Aid for Trade : An Action Agenda Looking Forward

Abstract

The current postcrisis environment—and fragile economic recovery—increases the importance of aid for trade. Global rebalancing and tightened fiscal budgets in the short to medium term also place renewed emphasis on aid effectiveness. This note identifies four options to enhance the effectiveness of the multilateral aid for trade initiative: (i) expanding market access for least-developed countries (LDCs) through leadership by middleincome G-20 members; (ii) creating a mechanism to identify good practices in domestic regulation of service markets and other “behind-the-border” trade-related policies; (iii) leveraging the dynamism and knowledge of the private sector to improve trade facilitation and build capacity; and (iv) making a concerted effort to expand data collection and monitoring and evaluation (M&E) of aid for trade.

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