Integrated policies boost Asia's services exports

Services Trade Momentum and Scale

Services have emerged as the most dynamic segment of global commerce over the past two decades, according to WTO Director-General Ngozi Okonjo-Iweala. Speaking at the launch of a new report on 17 September 2026, she noted the significant expansion of this sector.

Global services exports totalled USD 9.6 trillion last year, representing a record share of almost 28 per cent of total world trade on a balance of payments basis.

The report, a joint publication by the WTO Secretariat and the UN Economic Commission for Latin America and the Caribbean (UNECLAC), details that digitally delivered services have seen particularly rapid expansion, growing by an average of 8.5 per cent annually since 2005.

This growth rate surpasses that of goods trade, which increased by 4.7 per cent, and other services, which grew by 5 per cent over the same period. For many developing economies, this expanding sector offers a viable path to economic diversification, moving beyond traditional reliance on commodities or agriculture.

Tailored Strategies for Services Promotion

The report advocates for a more prominent position for services within national economic policy priorities. It asserts that effectively integrating services into trade and development strategies, particularly export promotion efforts, requires approaches distinct from those traditionally applied to goods.

Director-General Okonjo-Iweala emphasised that factors such as training, professional reputation, client trust, specialised expertise, and overall credibility are paramount in the services context.

Unlike tangible goods, service suppliers must actively establish client relationships, clearly demonstrate their capabilities, cultivate extensive professional networks, and build confidence in their ability to deliver promised outcomes.

The publication draws on various case studies from Africa, Asia, Latin America, and the Caribbean to illustrate these tailored approaches for developing and promoting services exports.

Beyond Traditional Export Promotion

Nanno Mulder, Chief of the International Trade Unit at UNECLAC, shared insights from nine country studies, which included examples from Asia. He observed that many of the strongest results in services export growth originated from policies extending beyond the conventional scope of traditional export promotion agencies.

These successful initiatives typically focused on several key areas: skills development, attracting foreign investment, providing aftercare services to exporters, regulatory reform, ensuring certification, building digital trust, and crucially, fostering strong public-private sector coordination.

The report points to an integrated ecosystem approach, where various elements work in concert to build the trust that is fundamental to what services exporters offer.

Anabel Gonzalez, Vice-President for Countries and Regional Integration of the Inter-American Development Bank (IDB), reinforced this, stating that while market access is vital, it is insufficient without the necessary institutions, skills, investment initiatives, digital trust, and firm-level capabilities to translate opportunities into actual exports, investments, and jobs.

Asian Experiences and Policy Directions

The publication features specific experiences from Asian economies such as India, Malaysia, and the Philippines, alongside other regions. Deputy Director-General Johanna Hill summarised three main conclusions from the report's panel discussion.

First, services export promotion must be designed around the inherent characteristics of services themselves, prioritising credibility and professional networks over mere visibility.

Second, export promotion cannot operate in isolation; the experiences documented demonstrate the value of connecting trade promotion with investment, skills development, regulatory frameworks, and engagement with the private sector. Finally, there is no single blueprint for success, as countries like India, Malaysia, and the Philippines have pursued diverse strategies.

The challenge for Asian economies is not to copy another nation's model but to understand the principles driving successful outcomes and adapt them to their specific domestic circumstances.

Specific policy adjustments in areas like digital infrastructure and regulatory frameworks will be key for countries in the region to continue expanding their services export share beyond the current global average of nearly 28 per cent.