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Add to Preferred SourcesA new information note published by the WTO Secretariat looks at how the COVID-19 pandemic has affected the participation of least-developed countries (LDCs) in global trade.
Most LDCs have experienced a significant decline in export earnings since the outbreak of COVID-19. The report anticipates that the downturn in world trade in 2020 will continue to be particularly severe for LDCs.
LDC exports of textiles and clothing have been badly affected by declining global demand and supply chain disruptions. In addition, LDCs that depend on tourism revenues are being hard hit by the slump in this sector.
The note underscores that the pandemic is undermining the development gains of countries such as Angola, Bangladesh and Vanuatu that are expected to graduate from LDC status in the near future.
The note also collates the measures that LDCs have taken to combat the pandemic, ranging from strengthening health care systems to providing stimulus packages to export-oriented sectors and liquidity support for small and medium-sized enterprises.
In early May, the LDCs group called on other WTO members to refrain from imposing export prohibitions or restrictions on medical goods and food. They urged governments to facilitate trade in these goods, including by implementing the provisions in the WTO’s Trade Facilitation Agreement.
The report notes that the international community is seeking to support LDCs’ participation in world trade by providing debt relief and strengthening social sectors.
Read the report: The COVID-19 Pandemic and Trade-Related Developments in LDCS.
Original source: WTO
Published on 10 June 2020