WTO–World Bank highlight services trade gains as TS4D pushes new tools for growth

WTO Director-General Ngozi Okonjo-Iweala stressed that services trade is reshaping the future of the global economy.

At the opening of the Trade in Services for Development (TS4D) Conference on 3–4 December, the World Trade Organization (WTO) and the World Bank showcased major progress in their joint initiative to help developing economies harness the power of services trade for economic transformation. The event highlighted the growing centrality of services in global trade, the expanding opportunities for developing countries, and the new tools designed to support them.

WTO Director-General Ngozi Okonjo-Iweala stressed that services trade is reshaping the future of the global economy. “Services have been the fastest growing component of world trade over the last two decades. And the digital revolution has super-charged this trend,” she noted. According to the WTO’s latest forecast, global commercial services trade is set to grow by 4.6% in 2025 and 4.4% in 2026, far surpassing merchandise trade growth. Digitally delivered services are leading the surge, with growth expected to reach 6.1% in 2025 and 5.6% in 2026.

Services: The New Engine of Growth for Developing Economies

DG Okonjo-Iweala underscored that developing countries are increasingly tapping into services-based opportunities but remain constrained by complex regulations, institutional fragmentation, and capacity limitations. “Mainstreaming services into national development strategies is no longer optional,” she said. “Services are a necessity for diversification, productivity and resilience.”

She emphasized that the WTO, working closely with the World Bank through TS4D, can help countries identify regulatory barriers, deliver targeted technical assistance, and design policies that unlock service-sector growth.

New Tools to Support Developing Economies

A key highlight of the conference was the unveiling of new tools and knowledge platforms created under the TS4D initiative. These include:

• Services Trade Competitiveness Diagnostic Dashboard, helping countries assess strengths and bottlenecks in their services sectors.

• Handbook on Good Regulatory Practices, designed to guide policymakers in simplifying, modernizing and harmonizing service-related regulations.

• A knowledge platform that aggregates ongoing work with regional organizations and development banks on effective services export promotion strategies.

These tools will support future WTO–World Bank capacity-building programmes, enabling developing economies to better harness services for inclusive growth.

DG Okonjo-Iweala urged donor partners to increase their engagement: “Services are not an abstract category of trade. They connect talent and allow every country, regardless of size or income, to participate meaningfully in the global economy.”

Global Voices: Ministers and Experts Weigh In

Speakers from various regions underscored the transformative potential of services trade:

• Jumoke Oduwole, Nigeria’s Minister of Industry, Trade and Investment, highlighted that services account for 58% of GDP and over 45% of formal employment globally. She emphasized Nigeria’s strengths in financial services, digital innovation and creative industries.

• Denis Medvedev, incoming World Bank Director for Trade, Competition and Business, noted that 72% of global FDI stock is in services, underlining the sector’s enormous investment potential. He cited data showing that full implementation of the African Continental Free Trade Area (AfCFTA) could double intra-African trade by 2035, while the RCEP agreement could boost regional trade by 12%.

• Eiman Al-Mutairi, Vice Minister of Commerce of Saudi Arabia, described her country’s diversification strategy built around 20 service sectors, including tourism, logistics, finance and digital services. Saudi Arabia has also established a knowledge hub to share its regulatory reforms with developing economies.

• Tekreth Kamrang, Cambodia’s Secretary of State, emphasized that services represent over 40% of GDP and employ nearly 40% of the labour force, noting the sector’s critical role in women’s employment — especially in tourism.

• The United Kingdom’s WTO Ambassador Kumar Iyer reaffirmed strong UK support for TS4D, encouraging developing economies to use the new tools to identify competitive strengths.

Representatives from ASEAN, the International Chamber of Commerce and the Inter-American Development Bank echoed calls for stronger service-sector support, deeper regional integration and improved regulatory frameworks.

Driving a New Era of Development Through Services

The TS4D conference marks a major step forward in reshaping how developing economies participate in global trade. By offering analytical tools, regulatory guidance, and policy support, the initiative aims to help countries leverage services — from digital technologies to tourism, finance and logistics — as engines of growth.

Sessions on 4 December will further showcase partner organizations’ work to facilitate services trade and support developing countries in implementing reforms.