DOCSLIB.ORG

Special and Differential Treatment of Developing Countries in the World

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Special and Differential Treatment of Developing Countries in the World Global Development Studies No. 2 Knowledge is essential in an increasingly Peter Kleen was Director General of the complex world. In order to contribute to a National Board of Trade in Sweden better understanding of global development At present there are no agreed criteria for determining when Special and from 1992-2004. Previously he had and an increased effectiveness of develop- Differential Treatment (SDT) of developing countries in the World Trade worked in the Board from 1968; in ment co-operation, the EGDI secretariat of Organization (WTO) should be applied or what purpose it should serve. Global Development 1991-1992 he was Project Manager for the Swedish Ministry for Foreign Affairs, The study analyses possible criteria for and aims of SDT as well as discusses Studies No. 2 the Uruguay Round in the Federation manages the Global Development Studies the development aspects of existing provisions. It considers the actual and of Swedish Industries. Since 1995, Mr series. The studies in this series are potential benefits to developing countries of SDT and puts forward a Kleen has been a member of the Special and Differential Treatment of Developing Countries in the World Trade Organization Trade of Developing Countries in the World Special and Differential Treatment initiated by the Ministry, but written by number of policy proposals to increase its effectiveness. World Trade Organization’s panel to independent researchers. settle disputes between members. Among the key issues examined are: Another task of the secretariat is to serve Sheila Page is a Research Fellow at the the EGDI (Expert Group on Development • How SDT can serve the interests of developing countries Overseas Development Institute, UK. Issues) in its efforts to channel research • Developing countries’ trade patterns and their use of trade preferences She has been a board member of several findings into the heart of policymaking. Special and Differential Treatment associations and panels dealing with The EGDI consists of internationally • The possibilities for a framework agreement for SDT in the WTO both trade and development, including renowned researchers and policymakers • How SDT has been used in the GATT and the WTO of Developing Countries in the the Development Studies Association, with extensive networks in their respective field. The group initiates and produces • Eligibility criteria for SDT 1996-1999, the Royal Economic Society, World Trade Organization 1997-2002, and the European Associa- policy relevant studies on global develop- • How to achieve more effective SDT tion of Development Research and ment. Peter Kleen and Sheila Page • SDT and policy flexibility Training Institutes 1996-2002. For futhur information please contact: • How financial assistance could complement or replace SDT The EGDI Secretariat Ministry for Foreign Affaris Department for Global Development SE-103 39 Stockholm, Sweden Phone +46 8-405 10 00 Fax +46 8-723 11 76 [email protected] www.egdi.gov.se Ministry for Foreign Affairs Sweden SE-103 39 Stockholm, Sweden Telefon +46 8-405 10 00 Fax +46 8-723 11 76 Ministry for Foreign Affairs www.egdi.gov.se Pre-publication copy Sweden SHEILA_P.AGE 05-06-21 14.49 Sida 1 Special and Differential Treatment of Developing Countries in the World Trade Organization Sheila Page and Peter Kleen Global Development Studies EGDI Secretariat Ministry for Foreign Affairs, Sweden SHEILA_P.AGE 05-06-21 14.49 Sida 2 Overseas Development Institute 111 Westminster Bridge Road London SE1 7JD UK [email protected] [email protected] Edita Norstedts Tryckeri AB 2005 SHEILA_P.AGE 05-06-21 14.49 Sida 3 Table of Contents Acronyms and Abbreviations v Executive summary vii 1 How can the multilateral trading system serve the interests of developing countries? 1 2 What is the purpose of special and differential treatment? 7 2.1 Development requires different policies from growth 8 2.2 Adjustment requires different policies 9 2.3 Developing countries need parity with developed country ‘SDT’ 9 2.4 Developing countries need non-trade compensation 10 2.5 Some types of country require different policies 10 2.6 Developing countries need assistance in integrating into the system11 2.7 SDT as aid 12 3 SDT in GATT and the WTO 13 3.1 Pre-Uruguay Round SDT 13 3.2 Uruguay Round and after 14 4 Developing countries’ trade and use of preferences 19 4.1 What preferences exist 19 4.2 Trade patterns 22 4.3 Do preferences matter? 