiting their participation in global services trade.
Ministers from Ghana, Jamaica, Cambodia, and Rwanda joined the discussion, stressing that despite services growing at over 5% annually worldwide, least developed countries (LDCs) still account for less than 1% of global services exports. They highlighted that the problem is not lack of opportunity, but lack of digital readiness.
Officials pointed out that weak internet connectivity, low access to digital payments, and poor trade data systems continue to block growth. Broadband penetration in LDCs averages around 25%, far below the global average of nearly 70%, while digital financial access remains limited. These gaps make it difficult for countries to participate in high-growth sectors such as fintech, IT services, and remote professional work.
To address these challenges, the Trade in Services for Development (TS4D) initiative, launched in 2024 by the World Trade Organization and the World Bank, is rolling out tools to help governments identify and remove barriers. A key component is the Services Trade Competitiveness Diagnostic Dashboard, which maps regulatory restrictions, data gaps, and digital readiness levels to support evidence-based policymaking. Officials say such barriers currently reduce services export potential in developing countries by as much as 20–30%.
International support for the initiative is also increasing. The United Kingdom has announced a £500,000 contribution to the WTO Global Trust Fund to strengthen TS4D implementation, while organizations such as UNCTAD are supporting efforts through technical assistance and policy guidance. The initiative is expected to be rolled out across more than 50 countries.
Participating nations highlighted sector-specific opportunities if these barriers are addressed. Ghana pointed to services as a driver of economic transformation and diversification, Jamaica emphasized cultural exports like entertainment and fashion through digital platforms, Cambodia called for workforce training and regulatory reforms, and Rwanda identified logistics and digital services as key to building a knowledge-based economy.
A major concern raised during the meeting was the lack of reliable services trade data. Many LDCs do not have complete statistics, making it difficult to design targeted policies or attract investment. At the same time, regulatory challenges—such as complex licensing systems and restrictions on foreign participation—continue to limit market access.
Officials noted that digitally delivered services are becoming a significant part of global trade, yet participation from LDCs remains minimal due to these structural constraints. The TS4D initiative aims to address this through coordinated efforts in data generation, regulatory reform, and capacity building, with targets including a 15% increase in services exports and up to $50 billion in trade gains by 2030.
As WTO members prepare for negotiations on key issues at MC14, including fisheries, agriculture, and dispute settlement, services trade is emerging as a critical area for inclusive growth. The discussions reflect a broader shift in focus from rule-making to enabling participation, particularly for developing economies.
With digital infrastructure now central to trade competitiveness, officials stressed that closing the digital gap will be essential for ensuring that developing countries can fully benefit from the expanding global services economy.