Trading Out of Poverty

Abstract

Aid for trade is a tool designed to interlock aid and trade policies in pursuit of raised living standards and reduced poverty. This paper demonstrates why trade matters for boosting productivity and economic growth and explains why some countries are unable to reap the gains from trade. It does on to analyse how aid for trade can help strengthen the impact of trade on growth and poverty reduction, and which policy tools can best reinforce the impact of trade on poverty reduction. It underlines the need for a tailored, country-based approach to economic integration, and summarises the main policy conclusions and the potential gains-from-trade that are at stake.

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