23 General preferences 23 Special preferences 26 Country examples 27 5 SDT for policy flexibility and to meet the costs of implementation 31 5.1 Does SDT to give countries policy flexibility matter? 31 5.2 Country examples 34 5.3 SDT for the costs of implementation 34 5.4 Summary of the evidence on how SDT is being used 36 6 Proposals on SDT in the current WTO negotiations 37 6.1 Negotiations 2001-2004 37 6.2 July 2004 decision 40 7 Principles for SDT 45 7.1 SDT should increase the benefits to developing countries from trade and the weight given to their interests 45 7.2 It should not be used to solve all development needs 46 i SHEILA_P.AGE 05-06-21 14.49 Sida 4 7.3 An inclusive organisation must build in flexibility 47 7.4 It must be consistent with countries’ views of their interests 48 7.5 SDT should promote integration of countries into the world trading system and support the basic aims of the WTO 49 7.6 It must avoid excessive costs to other countries and to the international system 49 7.7 SDT should be bound 51 8 Analysis of proposals using the proposed principles 57 8.1 Monitoring 57 8.2 Transition periods 59 8.3 Flexible policy (‘policy space’) 60 8.4 Soft law 61 8.5 Plurilaterals 63 8.6 Technical assistance 64 8.7 Adjustment funding and compensation 65 8.8 Flexibility for regionalarrangements 72 8.9 Consistency in the WTO 73 8.10 Assistance and synergies among the international organisations 75 9 How to determine eligibility for SDT 79 9.1 Possible methods of classification 80 General or issue specific or country-by-country classification 80 Regulated or self designation 81 9.2 Possible classifications 83 Developmental differences 83 Permanent differences 86 Size 87 9.3 Selection and graduation 90 10 How to achieve more effective SDT 97 10.1 A framework – or some general guidelines for SDT in the WTO? 97 A middle way – a revised Enabling Clause 98 Framework necessary for a coherent approach in each member country 99 10.2 What arguments might work with the developed countries? 99 10.3 Achieving agreement on a fund for preference compensation 100 10.4 Other initiatives by developed countries 102 Binding of preferences 102 Rules of origin 103 10.5 What can the more advanced developing countries do? 103 10.6 What can lower middle income countries do? 104 10.7 What can the LDCs do? 105 10.8 Improving the institutional capacity of developing countries to participate in the WTO 105 ii SHEILA_P.AGE 05-06-21 14.49 Sida 5 10.9 Institutional reform of the WTO 107 10.11 Does the WTO need a new monitoring mechanism? 107 10.12 Achieving synergy in relations with developing countries, while avoiding domination 108 Proposal: Revised Enabling Clause 109 Appendix A: Country examples 113 Appendix B: Differentiation of developing countries in non-trade contexts 117 Appendix C: Tables 119 Table 1. G8 imports from Africa: the broad picture 119 Table 2. LDC exports 1985–2002 120 Table 3. ACP exports 1985–2002 120 Table 4. AGOA exports 1985-2002 121 Table 5. Contribution of Major Export Products to Preference Margin 121 Table 6. Percentage decrease in average export unit values 122 Table 7. Brazil’s exports 1985–2002 123 Table 8. India’s exports 1985–2002 123 Table 9. Mauritius’ exports 1985–2002 123 Table 10. Kenya’s exports 1985–2002 124 Table 11. Malawi’s exports 1985–2002 124 Table 12. Vietnam’s exports 1985–2002 124 Bibliography 125 Acknowledgements 137 iii SHEILA_P.AGE 05-06-21 14.49 Sida 6 Foreword In order to contribute to a better understanding of global development the Swedish Ministry for Foreign Affairs has established a series of research reports on current global issues. The objective of the series labelled Global Development Studies is to channel research findings to the heart of policymaking in Sweden and elsewhere. The studies are initiated by the ministry and managed by its EGDI-Secretariat (Expert Group on Development Issues) but written by independent researchers. The issue of Special and Differential Treatment (SDT) of developing countries in the WTO system has been a subject of debate for a number of years. As the