How Can South Asia and Sub-Saharan Africa Gain from the Next Wto Round?

Abstract

If South Asia and Sub-Saharan Africa are to become constructively engaged in the next attempt by World Trade Organization (WTO) members to liberalize trade multilaterally, they need to be convinced that there will be sufficient gains from trade reform to warrant the inevitable costs of negotiation and adjustment. This paper provides new estimates of the likely economic effects on their economies of further liberalizing world trade post-Uruguay Round. The results show that the developing countries of South Asia and Sub-Saharan Africa have much to gain from taking part in the next round. However, those gains will be far greater the more those countries are willing to embrace reform at home so as to enable their firms to take greatest advantage of the opportunities provided by the opening up of markets abroad.