international trading system has developed over time, and grown more complex, the importance of SDT has increased. In the ongoing WTO-negotiations under the Doha Development Agenda, SDT is seen as a key issue. Consequently, there were compelling grounds to undertake a comprehensive review of the special rules and benefits for developing countries provided for under WTO rules. The study analyses the development of the provisions for special and differential treatment within the WTO system and the actual and potential development effects of existing provisions. It puts forth a number of suggestions for how to improve the current system. With this study we wish to contribute to the international discussion on these issues in the WTO and the international system at large. Annika Söder, State Secretary for International Development Cooperation Lars-Olof Lindgren, State Secretary for International Trade Policy iv SHEILA_P.AGE 05-06-21 14.49 Sida 7 Acronyms and Abbreviations ACP African, Caribbean and Pacific group
Load more

Recommended publications
  • International Trade and Development
    United Nations A/73/208 General Assembly Distr.: General 17 August 2018 Original: English Seventy-third session Item 18 (a) of the provisional agenda* Macroeconomic policy questions International trade and development Report of the Secretary-General Summary The green shoots of the recovery in global trade that began in 2017 have continued in 2018, with trade growth outpacing the growth of global gross domestic product once again. While this would normally lead to an optimistic outlook, the integrity of the multilateral trading system is under threat, and with it, the prospects for sustained global trade growth and the achievement of a comprehensive development agenda. The latest trade statistics are described in the present report, as well as the ways in which a revitalized and resilient multilateral trading system will allow trade to fulfil its role as an enabler for the realization of the 2030 Agenda for Sustainable Development and the Sustainable Development Goals. * A/73/150. 18-12039 (E) 280818 *1812039* A/73/208 I. Trends in trade 1. In 2017, after two years of decline, global trade finally rebounded. It grew by 9 per cent compared with the previous year, reaching a value close to $23 trillion. Despite the increase, international trade remained about $1.2 trillion below its peak, attained in 2014. According to forecasts from the World Trade Organization (WTO) and the Department of Economic and Social Affairs, trade is expected to grow by about 4.5 per cent in 2018, in line with global output. 2. Notwithstanding the recovery, it is worth noting that there has been a change in international trade dynamics.
    [Show full text]
  • Differentiation Between Developing Countries in the WTO
    Differentiation between Developing Countries in the WTO Report 2004:14 E Foto: Mats Pettersson Differentiation between Developing Countries in the WTO Swedish Board of Agriculture International Affairs Division June 2004 Authors: Jonas Kasteng Arne Karlsson Carina Lindberg Contents PROLOGUE.......................................................................................................................................................... 3 EXECUTIVE SUMMARY................................................................................................................................... 5 1 INTRODUCTION ....................................................................................................................................... 9 1.1 Purpose of the study............................................................................................................................. 9 1.2 Limitations of the study ....................................................................................................................... 9 1.3 Background to the discussion on differentiation................................................................................ 10 1.4 Present differentiation between developing countries in the WTO.................................................... 12 1.5 Relevance of present differentiation between developing countries in the WTO .............................. 13 1.6 Outline of the new differentiation initiative......................................................................................
    [Show full text]
  • The Case for State-Led Trade Policies in Economic and Human Development
    SIT Graduate Institute/SIT Study Abroad SIT Digital Collections Independent Study Project (ISP) Collection SIT Study Abroad Fall 2016 The aC se for State-Led Trade Policies in Economic and Human Development Prahlad Krishnan SIT Study Abroad Follow this and additional works at: https://digitalcollections.sit.edu/isp_collection Part of the African Studies Commons, Economic Policy Commons, Growth and Development Commons, International Economics Commons, and the Regional Economics Commons Recommended Citation Krishnan, Prahlad, "The asC e for State-Led Trade Policies in Economic and Human Development" (2016). Independent Study Project (ISP) Collection. 2443. https://digitalcollections.sit.edu/isp_collection/2443 This Unpublished Paper is brought to you for free and open access by the SIT Study Abroad at SIT Digital Collections. It has been accepted for inclusion in Independent Study Project (ISP) Collection by an authorized administrator of SIT Digital Collections. For more information, please contact [email protected]. The Case for State-Led Trade Policies in Economic and Human Development Author: Prahlad Krishnan Advisor: Mwambutsya Ndebesa Academic Director: Charlotte Mafumbo Kampala, Uganda Fall 2016 This paper is dedicated to Charlotte Mafumbo, who opened up new doors for me and inspired me to explore new areas 2 Acknowledgements This paper would not have been possible without the help, support and inspiration of numerous individuals. I’d like to thank my Academic Director, Dr. Charlotte Mafumbo, for her passion and support in opening up new opportunities for me every day. Whether it was helping coordinate interviews or giving advice on writing, Dr. Mafumbo was invaluable to the making of this paper. I would also like to thank Mr.
    [Show full text]
  • Chapter 4 Agricultural Policy Reforms in Asia
    Chapter 4 Agricultural policy reforms in Asia: an overview of trends, issues and challenges21 by Sisira Jayasuriya22 I. Introduction The thirtieth anniversary of the beginning of Chinese agricultural policy reforms occurs at a time when the world economy is facing the daunting challenges of what may prove to be the greatest economic downturn since the Great Depression. These developments are calling into question the globalization processes and policy reforms that in recent times facilitated the embrace of globalization and enabled rapid growth in China and other Asian economies (e.g. India and Viet Nam). In particular, there is a strong upsurge of protectionism, just when an open international trading environment and global economic cooperation have become essential to avoid a contraction of trade that could aggravate the downturn and hamper recovery. It is imperative that we look at the past to draw lessons that can help prepare for the policy challenges ahead. This paper reviews the agricultural policy reform process in the Asian region, focusing on major themes that have characterized policy reforms during the past three decades. It places the agricultural reforms in the broader setting of a strong shift towards pro-market and outward-oriented policy liberalization. Given the enormous diversity within Asia, any broad generalizations are hazardous and likely to mask pronounced intraregional differences. Nevertheless, some common elements and broad themes can be seen when looking at the region as a whole, though not all countries conform to any single generalization. This paper’s primary focus is on Asian policy developments outside of China because the Chinese experience is covered in depth in other papers.
    [Show full text]
  • Intra-ASEAN Trade – Gravity Model and Spatial Hausman-Taylor Approach
    Working Paper No. 20/2017 | December 2017 Intra-ASEAN trade – Gravity model and Spatial Hausman-Taylor approach Phung Duy Quang Foreign Trade University (FTU), Vietnam [email protected] Pham Anh Tuan Vietnam Military Medical University Nguyen Thi Xuan Thu Diplomatic Academy of Vietnam Abstract: This study examines determinants of intra-industry trade between Vietnam and Asean countries. By solving endogenous problem and applying Hausman-Taylor model for panel two-way dataset, we detect that export flows of Vietnam gravitate to neighbouring countries and those with similar GDP. More importantly, the research indicates the existence of spatial-lag interaction. Keywords: Intra-trade, export, import, gravity model, two-dimensions fixed effect panel model, Hausman- Taylor model, Spatial Hausman - Taylor model. Research for this paper was funded by the Swiss State Secretariat for Economic Affairs under the SECO / WTI Academic Cooperation Project, based at the World Trade Institute of the University of Bern, Switzerland. SECO working papers are preliminary documents posted on the WTI website (www.wti.org) and widely circulated to stimulate discussion and critical comment. These papers have not been formally edited. Citations should refer to a “SECO / WTI Academic Cooperation Project” paper with appropriate reference made to the author(s). 1 ACKNOWLEDGMENTS From my heart, I would like to show my gratitude and sincere thanks to Dr. Anirudh ([email protected]), from World Trade Institute, Switzerland, who is my mentor, for guiding me to find out research, practical approach, looking for material, processing and data analysis, solving problem ... so that I can complete my research. Also, in the process of learning, researching and implementing the research I was getting a lot of attention, suggestions, supporting from my precious colleagues, expertise and organizations.
    [Show full text]
  • Trade Negotiations and Discussions in 2020 44 Agriculture
    Trade 4negotiations and discussions Changes to the rules of trade require the agreement of WTO members, who must reach a decision through negotiations. A meeting of the Trade Negotiations Committee in early March 2020. 40 Trade negotiations and discussions in 2020 44 Agriculture 48 Market access for non- agricultural products 48 Services 50 Trade-related aspects of intellectual property rights (TRIPS) 51 Trade and development 52 Trade and environment 53 Rules negotiations: Fisheries subsidies, other WTO rules 56 Dispute Settlement Understanding 57 Joint initiatives 64 Informal Working Group on Trade and Gender TRADE NEGOTIATIONS AND DISCUSSIONS Trade negotiations and discussions in 2020 The COVID-19 pandemic forced COVID-19 pandemic WTO negotiating bodies to adopt a variety of formats for work, including In mid-March 2020, in line with the Swiss virtual meetings. Government’s recommendations, the then Director-General and Chair of the Trade WTO members advanced negotiations on Negotiations Committee (TNC), Roberto WTO members fisheries subsidies, although progress Azevêdo, suspended all meetings at the expressed concerns was insufficient to secure a deal in 2020. WTO, in coordination with the General about export A high degree of engagement was seen Council Chair, until the end of April because restrictions on in the agriculture negotiations. of the COVID-19 pandemic. In the months medical supplies that followed, the WTO continued its and food. The joint initiatives continued to draw meetings through a variety of formats – interest from an increasing number in-person (with limited numbers of of members in 2020. Their processes delegations), fully virtual or hybrid. remained transparent and inclusive.
    [Show full text]
  • Repaving the Ancient Silk Routes
    PwC Growth Markets Centre – Realising opportunities along the Belt and Road June 2017 Repaving the ancient Silk Routes In this report 1 Foreword 2 Chapter 1: Belt and Road – A global game changer 8 Chapter 2: China’s goals for the Belt and Road 14 Chapter 3: Key sectors and economic corridors 28 Chapter 4: Opportunities for foreign companies 34 Chapter 5: Unique Belt and Road considerations 44 Chapter 6: Strategies to evaluate and select projects 56 Chapter 7: Positioning for success 66 Chapter 8: Leveraging international platforms 72 Conclusion Foreword Belt and Road – a unique trans-national opportunity Not your typical infrastructure projects Few people could have envisaged what the Belt and Road However, despite the vast range and number of B&R (B&R) entailed when President Xi of China first announced opportunities, many of these are developed in complex the concept back in 2013. However, four years later, the B&R conditions, not least because they are located in growth initiative has amassed a huge amount of economic markets where institutional voids can prove to be hard to momentum.The B&R initiative refers to the Silk Road navigate. Inconsistencies in regulatory regimes and Economic Belt and the 21st Century Maritime Silk Road underdeveloped credit markets, together with weak existing initiatives. The network connects Asia, Europe and Africa, infrastructure and a maturing talent market all combine to and passes through more than 65 countries and regions with add further complexity for companies trying to deliver and a population of about 4.4 billion and a third of the global manage these projects.
    [Show full text]
  • Developing Countries in the Doha Round
    Reforming the World Trade Organization Developing Countries in the Doha Round & Reforming the World Trade Organization Developing Countries in the Doha Round Published by D-217, Bhaskar Marg, Bani Park Chemin du Point-du-Jour 6 bis Jaipur 302 016, India 1202, Geneva, Switzerland Email: [email protected] Email: [email protected] Website: www.cuts-international.org Website: www.fes-geneva.org Researched and written by Faizel Ismail Head of the South African Delegation to the World Trade Organization Citation Reforming the World Trade Organization Developing Countries in the Doha Round Printed by Jaipur Printers P. Ltd., Jaipur 302 001 ISBN 978-81-8257-126-6 © Faizel Ismail, 2009 The views expressed here are those of the author in his personal capacity and therefore, in no way be taken to reflect those of CUTS, FES and the South African Government. #0911, Rs.200/US$20 Contents Foreword by Supachai Panitchpakdi.......................................................................... i Foreword by Rob Davies........................................................................................... iii Preface and Acknowledgements................................................................................. v Abbreviation and Acronyms ...................................................................................... ix Chapter 1: Introduction: Developing countries in the GATT and the WTO .... 1 1.1 Introduction ................................................................................... 1 1.2 Rediscovering the Role of Developing
    [Show full text]
  • Issue No.716 (1-15 Feb 2021) Sdrs to The
    Third ECONOMICSThird World ECONOMICS No. 716, 1-15 February 2021 World Trends and Analysis No. 716 1-15 February 2021 e-ISSN : 2716-5388 SDRs to the financial rescue? Developing countries are in dire need of fiscal resources to tackle the raging COVID-19 pandemic. Special Drawing Rights (SDRs), the reserve currency created by the International Monetary Fund, may provide just the infusion of liquidity they so urgently require. l SDRs as a response to fiscal SOS – p14 .......... ALSO IN THIS ISSUE .......... New WTO Director-General leans towards Northern trade agenda Developing countries call for text-based negotiations on TRIPS waiver Expert cautions against JSI e-commerce negotiations East Asian economies leading global trade recovery 1 THIRD WORLD CURRENT REPORTS I WTO Third World ECONOMICS No. 716, 1-15 February 2021 Economics Tren d s & A n a l y s i s New WTO Director-General leans 131 Jalan Macalister towards Northern trade agenda 10400 Penang, Malaysia Tel: (60-4) 2266728/2266159 Ngozi Okonjo-Iweala has taken the helm of the WTO amid concerns Fax: (60-4) 2264505 over her stance on some contentious issues facing the trade body. Email: [email protected] Website: https://twn.my by D. Ravi Kanth C O N T E N T S GENEVA: Several developing countries one WTO member (i.e., the United States) CURRENT REPORTS are alarmed over the trade agenda through its blocking of appointments to unveiled by the new Director-General the Appellate Body – the new DG turned New WTO Director-General leans of the World Trade Organization, Ngozi the problem into one for all members, Okonjo-Iweala, that seeks, among others, towards Northern trade agenda suggesting that members can agree on to accelerate work on the non-mandated, a work programme at the WTO’s 12th — p2 informal Joint Statement Initiatives (JSIs) Ministerial Conference (MC12) due to on electronic commerce and investment take place later this year, said trade envoys Developing countries call for text- facilitation, trade envoys told the South- who asked not to be quoted.
    [Show full text]
  • The Impact of Neo-Colonialism on Coffee Trading Activities in Kenya by Rebecca M Maundu United States International University
    THE IMPACT OF NEO-COLONIALISM ON COFFEE TRADING ACTIVITIES IN KENYA BY REBECCA M MAUNDU UNITED STATES INTERNATIONAL UNIVERSITY - AFRICA SUMMER 2017 THE IMPACT OF NEO-COLONIALISM ON COFFEE TRADING ACTIVITIES IN KENYA BY REBECCA M MAUNDU ID NO: 649337 A Thesis Report Submitted to the School of Humanities and Social Sciences in Partial Fulfillment of the Requirements for the Award of Master of Arts Degree in International Relations UNITED STATES INTERNATIONAL UNIVERSITY - AFRICA SUMMER 2017 DECLARATION This thesis report is my original work and has not been presented for a degree in any other institution. Signature: ……………………………… Date: ……………………………. REBECCA M MAUNDU (ID. NO: 649337) This thesis report has been submitted with my approval and justified as the university supervisor. Signature: ………………………………. Date: ………………………………. Dr. WELDON K. NGENO School of Humanities and Social Sciences (SHSS) –USIU -AFRICA Signature: ………………………………. Date: ………………………………. DR. TOM L. S ONDITI DEAN - School of Humanities and Social Sciences (SHSS) –USIU -AFRICA Signature: ………………………………. Date: ………………………………. AMB. PROF. RUTHIE. C. RONO DVC- ACADEMICS USIU -AFRICA ii DEDICATION I dedicate this work to my family for their entire support in my academic endeavor. The co-operation, inspiration and spiritual support from my workmates and fellow students have been invaluable. Special gratitude goes to my supervisor for the understanding, patience and guidance. May the Almighty God richly reward you! iii ACKNOWLEDGEMENT I’m grateful and highly indebted to many outstanding individuals without whom this work would not have been successful. Special gratitude to the Almighty God for the free provision of care, health, and strength he has accorded me, may abundant glory be to God.
    [Show full text]
  • Ser-Rp-2017D3 En.Pdf
    © 2019 United Nations 2 UNCTAD Research Paper No. 3 _____________________________________________________________________________________ Contents Acknowledgements ........................................................................................ 2 1. Introduction ................................................................................................. 3 2. Regional integration in ASEAN: progress, prospects and challenges .... 4 3. Deeper integration and inclusive development in the ASEAN Economic Community ................................................................... 11 4. Conclusion and policy implications ........................................................... 13 Appendix ......................................................................................................... 15 References ...................................................................................................... 25 Acknowledgements The author is grateful to seminar participants at Fudan University, Shanghai, and to Patrick Osakwe, Maria Sokolova and an anonymous referee for comments and suggestions. Berna Dogan and Agnes Collardeau-Angleys provided helpful assistance. _____________________________________________________________________________________ 3 UNCTAD Research Paper No. 3 _____________________________________________________________________________________ 1. Introduction Global trade integration has proceeded at a fast pace since the founding of the GATT/WTO and numerous trade agreements have been signed under the institution’s
    [Show full text]
  • Towards Effective Developmental States in Southern Africa
    Towards effective developmental states in Southern Africa Vusi Gumede, University of South Africa Introduction The debate about developmental states remains topical in Africa largely because many argue, understandably, that Africa needs effective developmental states in order to advance economic and social development. There are others who argue that Africa once had a good number of developmental states for example (Mkandawire 2001). Although there are some countries in Africa that can be viewed as (re) emerging developmental states, at least to some extent, there is still a long way in having robust developmental states in Africa (Gumede 2017). It is evident that the Structural Adjustment Programmes of the 1990s and some of 2000s have not benefitted Africans. In fact, several strategies that have been designed and implemented in African countries to promote development have not been seen to benefit the average African – social and economic inclusions and development are still very weak in Africa. Human development indicators pertaining to health, education and employment have not performed well in Africa, with some exceptions of course. There has since been recognition that development in Africa requires more than sound economic management and that building state capacity in the pursuit of broader human development goals requires equal priority if not more. The effects of structural adjustment reforms demonstrated that Africa cannot leave the well- being of its people in the hands of an unregulated market; that the state has an important role to play in directing development. A successful democratic developmental state in Africa does not only address economic issues, it must also address social development issues as well.
    [Show full text]